On today’s episode I’m going to do something a little bit different. I’m going to talk about larger ad accounts that are successfully scaled to spending more than $100,000.00 a month in ad spend. We’ll see what we can learn from these big spenders that you can apply to your own account.
Hey everybody, it’s Jim. I hope you’re doing well. It’s good to talk to you again. Welcome to another episode of Marketing in 10.
Okay, let’s jump right in. I do a lot of Google Ads accounts audits where I take a look at the account, analyze accounts, see what’s working, see what’s not, review strategies, give suggestions, all that kind of good stuff. The vast majority of ad accounts that I work with, that I’ve analyzed, and I think this kind of the general population as well, but the vast majority of Google Ads accounts are spending under $1,500.00 a month. If you don’t spend any more than that, don’t consider yourself to be a small fish or anything like that. You’re exactly perfectly average.
$1,500.00 a month might seem like a big number to many of you, especially when you’re just getting started, but I’m pretty sure the 80/20 rule applies here with 20% of Google Ads accounts accounting for more than 80% of the overall spend. Most accounts are really small. But still, there are a lot of very large accounts out there as well. You might be wondering what’s different about an account that spends $100,000.00, $200,000.00, or even $500,000.00 a month on ads. The biggest difference between these large accounts and average accounts is typically the market that you’re playing in.
A law firm, for example, in a competitive market might be paying over $100.00 a click for some keywords. So, that eats up a large budget really quickly. That account might not look very different from your account. It’s just that the numbers are bigger, and that’s out of necessity just because of the market that you’re trying to participate in. Another reason for an account to have a larger spend is because it might be a low margin industry that they’re in. I’ve seen this one a few times too. A good example here might be a company selling commodity items like smartphone cases, iPhone cases. They might only make $2.50 on each sale, so they have to sell as many as they can just to cover their overhead.
A couple of things about accounts like this, these accounts tend to get large and bloated with dozens of shopping campaigns, countless search campaigns, different people responsible for different areas of the account. It’s really kind of a mess and kind of confusing. I don’t really recommend learning anything from these types of accounts. They’re usually just in a tough business. Generally, an account that spends six figures monthly on ads isn’t different from your average small account. You’re going to have similar account structures, but they’ll have higher budgets and be more actively managed. You’ll see better efforts on things like ad testing, ad creative. They’ll probably have more in depth re-marketing and have better audiences to find. Just because they have more volume, they can define their audiences a little bit more deeply.
They’ll work with re-marketing probably both inside Google Ads itself, and with third party services like AdRoll. The number one thing you want to learn from these larger accounts is that really anything is possible to Google Ads. For some business models, not necessarily everybody, but for some models you can definitely continue scaling once you’ve dialed in your business model. Wherever you started, or wherever you’re currently at in terms of your ad spend, there’s always going to be room to grow. As long as you’re profitable, then the sky is the limit and you can keep growing.
Okay, that’s all I have for today. Be sure to take a look at the show notes over at JimLastinger.com/13 if you have any questions about your ad account and want me to take a look at it. Feel free to reach out, and we’ll set up a call to discuss. If you haven’t already, please take a second to leave a rating or review so that we can continue to grow the show. That really helps everybody. I really appreciate that. All right, take care everyone. Talk to you soon.