Startin’ Budgets: Formulas & Tips for Your Ad Spend

So, you got a new ad account and wanna find out the best way to spend your money? No worries, we got you covered. The goal here is to get 50 events per ad group per week. Remember, 50 events ain’t just 50 purchases, it’s whatever we’re optimizing for.

Here’s a simple formula to figure out your daily budget per ad group:

50 x (Average CPA for Event x 1.25) / 7 = Daily Budget Per Ad Group

Once you got your budget, let it run for a week. Don’t expect amazing results right away, your account’s still learnin’ the ropes. Just be patient and don’t mess with it for a week, so you can get some solid data.

When to Make Changes

Now, if your numbers are way off after a couple days and ain’t gettin’ better, it’s time to hit the brakes. Turn off the ads, check your settings and targeting, and see what’s up.

Maximize Your Ad Spend with the Right Tools

Another thing to think about is makin’ sure you got the right financial tools to get the most bang for your buck. The American Express® Business Gold Card is great for earnin’ rewards on your ad spend. We use it ourselves, and it’s perfect for the info side of our business.

With this card, you can earn 4X points on up to the first $150,000 in combined purchase categories each calendar year (then 1X thereafter). That’s 4x spend on your ads! Just remember, only the top 2 categories each billing cycle count towards the $150,000 cap.

Click here to learn how to apply for the Amex® Business Gold Card.

Wanna Learn More About Budgets?

If you’re still curious about budgets and wanna learn more, check out this video! It’s got all the info you need to make the most of your ad spend.