Paid advertising campaigns: How to manage their budget?
Posted: Thu Mar 27, 2025 6:13 am
The ability to manage an advertising budget should be a core skill for any PPC professional. Overspending due to human error results in awkward conversations with clients and other stakeholders and is difficult to explain. Learn the most important aspects of working with advertising budgets and adopt the right habits to keep your accounts in tip-top shape in today’s diverse PPC landscape.
How advertising budgets work
Before you start paying for paid advertising, think about how much you intend to spend on it each month.
Consider setting a cost cap for at least the next self employed data quarter, or better yet, six months, to give your budget enough time to handle and smooth out the initial turbulence. This time is especially important for a brand new account.
Now divide your monthly budget by 30.4 to get your daily PPC budget. If you want to run your ads only on certain days (Monday - Friday), multiply the number of days by 4.3 (the number of weeks in a month), and then divide the result by your total monthly budget. This will give you the amount you plan to spend each day your ads are active.
However, be careful, because some advertising platforms, including Google, can spend double your daily budget on any given day without proper monitoring, until they use up the amount allocated for the entire month.
Let's say you want to invest about 60,000 CZK per month in PPC, so you set the daily budget to 2,000 CZK. However, you will lose up to four thousand CZK per day from the set budget , while still not exceeding the calculated 60,800 CZK. This means that if you don't have your account under control and you run out of money, your ads will stop showing.
How advertising budgets work
Before you start paying for paid advertising, think about how much you intend to spend on it each month.
Consider setting a cost cap for at least the next self employed data quarter, or better yet, six months, to give your budget enough time to handle and smooth out the initial turbulence. This time is especially important for a brand new account.
Now divide your monthly budget by 30.4 to get your daily PPC budget. If you want to run your ads only on certain days (Monday - Friday), multiply the number of days by 4.3 (the number of weeks in a month), and then divide the result by your total monthly budget. This will give you the amount you plan to spend each day your ads are active.
However, be careful, because some advertising platforms, including Google, can spend double your daily budget on any given day without proper monitoring, until they use up the amount allocated for the entire month.
Let's say you want to invest about 60,000 CZK per month in PPC, so you set the daily budget to 2,000 CZK. However, you will lose up to four thousand CZK per day from the set budget , while still not exceeding the calculated 60,800 CZK. This means that if you don't have your account under control and you run out of money, your ads will stop showing.