Here at work, the budget for Adwords was doubled for October and November. I noticed that after a couple days of adjusting the budget, the cost per day skyrocketed and the conversions were barely any higher than they were with the old budgeting. CPC and impressions went way up, click through rate and conversion rate dropped, and conversions basically stayed the same. Why would this happen? Nothing else (landing pages, keywords, ads, etc) was changed or edited in any way - just the budget...
Hi, what was your Quality score ?, and there is no relation wit budget that if you double your budget your sales will double !!, again monitor your campaign and pause those keywords which is not performing well, and i think you are not monitoring your campaign daily ? Please monitor your campaign daily.
Increased competition for ad space with competitive bids and QS could result in what you are experiencing.
The quality scores for the most part are 8/10 "Great" - this is for a multi billion dollar company who'se been on the net for a very long time. Adwords is still squandering the budget. We're now spending about $200 more per day with the same results as usual!
the same has happened with my adwords account. CTR is down and conversions come at a much higher cost after having increased our budget. In part in may have something to do with the current global economic uncertainty but still is baffling!
This has happened many times to me before. Check your ad positions. For a couple campaigns, the optimal position was not 1-3, but 3-5. Increasing my positions were raising my CPCs and costs but with only a marginal increase in clicks. Also you may have a few very broad keywords that are eating up your entire budget at the new higher budget assuming you're not at 100% SOV. A $6 click on a broad term is not worth 3 $2 clicks if you don't have 100% SOV.
That does not make any sense. If you are doubling the budget, you should be doubling impressions, clicks, sales , etc. Have you guys inquired with customer service?
It does sound like you are using broad match somewhere in your account. Broad matching is a lot broader than people realise and Google will start looking for matches for you to spend you money on things you probably don;t want - especially if you have broad matches with just two keywords. So when you double your spend and Google is struggling to spend your budget on exact & phrase then it will start to get creative on Broad - just my guess. Here, read this on Googles Two Word Broad Match Trap Try running a search query report and you might be shocked at the keywords that are triggering your ads.
Broad match is and always was off - I didn't like that feature from day one. I've also put nearly 200 negative keywords into the account, up to the present day. The campaign is as optimized as it can be - with a usual 50-70 conversions per day (conversion = a brochure sent out to a customer after they fill out a form). Still, Adwords is squandering a lot of money and we're still getting 50-70 conversions per day, but at the cost of about $300 more per day... It could just be coincidence, something else might have happened...either the competitors upped the ante, or it's the economy, as mentioned before.