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Limited by budget....why???

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

Hi guys,

 

 I have daily budget in my account but its showing limited by budget...please help, why is it happening????

 

Thanks in anticipation!

2 Expert replyverified_user

Re: Limited by budget....why???

Collaborator ✭ ☆ ☆
# 2
Collaborator ✭ ☆ ☆

Hi

This basically means that your campaign has potential of getting you more impressions but right now the campaign is not achieving this potential because the budget is running out before it reaches the potential number.

Take a look at this article for detailed explanation

Hope this helps

 

Regards, Nik
LinkedIn  |   @nikhilparachure | My Blog

Re: Limited by budget....why???

Collaborator ✭ ✭ ✭
# 3
Collaborator ✭ ✭ ✭

Hello,

 

Here you can find some tips about what to change to avoid this warning :

 

https://support.google.com/adwords/answer/2375418?hl=en

 

The main problem could be too wide targeting , like using too many keywords in that campaign. Evaluate a reasonable keyword click pattern, for example allow all keywords to receive at least 1 click per day and if you have a MaxCPC of 0.3 $ and 100 keywords this means you need a daily budget of at least 30 $.

Re: Limited by budget....why???

Top Contributor
# 4
Top Contributor
Hi,

In addtion to above point I would suggest you can avoid facing limited by budget:-
You can choose Standard —“Shows ads evenly over time”. instead of Accelerated —“show ads as quickly as possible.”
please follow the below link for more info:-
https://support.google.com/adwords/answer/2404248?hl=en

You can use day parting features, you can exclude the time when your campaigns not performing well.
https://support.google.com/adwords/answer/2404244?hl=en

You can also filter out such keywords that are not performing well or it seems that those keywords consuming budget only..

In this way you can avoid situation of limited by budget.
--Rakesh Kumar, AdWords Top Contributor , Twitter | Linkedin | Community Profile
Did you find any helpful responses or answers to your query ? If yes, please mark it as the ‘Best Answer’

Limited by budget

[ Edited ]
Collaborator ✭ ☆ ☆
# 5
Collaborator ✭ ☆ ☆

Hey All

 I believe changing delivery settings is not going to affect "limited by budget" status, as you will get coverage across all hours of the day but the campaign will still be limited by budget, as it will not reach the potential impression it might with more budget. I have just checked some of my campaigns have "limited by budget" despite having “Shows ads evenly over time”. 


I believe "limited by budget" is linked in a way to Search Lost IS (budget) or display. 

 

But Rising Star Rakesh gave me this link which in a way defends his answer.

I would love to know if i was assuming this wrong all these years?

 

 

 

Regards, Nik
LinkedIn  |   @nikhilparachure | My Blog

Re: Limited by budget....why???

Google Employee
# 6
Google Employee
Hi Rakesh,

Just a clarification here - changing delivery settings does not change the 'limited by budget' status. As Theniks said - this settings means that, of late, in the time range, location, keywords, languages etc. that your ads are targeting, your ads could have got more impressions and clicks - but didn't due to a limiting budget.

Delivery settings being changed to standard will make the system enter your ads in lesser auctions to make sure you run longer. However, it won't change the fact that your ads are missing out on appearing for searches in the day due to a budget constraint.

Hope this helps. Smiley Happy

Sincerely,

RR

Re: Limited by budget....why???

Collaborator ✭ ✭ ✭
# 7
Collaborator ✭ ✭ ✭

Then somebody should send a feedback about this help page that I have linked in my previous message : 

 

https://support.google.com/adwords/answer/2375418?hl=en

 

where it is explained 

 

"

Avoid a depleted daily budget

If you have a limited budget, you want to make the most of every cent you spend on your advertising campaign. Instead of discontinuing your campaigns and missing out on clicks, or spending more than you can comfortably afford, consider the following techniques for spending your campaign budget more effectively:

  • Lower your bids for campaigns that are "limited by budget," potentially reducing the average cost per click.
  • Let AdWords automatically bid for you to get as many clicks as possible with your campaign's current daily budget.
  • Choose "Standard delivery" for your ads, instead of "Accelerated delivery.""

 

I think that because Accelerated delivery pushes the keywords into more auctions in 24 hours, it can trigger a depleated budget early in the day and as a result an increased budget becomes a requirement to use "accelerated delivery" 24/24 hours.

Re: Limited by budget....why???

Google Employee
# 8
Google Employee
Hi Adrian,

Thanks for replying. The article is definitely correct. It says these are techniques for spending your budget effectively. However, let's approach this logically:

Limited by budget - is a status that appears when your ads go dark i.e. stop running before the end of the time period that they're scheduled to run.

Changing to standard does not increase the number of clicks. However, to spread your exposure across this entire time range - the system only enters your ads into auctions occasionally. While this attempts to fix the fact that the ads don't run throughout the day, it does not fix the fact that the campaign is missing out on all the clicks it can receive at the current bids.

Hope this helps.

Please do reply for further clarification.

Sincerely,

RR

Re: Limited by budget....why???

Collaborator ✭ ✭ ✭
# 9
Collaborator ✭ ✭ ✭

Thank you for answering.

 

I am interpreting differently your words "Limited by budget - is a status that appears when your ads go dark i.e. stop running before the end of the time period that they're scheduled to run."

 

With the setting "standard delivery" , the ads cannot stop before the end of the day because the auctions are spread evenly even at the end of the day and with the setting "accelerated delivery" Ads can stop before the end of the day triggering the "Limited by budget" . 

 

Let's say that a budget of 24$ allows for 24 clicks of 1$ for a campaign for a certain day, and the campaign runs all the time 24/24.

 

The standard delivery reserves impressions for 1 click every hour 24/24, spreading the 24 $ budget 1 $ each hour. The standard delivery algorithm can stop impressions every hour if a 1$ click occurs.

 

The accelerated delivery does not stop impressions hourly if 1$ is spend and it can use 24 $ in the first hour the campaign is running, leaving 23 hours out of 24 without budget. Shouldn't this situation trigger the "limited by budget" status ?

Re: Limited by budget....why???

Google Employee
# 10
Google Employee
Hi Adrian,

Your understanding is correct. The limited by budget notification is not 'solved' by switching to either standard or accelerated. If your campaign misses out on a significant percentage of clicks consistently within its specifcations (time, location etc.), the limited by budget status can appear. This is irrespective of your delivery method.

However, since different people have different objectives. For some - it's important to show throughout the day and spread the budget throughout the day - take for example - a locksmith who may not be able to handle 24 jobs in one hour even if he gets all the relevant clicks in that hour. He might benefit from standard delivery if the leads were more evenly spaced out. For others - the quantity of traffic is the main focus. For them - accelerated delivery with decreased bids is probably a better option. Both are listed as alternatives to address a limited budget. Identifying the correct solution suiting your needs is key when actioning the 'limited by budget' status.

Limited by budget is not a problem to be solved. Rather, it's an opportunity. The system's telling you that there's more than enough traffic to go around given your current budget and this gives you the chance to optimize and get the traffic that best fits your need.

Hope this helps.
Sincerely,

RR