Small businesses waste 25% of their PPC budget due to improper set-up and/or optimization

Small businesses waste 25% of their PPC budget due to improper set-up and/or optimization

According to a recent study by WordStream Research, a typical small business waste 25% of their annual PPC budget due to improper set-up and optimization, as well as the lack of monthly management required for a successful ad campaign. The study was based on 500 small and medium sizes business and found the most organizations are wasting a large part of their monthly budget due to the lack of basic PPC best practices knowledge as well as active monthly management.


Some of the key findings from the study:

  • A typical small business wastes about 25% of their annual PPC advertising budget. Depending on the vertical, that 25% of wasted spend adds up to a lot of lost business, sales and leads
  • Only 1% of small business advertisers does work in their account every week
  • Over half (53%) of SMBs only optimize their ads once per quarter
  • 43% of advertisers haven’t added a new negative keyword in the past 30 days
  • Over half of small business aren’t using modified broad match at all. 1 in 4 accounts only use broad match!
  • 1 in 5 small biz AdWords accounts don’t contain a single negative keyword.
  • Small Business Advertisers Have Poor Ad Relevancy
  • Small Business Marketers Have Ineffective Landing Pages
  • Less than half of small businesses have conversion tracking installed.
  • Small Business AdWords Accounts Lack of Mobile Optimization
  • Only 1 out of 20 SMB accounts has set up call extensions (which increase CTR by 10%) in all their mobile campaigns.
  • Fewer than 20% of AdWords accounts have mobile-preferred ads.


The mistake that many small business owners make is trying to do everything themselves. Google does offer excellent resources to learn about PPC but this requires time and dedication. For many business owners the best solution is to hire a professional PPC management service in order to set-up their campaigns as well as to manage it on monthly basis. Some campaigns may require very minimal monthly management depending on the budget, results and competitive landscape.


New to AdWords or already running your own campaigns? Not sure how effective is your current set-up and if you are getting the most return for your budget?

Contact us for a free consultation and we will make sure that your business is set-up for success and maximum return on your investment. Additionally inquire about the 300$ credit for new Google AdWords clients.


Our Services include:

  • A comprehensive keyword research, to identify keyword volume, PPC advertising opportunities and competition for your market
  • Google AdWords and Google Analytics account linking, to ensure proper tracking and PPC optimization
  • Developing and implementing a “conversion strategy”
  • Conversion tracking set-up via Google Analytics and/or Google AdWords
  • Optimizing and/or rewriting text advertisements and set-up of ad extensions
  • Optimize campaign settings for maximum results
  • Set up AB-testing to maximize results
  • Conversion-related bid management
  • Adding negative keywords and placements, to reduce waste of impressions, clicks and budget
  • Final optimization of campaign(s) based on results
  • Monthly reporting on performance and budget, as well recommendations based on results


Source: WordStream Research