People often ask us how changing their budget will affect their data. Here are a few ways to get the answers you need.
The first place to look is Impression share lost due to budget, also known as Lost IS (budget). If it’s 0%, then changing your budget won’t increase traffic.
If you see the ‘Limited by budget’ in your Google Ads account, then you can get more details from the search engine:
Click on the graph icon to see a chart showing changes to CPC and cost.
Lost IS budget projections
Budget projections forecast changes in clicks, cost, and average CPC as your budget increases. Using your Lost Impression (budget) data, you can create projections in two ways:
Download the campaign data into a spreadsheet. Use the Lost IS budget as the percentage of the additional budget you can spend. Then, use that number as a multiplier to create your own projections for spend, conversions, and clicks.
PPC management software, like Adalysis, offers tools that create budget projections for all your campaigns or shared budgets.
This means you can show your manager or client what will happen if you change your budget. (Assuming no drastic seasonality changes to your search volume, of course).
Budget and spend trends
As you optimize your account, you’ll get more clicks and spend more money each month. Track how much you’re actually spending compared to your daily budget to see when you might run out of money. This helps you plan ahead. You can then either increase your budget or pause your worst-performing keywords to free up funds.
For example, this account started in November and didn’t spend its budget. The account manager made some improvements in December and spent most of their monthly budget. In January, they increased their spend, and due to their improvements, exceeded their budget (which Google won’t charge you for).
By watching this trend, the manager knew when to increase budgets to capture additional demand.
Wrap-up
“What will happen if we increase our budget to $x or x%” are common questions you can easily solve using lost impression share by budget.
If you can’t raise your budget, it might be better to pause your worst-performing keywords. You may also want to move funds to campaigns that are limited by budget but have much lower CPAs or higher ROAs. This means you can make more profit with the same budget.
If you can increase your budget, then do a little math for each campaign. This ensures you’re spending more where you’ll get the most additional conversions and revenue.
Ready to take control of your PPC budget optimization? Adalysis makes it easy to track lost impression share, analyze budget performance across campaigns, and identify exactly where to reallocate your ad spend for maximum ROI. Our platform automatically calculates the potential impact of budget changes and highlights your best opportunities for growth.
Want to see how much more efficient your campaigns could be? Start your free trial today and discover which keywords are draining your budget and which campaigns deserve more funding — no credit card required.
