How To Use Google AdWords Shared Budgets


Google AdWords recently introduced the shared budget feature that allows for a single budget to be distributed between multiple campaigns within a PPC account.

This was exciting news to many people as it was obvious that this would be a very useful feature that could help streamline spending and increase efficiency. Shared budgets let you control your spending whilst helping to minimise lost impression share due to the lack of budgets by removing some of the buffers. The only question left is how best to implement shared budgets?

Although every business and every PPC account will have different requirements there are some principles that can be used to help decide how best to set up your shared budgets. I have spent some time experimenting with shared budgets and this is what I’ve found so far:

How to Implement Shared Budgets

  • Don’t be too granular; shared budgets are there to make your life easier so use them as a broad tool for easier management
  • Branded campaigns generally convert better and at a lower cost; group these into the same shared budget and try to minimise their lost IS (budget)
  • If you have regional campaigns, grouping these within the same shared budgets can be useful, particularly if spending is allocated at a regional level
  • One of the best ways to group campaigns is based on similar performance
    • Grouping by similar cost per acquisition is effective as this means that if there is budget constraint you can ensure it is in relation to campaigns that are more costly
  • As with most PPC, you should separate out the different networks as the user intent is diverse as are the conversion rates and CPA’s
    • The display network is designed to target people early in the buying cycle and increase brand awareness
    • The search network captures people who have more user intent as they have searched for your product
    • Remarketing campaign are designed for people who have shown even more user intent by coming to your website and even starting the conversion process
Shared budgets are still a new feature and i’m sure i will experiment further and find other good uses for them. Let me know if you’ve found any other effective uses that you would like to share!

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