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NOT FILLING DAILY BUDGET

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

On Sunday April 20th I started by first campaign with a daily budget of $15.  Between Sun and Wed the budget was filled with about $16 each day. For Thr and Fri I increased it to $30 without changing anything about the campaign.  However, Adwords only spent about $7.50 on each of those two days.  So, instead of doubling thespending, it cut it in half.

 

I called the Adwords help line at (866) 246-6453 and asked a representative if Adwords was supposed to always spend the whole budget, within a small variation and he said yes.  I asked why it had not done it this time and he said he did not know and did not want to elevate the question to a supervisor.

 

Does anyone know:

If  Adwords is supposed to fill the budget each day within reason?

Why it would not do that this time?

What can be done to fix this problem?

1 Expert replyverified_user
1 ACCEPTED SOLUTION

Accepted Solutions
Marked as Best Answer.
Solution
Accepted by topic author Ricardo M
September 2015

Re: NOT FILLING DAILY BUDGET

Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭

I had been already using the Traffic Estimator for a couple of weeks.  I found it to be extremely inaccurate (at least at the $15 per day budget).  For words related to family law it was giving me about 150 clicks per day at a cost per click lower than what I am actually getting on the search network.  The estimator was overestimating clicks by a factor greater than 10 times.  I even read an article on the internet where someone had made a comparison of the same words between the real Adwords and the estimator and came to the same conclusion.

 

This is for a small family law firm and covers 20 zip codes in the OrlandoFlorida area.  I am currently using 47 keywords, pricing them at about 120% of what Adwords says it is needed to be on the first page a and $2.50 maximum on the display network. I am getting an average position of 2.9 on the search network and 1.3 on the display network. Since I started last Sunday I have had about 27,000 impressions and 66 clicks from the display network at $1.04 cost per click and only 1,200 impressions with 5 clicks at an average cost per click of $3.03 from the search network.  (And last Monday we had the first prospective client in a consultation, which I thought was pretty cost effect, but the sample size is far too small to say that yet.)

 

Given these settings, would you expect the $30 budget to be used only up to $7.50 for two consecutive days just as I raised it from $15, where it was been filled?

 

Could it be that raising the budget reduces how much is spent?

 

Could there be a flaw in Google’s Adwords algorithsms like the one in the Traffic Estimator?

 

I am very disappointed with Google’s phone help service and some of the Google software, like the Traffic Estimator.  The Estimator is not even in this universe and the representatives that do not seem to know much about their subject are telling me that there is nothing wrong with it. I have heard from them some contradictory estimates on law firm conversion rates from click to clients that were very far apart (1%-3% vs. 1%-10%, with no mention of which network).  The estimator may be OK for gauging the relative clicks per key word, but not their relationship to cost.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

View solution in original post

Re: NOT FILLING DAILY BUDGET

Top Contributor Alumni
# 2
Top Contributor Alumni

For the most part, AdWords does spend your daily budget each day assuming there is search traffic available at the click price you're offering.

 

First, a brand-new account always performs differently the first couple of days it's active--the program is delivering the maximum amount of traffic it can, to enable it to adjust quality scores and other metrics--it's creating the performance baseline for your campaign.

 

Second, because your advertising campaign is brand-new, you don't really know how much traffic is available every day of the week. (Markets that have significant differences in the amount of available traffic on different days of the week are very common.)

 

Third, I would use the Traffic Estimator tool (on the Tools and Analysis menu) to experiment. You can use it to see what kind of traffic exists and at what cost. Enter a keyword or two--your "best" ones, and experiment with offering different bids. The tool may show that there's significantly more traffic available but hat you'll need to offer more per click in order for your ads to be eligible to compete in those ad auctions.

 

Please let us know what you find and if you have further questions!

 

 


Theresa
Google AdWords Top Contributor
*~*~*~*~*~*~*~*
Marked as Best Answer.
Solution
Accepted by topic author Ricardo M
September 2015

Re: NOT FILLING DAILY BUDGET

Visitor ✭ ✭ ✭
# 3
Visitor ✭ ✭ ✭

I had been already using the Traffic Estimator for a couple of weeks.  I found it to be extremely inaccurate (at least at the $15 per day budget).  For words related to family law it was giving me about 150 clicks per day at a cost per click lower than what I am actually getting on the search network.  The estimator was overestimating clicks by a factor greater than 10 times.  I even read an article on the internet where someone had made a comparison of the same words between the real Adwords and the estimator and came to the same conclusion.

