What is it?
The Optimize Budgets tool lets you optimize budgets for Google Ads by translating them from monthly to daily budgets. This can be done to achieve a target or allocate more budget to campaigns that are driving more leads/sales.
You can access the tool here.
What does it do?
The tool analyses the spend on campaigns and shared budgets in your accounts. It helps you re-arrange your target budget basis spending capability of individual and shared budgets. This tool suggests balancing budgets by taking a part of the budget amount which won't end up being spent. This amount can be easily allotted to the ones which are losing search impression share.
Why should you use it?
The Optimize Budget tool makes it easy to:
- Reallocate budget to campaigns that are performing well.
- Adjust campaign or shared budgets to meet a certain target budget for the month.
- Allocate budget considering the spending potential of the campaign based on impression share.
How does it work?
Define Scope & Target Budget
On the left side picker, select the scope and date range to be taken into consideration, then enter the budget which you'd like to spend for your account/selected budgets and click on update. You will find the following columns:
- Target Budget. The budget has to be spent by the end of the selected date range.
- Projected spend till the end of the selected date range. The amount of money that will be spent on the last date in the date range.
- Actual spend till now. The amount of money that has already been spent until the day of analysis.
- Required daily spend to hit the target. How much the campaigns should spend every day for the rest of the date range to meet the target budget. If you have an additional budget available to meet your target, you can go on to the next step.
To generate suggestions, the tool tries different daily budgets and based on historical spends tool suggest a potential daily spend. If the potential daily budget is larger than your daily budget than it'll highlight in yellow.
- Daily Budget - Current daily budget for the entity.
- Edit Daily Budget - Option to set a new daily budget.
- Projected Spend - The amount that a budget will end up spending by the end of the selected date range.
- Recent IS Lost (Budget) - Impression share lost due to budget restrictions.
For a selected date range, the tabulated information in Budget Simulator is calculated by using the impression share lost due to budget in the last 7 days and any expected seasonal surges.
It calculates and suggests multiple options for setting New Daily Budget and how much money can be spent over the period of the selected date range. There are two columns in the Budget Simulator:
- Daily Budget - A table of options for New Daily budget options, in which the selected shared/individual budget is capable of exhausting.
- Projected Spend - The amount of money the campaign can spend if you select its corresponding suggested Daily budgets.
Get Optimization Suggestions
You'll see suggestions for budget optimization on each tab depending on the target you want to achieve: Maximize clicks, Maximize Conversions, or Maximize Conversion Value.
Each line of suggestions carries different aggressiveness levels, and next to every number you'll see the % of increase/decrease it would undergo with that particular change.
Click the suggestion that suits you better and scroll down to see the details. Edit the Daily Budgets to show the new value needed to reach the selected suggestion, and for the Projected Spend to display the new projection.
Once you've reviewed the suggestions, choose which budgets you want to apply the changes for, if not all, and press Apply Changes to Account.
- We recommend using individual budgets for every campaign because using the most granular settings produce the optimal results.
- The tools work with shared budgets, a mix of shared budgets, and individual campaign budgets.
- We strongly recommend not using both this tool along with the Reach Target Monthly Budget script at the same time, as they will override the changes made by each other.