Module 1: Understanding the value of online advertising
Manage your spend in Google Ads
The following options help you manage how much you’re spending in your Google Ads account:Set an average daily budget to manage how much you spend
Your average daily budget is the amount you're willing to spend each day, on average, for each ad campaign in your account. The amount of your budget is entirely up to you and you can edit this amount whenever you like. Your average daily budget can help you manage how much you accrue in campaign costs from day to day.
Your actual spend on any given day may exceed your average daily budget by up to 2 times. This is called overdelivery. Overdelivery can help make up for days when traffic is slow and your ads don't get as much exposure. Keep in mind, you won’t be charged more than your monthly charging limit, which is the average number of days in a month (30.4) multiplied by your average daily budget.
Note: A overdelivery credit will be applied to your account if your ad is shown so much that you exceed your monthly charging limit.
If the average daily budget for your ad campaign remains at USD$10 per day throughout an entire month, the maximum amount you would be charged for that campaign for that month is USD$304 (USD$10 x 30.4 average days per month). Recall that because of overdelivery, your daily cost might be more or less than your USD$10 average daily budget (never more than twice your daily budget, in this example, USD$20) on days when traffic is higher or slow.
Quality Score is an estimate of the quality of your ads, keywords, and landing pages. Higher quality ads can lead to lower prices and better ad positions.
- You can see your Quality Score (Quality Score is reported on a 1-10 scale) and its components (expected clickthrough rate, ad relevance, and landing page experience) in your keywords’ “Status” column.
- The more relevant your ads and landing pages are to the user, the more likely it is that you'll see higher Quality Scores.
- Quality Score is an aggregated estimate of your overall performance in ad auctions, and is not used at auction time to determine Ad Rank.
Relevance: how ad quality affects your costs and performance
Your Google Ads account's billing "Transaction history" page provides easy access to your billing information. View current charges, payment details, and much more. Learn more about how to access your billing information
Choosing a bidding strategy based on your goals
Every time someone searches on Google, Google Ads runs an auction to determine which ads will show on the search results page, their rank on the page, and whether any ads will show at all. To place your ads in this auction, you first have to choose how you'd like to bid. Try choosing an automated bidding strategy based on your goals, like whether you want to focus on getting clicks, impressions, conversions, or conversion value. Learn more about best practices for Smart Bidding, and about automated bidding.
|Focus on conversions
If you want to optimize for conversions, like purchases or signups, you can use the Maximize conversions or Target Cost per Action (CPA) strategies that automatically set your bids to focus on increasing conversions with an optional target cost-per-action.
Focus on conversion value, or when people take a specific action on your website after clicking on one of your ads.
If you want to optimize for conversion values, like revenue or profit, you can use the Target Return on Ad Spend strategy (ROAS) strategy that automatically sets your bids to focus on increasing conversion value at your target return-on-ad-spend.
|Focus on clicks on your ads.
If you want to drive traffic to your website, use the Maximize Clicks bid strategy to focus on increasing clicks for your campaigns while spending a target amount.
(Display only) Focus on viewable impressions, or the number of times your ad shows in a viewable place.