 

This is for a small family law firm and covers 20 zip codes in the OrlandoFlorida area.  I am currently using 47 keywords, pricing them at about 120% of what Adwords says it is needed to be on the first page a and $2.50 maximum on the display network. I am getting an average position of 2.9 on the search network and 1.3 on the display network. Since I started last Sunday I have had about 27,000 impressions and 66 clicks from the display network at $1.04 cost per click and only 1,200 impressions with 5 clicks at an average cost per click of $3.03 from the search network.  (And last Monday we had the first prospective client in a consultation, which I thought was pretty cost effect, but the sample size is far too small to say that yet.)

 

Given these settings, would you expect the $30 budget to be used only up to $7.50 for two consecutive days just as I raised it from $15, where it was been filled?

 

Could it be that raising the budget reduces how much is spent?

 

Could there be a flaw in Google’s Adwords algorithsms like the one in the Traffic Estimator?

 

I am very disappointed with Google’s phone help service and some of the Google software, like the Traffic Estimator.  The Estimator is not even in this universe and the representatives that do not seem to know much about their subject are telling me that there is nothing wrong with it. I have heard from them some contradictory estimates on law firm conversion rates from click to clients that were very far apart (1%-3% vs. 1%-10%, with no mention of which network).  The estimator may be OK for gauging the relative clicks per key word, but not their relationship to cost.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Re: NOT FILLING DAILY BUDGET

Top Contributor Alumni
# 4
Top Contributor Alumni

The estimator was overestimating clicks by a factor greater than 10 times. 

 

Well--trying to put this diplomatically--let me say there's a difference between "all the traffic available" which is what the estimator is working with and "all the clicks available to you" when it comes to your specific campaign.  The fact that you're not getting as much traffic as the estimator said you could at your bid level suggests that you're losing traffic due to factors other than bid--low ad rank, for instance.

 

It's not a flaw. This is the difference between a tool working in a purely theoretical environment and the real world. 

 

Experimenting with the Estimator makes the relationship between bid and traffic levels pretty clear, though.I tested it myself with some family law keywords and the amount of traffic it projected when I offered a bid of $3 and when I offered a bid of $30 were significantly different. (Click costs for legal keywords can be high--in my own experience it's not unusual for bids of $30 or $40 to be necessary to pull the highest quality traffic and I've heard of bids in the $75 range.)

 

 

While projected overall costs were naturally much lower with the $3 bid, the amount of traffic even the normally generous Estimator thought I'd have access to at that lower level was cut in half.  And, of course, if I activated a campaign using those keywords, my own "live" quality scores and AdWords' evaluation of my landing page (among other factors) would further refine how much of the potential audience I would have access to. That's what you experienced--the difference between the Estimator and what you are serving in the live environment.


Since I started last Sunday I have had about 27,000 impressions and 66 clicks from the display network at $1.04 cost per click

 

I would say that it's not too soon to start optimizing your placements and refining your messaging on Display. If you're using Automatic placements, you may want to start excluding the low-performance ones. If you're using Managed placements, you might double-check and see if one of them is under-performing. You might want to try different ad messaging.

 

and only 1,200 impressions with 5 clicks at an average cost per click of $3.03 from the search network.  

 

1,200 impressions with only 5 clicks is appallingly poor performance but a lot depends on how much of this traffic came from Search Partners. Google traffic and Search Partner website traffic perform very, very differently. If I were you, I'd be working on some new ad messaging to improve my CTR. I'd also be evaluating my keyword list--adding negative keywords to block unwanted traffic and restricting too-broad match types, etc.

 

 

 

 


Theresa
Google AdWords Top Contributor
*~*~*~*~*~*~*~*

Re: NOT FILLING DAILY BUDGET

Visitor ✭ ✭ ✭
# 5
Visitor ✭ ✭ ✭

I am highly appreciative of your advice. It is amazing that someone like you who are so well versed on this subject has writeen back to me so extensively.  The information about about Google favoring the new campaigns during the first few days was very valuable, because it gave me confidence to proceed with this knowing that there was nothing wrong going on.  I have alreay done some of the other things you suggested and I am planning to do the rest.

 

Of course, my campaign is restricted to a dozen zip codes in centeral Florida, so if the Estimator is projecting nationwide data it would produce many more clicks.  By the way, all of my references to the Estimator were based on what it finds, given a budget of $15 per day, is the maximum CPC to enter that produces the highest number of clicks, as shown on the peak of the curve.  For example, for the word divorce, it is $0.28 maximum CPC produces  124 clicks per day.  The total US population is at least  350 times that of my dozen zip codes, and that explains the difference betwen the Estiamtor and my results.