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 Best Google Ads Agency in Washington
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Digital Marketing

Google Ads Cost – How Are They Structured

If you want to perform optimal marketing, you have to invest for this. But how much? With Google Ads, that’s entirely up to you. Naturally, you are looking for opportunities to obtain the highest possible return at the lowest possible cost. If you apply Google Ads in the right way, you will find that Google Ads lends itself perfectly to this. In this article you can read everything about the costs of Google Ads. You can get in touch with Best Google Ads Agency in Washington

Determine your own budget in Google Ads

The nice thing about Google Ads is that you decide how much you want to spend. Google Ads has the option to set a daily budget yourself. They then ensure that you never pay more than 30 times this daily budget during a period of 30 days. For example, if you set €10 as your daily budget, you might pay €12 for clicks on a busy day, while the cost would be €8 on a quiet day. This way you will never have to spend more than €300 (30 x €10) in costs in a month.

Factors that determine the daily budget

How do you determine the amount of the daily budget? Some companies use a budget of €10 per day, while other entrepreneurs spend an amount of €1000 per day on the budget. The choice for this is entirely up to you. However, the following factors do play a role in choosing the daily budget:
• The size of your campaign. Do you have a large or small range in your webshop? With many or few items?
• The size of your catchment area. Do you focus on one city, a province, the whole of the Netherlands or the entire world?
• Are you in a competitive market? Does the same also apply to online marketing?
• Is your company a small or large player on the market?
• Your company’s financial options. How important is marketing within your company and how much money can you spend on marketing? Or do you choose to outsource Google Ads, for example?
• The goal of your Google Ads campaign . Do you want more brand awareness, sell products or services, more registration for your company’s newsletter or do you want visitors to watch a specific video on your website?
Ultimately, Google Ads remains tailor-made for every company. You will therefore have to decide for yourself what you want to achieve with your campaigns. If you have a limited budget with a huge range, you can also start campaigns on products with the most margin.

Google Ads budget strategies

You can use your budget in various ways. There are two common budget strategies here. First of all, you can choose to start big. In that case, you collect a lot of statistics about your visitors and you can then bet heavily on keywords that lead to the most conversions. You can then adjust your budget accordingly. On the other hand, it is possible to start small. In that case, you may advertise part of your range. If successful, you can then use Google Ads more vigorously or choose to advertise on Google for more parts of your range .

Google Ads very flexible

The big advantage of Google Ads is that the system is very flexible. You can adjust your budget to advertise on Google at any time. Is it going to freeze soon and are you selling skates? Then immediately respond to the greater demand for these articles with a large budget. Are you a tour operator and all accommodations in a certain village are fully booked? Then make sure you stop the budget for this campaign, so that you don’t lose money on ads for which you no longer have any offer.

Pay for cost per click

How exactly does the cost per click work? For example, if someone wants to advertise on Google with the exact keyword “What does a plane holiday cost?” based on an estimate by Google, you will lose about €3.70 per click. So if you use a daily budget of €10, this will result in few clicks per day. A keyword of $0.05 cents will get you more clicks. Cost per click depends on a number of factors:
• Level of Competition
• Ad Rank
• CTR
• Keyword Type
• Quality Score

Level of Competition

The more the competition offers on a particular keyword, the more expensive the keyword becomes. For example, if a competitor raises its bids to maintain a certain top position, you will spend more money to match it. One of the most expensive keywords right now is “car insurance”. Google Ads currently estimates the cost for this keyword at approximately €22 per click.

Ad position

If you want to get higher in Google, you will have to offer more. If a top position is not your direct goal, you can also bid lower on a certain keyword. This reduces the cost per click.

CTR

If you have a higher click-through rate on your website, the cost per click will be lower. Google prefers to show the most relevant ads. If many visitors click on your ad relative to the number of impressions of the ad, Google will consider your ad highly relevant. In that case, Google will reward your ad with a lower price per click. In addition, ads with a lot of clicks yield more on balance. Google therefore benefits from showing these ads to visitors.
Google Ads uses a Quality Score to show the most relevant ads. A low Quality Score means a high cost per click. The higher your ad’s Quality Score, the lower the cost per click will be.

Get more out of your budget with optimal marketing

If you use the right Google Ads strategy and frequently optimize your campaign, you will get more and more out of your marketing budget. Would you like more information about how you can use Google Ads in the right way for your company? Then don’t hesitate and switch on Intelligent Online. We will work with you to make your website a success.

 

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