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AdWords Budget based on 2% CTR


Author Message
Fabio Salvadori

PostPosted: April 27, 2004 4:39 PM 

Importance: AWA

AdWordsAdvisor says the recommended daily budget is based ona round 2% CTR.

AdWordsAdvisor Says: [Link to quote]

"...I trimmed the campaign to the top performing keywords and these have high CTR: from 3.5% to 30%. So if I understand correctly, the recommended budget is probably not accurate for this campaign? "

It's hard to make a blanket statement, vmills, especially without being able to see the account. But I'd say there is a very good chance the system that calculates your recommended budget is being 'fooled'. This is because it is using a very moderate CTR in the neighborhood of 2% to calculate how often your ad will be clicked on. And in reality, it is being clicked on at a rate up to 15 times higher.

BTW, another way to test for this is to check your campaign spend day-by-day using the date range tool. If you notice that your daily budget is being hit or exceeded often, then that is a pretty good clue that your budget is too low - and that your ad is not showing 24/7.


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