Digital Marketing

Don’t Waste Money! How to Budget for Online Ads.

Budgeting for online ads is crucial to ensure you get the best return on investment (ROI) and avoid wasting money. Here’s a step-by-step guide to help you allocate your budget effectively:

1. Set Clear Goals
Define what you want to achieve with your ads (e.g., brand awareness, lead generation, sales).

Assign a monetary value to your goals (e.g., a lead is worth
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2. Determine Your Total Budget
Decide how much you can afford to spend on ads monthly or per campaign.

Start small if you’re new to advertising (e.g.,
500

500–1,000/month) and scale up as you see results.

3. Choose the Right Platforms
Google Ads: Great for intent-based advertising (e.g., search ads).

Social Media Ads (Facebook, Instagram, TikTok): Ideal for targeting specific demographics and interests.

LinkedIn Ads: Best for B2B and professional services.

Display Networks: Useful for retargeting and brand awareness.

4. Allocate Your Budget Across Platforms
Divide your budget based on where your target audience spends time.

Example allocation:

50% to Google Ads (for high-intent traffic).

30% to social media ads (for engagement and retargeting).

20% to display or retargeting ads.

5. Use the 70/20/10 Rule for Testing
70% of Budget: Spend on proven campaigns that consistently deliver results.

20% of Budget: Test new audiences, ad creatives, or platforms.

10% of Budget: Experiment with innovative or high-risk strategies.