3 Reasons Why PPC Budget Forecast Is A Must For PPC Campaigns

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Preparing a PPC Budget Forecast is an important step before starting campaigns, but often ignored or not taken seriously by both marketing managers as well as PPC agencies. This leads to unexpected results, misunderstanding between client and agency and chaos for the lack of better words.

Here are the top 3 reasons why a PPC Budget Forecast is a must before starting PPC advertising:

Data is Available for a Realistic Forecast, so Why Not?

In traditional advertising, a budget forecast is usually prepared, regardless of the fact of how unreliable data is available. In the case of PPC, there is plenty of data available for forecast – search trends, monthly keyword search volume, level of competition, suggested bid as well as impression share and expected click-through rate. With this kind of data, your PPC agency could give you a very realistic forecast of estimated daily budget, cost per click, conversion rate, and cost per conversion.

It’s Good to Know How Far Your PPC Ads Dollars Can Go

Since there is data available for monthly search volume, search trends and suggested bid for your target keywords, you can pretty well know in advance how far your PPC advertising dollars can go. How many clicks you can get and with an estimated conversion rate, how many leads or sales you can expect.

If you are a marketing manager, you can tell your senior management how much to invest in PPC advertising and what business volume to expect in return before even you start the campaign.

You Are in Control of Your PPC Budget Before the Word Go

Having known how much is the market size in terms of search volume as well as how much you are going to pay for a visit, lead or sales, you are in absolute control of your PPC budget before starting the campaigns. You can decide how much you would like to invest in testing whether PPC advertising will work for your business.

If it works, you would know pretty well in advance how much more you can invest in PPC advertising and when is the time to look at other channels of advertising; social media, SEO, email marketing, brand advertising – you have your choices beyond PPC but isn’t it good to know what works and what doesn’t beforehand?

Are you considering PPC advertising for your business? Contact us today for a free consultation and PPC budget forecasting.

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