How to place google ads on a small budget?

Many people think that Google Ads is only for big businesses with big budgets, such as multinational brands.

This is not the case and many small businesses, even very small ones, are getting good results with Google Ads.

However, if you have a limited budget, then it becomes a challenge to utilize it well and get the most out of it.

What is a small budget?

A “small budget” is a relative concept that depends on your industry and competitive environment. The same budget can mean very different things in different industries.

For example, an e-commerce business with a $1,000 monthly advertising budget selling women’s apparel might be considered small in that industry because competitors may be spending thousands of dollars a day.

But if a company with the same $1,000 budget sells life insurance, that budget doesn’t even have a chance of getting the ad exposed for display because the budget is so small.

That’s because the cost-per-click (CPC) of ads varies dramatically from industry to industry. While an e-commerce business may only pay between $0.50 and $1 to get a click, a life insurance business may have to pay $10 – $50 to get a click, or even more.

With a budget of only $1,000 a month, this means that a life insurance business may only be able to get 3 clicks per day, which is almost meaningless in terms of ad effectiveness.

If your ads are only generating very few clicks per day, such as 2, 3, 4, 5, 6 or even 10 clicks per day, then Google Ads may not be for you because the conversions are certainly almost non-existent.

In this case, you may need to consider other free or low-cost marketing methods, such as social media content creation, writing articles, short videos, and other traffic generation, to build up your business base first, and then gradually invest your money into Google Ads.

To summarize: I have a budget of less than $20 per day and less than $600 per month, which can be a small budget, but of course a small budget can be successful in ads placement.

Small Budget Google Ads Strategy

If your budget is small but still able to support Google Ads ads, then you need to adopt some specific strategies to maximize your return on investment. Here are some key strategies:

● Focus on niche markets

● Optimize landing pages

● Choosing the right bidding strategy

● Careful use of display ad networks and Performance Max

● Ongoing optimization and budget expansion

Next, I’ll cover each strategy in detail.

Focusing on segments: precision targeting

When you have a limited budget, don’t try to cover all products and services. Instead, you need to focus on a specific segment and choose a single product or service as your target.

Because of a limited budget, you won’t have access to enough data to analyze the performance of all your products and services. For example, an e-commerce business that sells a wide range of household appliances will find it difficult to determine which products are winners and which are losers if you rely only on 100 clicks per day.
Therefore, you need to choose a segment, such as ovens or dishwashers, and focus your promotional efforts, or pick products more segmented.

How do you choose the right market segment?

You need to consider the following factors: level of competition and cost per click (CPC). Choose segments with lower competition and lower CPC so that your budget can reach a wider audience and give you an edge over the competition.

Also, use the Google Keyword Planner tool to analyze the level of competition and CPC for each segment to make informed decisions. Remember, don’t try to be all things to all people, focus on one niche to get the best results.

Many people actually place Google ads by ignoring the free Keyword Planner tool, which is actually a very useful tool.

Optimizing landing pages: boosting conversions

Many people place ads and then use a website that contains all their products and services and use it as a landing page for all their ads. With a good budget, this approach may be acceptable. But for small-budget ads, it’s crucial to optimize the landing page.

You need to create landing pages specifically for each product or service.