What is AdWords budget/overdelivery?

PPC |  By on Tuesday, December 5, 2017

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AdWords consultants know that the world of online advertising is never constant — it is not set in stone. You cannot expect ad auctions, competing advertisers, AdWords budget coverage, and even web queries to remain the same regardless of the efforts exerted by your chosen AdWords team. To keep up with these inevitable changes, Google came up with AdWords Overdelivery. What is Overdelivery? Will it affect your initial Google AdWords daily budget recommendation? What will happen if your AdWords daily budget exceeded your limits? Read on to learn the basics.

Overdelivery by definition

The standard ad delivery follows a pattern where Google meets your average daily budget by showing your ads evenly throughout the day. However, it is not always possible to expose these ads evenly through your campaign period. This is where AdWords Overdelivery comes in. Overdelivery impacts AdWords budget coverage. It happens when Adwords daily budget exceeded slightly. Is Overdelivery highly unusual; for AdWords? Not entirely. In the past, Google allowed advertisers to spend up to 20% more than the allotted daily budget. Now advertisers will be able to spend up to twice as much of their average daily budget to reach their click and conversion goals.

Ad budget cuts

If Google may overexpose your ads on days when there is high traffic, isn’t it wise to just cut your daily ad budget? The short answer is no. Anticipating overdelivery by cutting down your Google Adwords daily budget recommendation will likely put a strain your campaign’s performance. After all, low budget means less clicks, and therefore, less conversions.

Reaping the benefits

So what does this mean for advertisers? Basically, Overdelivery allows your campaigns to get more exposure on days when there is lots of high traffic. It creates more opportunities for your campaigns to be put out there and be noticed by your prospects. The best part of it is that while your ads may exceed average daily budget on certain days, Google automatically balances the remaining budget for the rest of the month so you will not end up paying more than your monthly charging limit.

When Google rolled out this change earlier last month, it also announced that there is no way to opt out of Overdelivery. But you can keep a close eye on your campaigns through regular monitoring activities. Keep in mind as well that campaigns that run all month but had budget changes will have to reset their monthly budget limit to the new daily budget for the rest of the month.

Innovations are vital in achieving progress. But to cope with these changes, it is important to get the fact perfectly straight and to know how to make the new setup work to your advantage.

At SearcherMagnet, we believe that the technical expertise of AdWords consultants in PPC management firms is indispensable in ensuring the exceptional outcomes of your online advertising initiatives. That is why we have highly experienced PPC consultants who help clients put together a winning PPC strategy. Want to get yours started? Click here to set an appointment.


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