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Budget Allocation for Shopping/Remarketing?

Visitor ✭ ✭ ✭
# 1
Visitor ✭ ✭ ✭

I have a small ($3,000) total monthly budget for AdWords and am trying to figure out how much of it to allocate to shopping and remarketing campaigns. I've been running standard search ads for about a year and am ready to branch out a bit. I'm just not sure how to divide my total spend.

2 Expert replyverified_user

Re: Budget Allocation for Shopping/Remarketing?

Rising Star
# 2
Rising Star
Hi there,

All you can do is test, measure and react.

In my experience remarketing almost always performs better than a regular search campaign. So I would give that however much it needs. These typically don't need a lot compared to regular search. By lowering the maximum times each person sees your ad, you can stretch the budget further.

For shopping it really depends on the number of products and the search volume. If your budget won't be sufficient to promote everything, I suggest a starting with a subset of products (the category you figure you will be most competitive in, or the one that gives you the most profit), and giving those products every chance with a budget that doesn't run out.

Re: Budget Allocation for Shopping/Remarketing?

Top Contributor
# 3
Top Contributor

Hi @RobSkelton,

 

That is great that you are ready to branch out some. 

 

Keep in mind that success with Remarketing will also be dependent on the traffic to your website/app now, since the tag needs to happen with current visitors first. This is a great product, though, and I would certainly get it cranked up. You could employ some YouTube ads, as well, if they would fit your business model.

 

You could also add in some Search and Display campaigns, along with your Shopping Ads, and stretch out a bit more?

 

Kind Regards,

 

James 

 

 

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Re: Budget Allocation for Shopping/Remarketing?

Visitor ✭ ✭ ✭
# 4
Visitor ✭ ✭ ✭
Thanks to both of you -- I'm looking forward to doing some testing. I think to begin I'll keep 50% of my budget as is (search only) and split the rest between remarketing and shopping ads. Then I'll ramp up, depending on how the new campaigns perform.

Re: Budget Allocation for Shopping/Remarketing?

Badged Google Partner
# 5
Badged Google Partner
I would caution against "thinking"... If you have been running your search campaign for over a year, you have plenty of data to analyze in order to make educated decisions.

What's the goal of your advertising? How are tracking results? Do you have a conversion strategy in place?

If you arbitrarily cut 50% from your search campaign, you have no guarantee as to what exactly you are cutting. How much of the current $3K search budget is actually spent on converting terms? If the campaign is profitable, and $3K/month is not enough budget to achieve 100% of the potential impression share, then you need to increase your search budget as-is. If only $2K in inventory is profitable, then you have $1K to experiment with.
Tom