Are You Overspending on Ads – How to Audit Your PPC Budget in 10 Minutes
Most marketers realize that pay-per-click advertising is a powerful way to drive traffic and boost conversions, making it an essential part of any digital marketing strategy. However, if you’re not keeping an eye on your budget, it’s easy to overspend without even realizing it. Fortunately, you don’t need to be a digital marketing expert or dive into complex analytics to know if your budget is working or not. All you need is 10 minutes and a clear game plan.
Below is a quick, step-by-step PPC budget audit you can do right now to see where your money is going—and where it might be slipping away.
Step 1: Check Your Total Spend (1 Minute)
Start by logging into your Google Ads or Meta Ads dashboard and jotting down your total ad spend for the month. Compare this number of the previous month. Is it up, down, or about the same?
Step 2: Review Your Campaign Goals (2 Minutes)
To review your campaign goals, you’ll want to ask yourself a few questions: What was this campaign supposed to achieve? Were you aiming for clicks, leads, purchases, or brand awareness? Is the campaign type (search, display, video, social) aligned with that goal? If you’re spending heavily on display ads for conversions but only getting impressions, for instance, there may be a misalignment between your goal and strategy.
Step 3: Look at Your Top-Performing Campaigns (3 Minutes)
Go to your campaign performance overview and sort by conversions, click-through rate (CTR), and cost per conversion (CPC or CPA). Focus on campaigns that are driving results, as well as campaigns that are wasting your budget with low CTRs, low conversions, and high costs. The campaigns that aren’t delivering results should be paused or reworked. There is no need to burn through your budget.
Step 4: Spot Keyword or Audience Waste (2 Minutes)
In Google Ads, go to Search Terms Report and look for low-performing search queries that triggered your ads. Add them to your negative keyword list. This way, you can prevent your ads from appearing in irrelevant searches, saving you money and improving your overall campaign. In Meta Ads, you can even review audience targeting to ensure you are reaching the right people. Exclude broad or underperforming audience segments to reduce waste.
Step 5: Calculate Return on Ad Spend (ROAS) (2 Minutes)
ROAS = Revenue generated from ads ÷ Ad spend
If you spent $1,000 and earned $3,000 in sales, your ROAS is 3x.
Aim for a ROAS that makes sense for your business goals. If your ROAS is under 1.0, you’re likely losing money, which means it’s time to rethink the campaign structure or targeting.
Bonus Tip: Set Alerts or Spend Limits
To avoid future overspending, set daily or monthly budget caps. Also, use automated rules to pause low-performing ads and schedule weekly 10-minute check-ins using this same process. PPC is an effective marketing tool, but managing your budget is an important part of being successful. The goal is to ensure that every dollar spent on advertising helps you get closer to your desired outcome.
PPC That Pays Off. Get in Touch with Us Today.
Overspending on PPC ads isn’t just about wasting money; it’s about missing opportunities to do better. This 10-minute audit gives you quick clarity on what’s working, what’s not, and where to pivot. With just a few small changes, you can stretch your budget further and improve results without increasing your spend.
Need help dialing in your PPC campaigns? KBDC Inc. can review your ad performance and create a smart, lean strategy that works for your goals—no wasted clicks, no bloated budgets. Contact us today for a consultation at 844-412-8786.