The complete conversation, in order. 1,064 words.
kasim: [00:00:11] I wanted to explain why it can be difficult to manage kasim: [00:00:14] budgets instead of Lord Google kasim: [00:00:16] You'll notice this particular campaign kasim: [00:00:18] I'm looking at the brand campaign and you can see 9 73 spent Sunday three kasim: [00:00:22] grand spent Monday 1500 spent Tuesday, 2000 spent Wednesday 1800 spent kasim: [00:00:27] Dwayne's day 16, Friday thousands kasim: [00:00:29] Now here's why I'm bringing this up kasim: [00:00:31] Google kasim: [00:00:32] Has a limited inventory and the inventory is cyclical in a lot of kasim: [00:00:35] ways and there's ebbs and flows and spikes and peaks and valleys kasim: [00:00:37] And Google's actually done a pretty good job, I think at managing kasim: [00:00:40] their inventory, they know what they have and when they have it kasim: [00:00:42] So when you give Google a daily spend, let's see, give Google a thousand bucks kasim: [00:00:45] What they're gonna do is they're gonna multiply a thousand dollars kasim: [00:00:48] by 30.4 to get your monthly budget kasim: [00:00:50] And then they're going to say, great, I'm gonna spend that this month kasim: [00:00:54] And so what's interesting is if you're spending 30 grand a month, kasim: [00:00:57] it's not a thousand dollars a day kasim: [00:00:58] It could be $5,000 today and tomorrow kasim: [00:01:00] And then it's going to bottom out and Google does that because it kasim: [00:01:03] has a sense of, okay, well, I have this inventory available to me now kasim: [00:01:07] There's a big spike in inventory or whatever, and I'm also guessing, right? kasim: [00:01:10] Because I don't know how they're all going to this bill, but this is important kasim: [00:01:12] for you to know because Google is doing this on a month, over month basis kasim: [00:01:17] doing this calculation for the next 30.4 days kasim: [00:01:21] So when you make a budget change, Google's not averaging that out kasim: [00:01:25] within the month that you're in kasim: [00:01:26] So like right now I'm recording this video on May 25th kasim: [00:01:29] Okay kasim: [00:01:29] Let's say that I changed my budget from a thousand dollars a kasim: [00:01:31] day to $2,000 a day on May 25th kasim: [00:01:34] Google is going take $2,000 a day, multiply it by 30.4 and then say, okay, kasim: [00:01:37] this is the budget for the next 30.4 days kasim: [00:01:39] Well, I am managing my budget on a month, over month basis, kasim: [00:01:42] the way that everybody does kasim: [00:01:43] But let's say that Google decides to frontline kasim: [00:01:45] The increase in budget kasim: [00:01:46] Google could spend $20,000 in a day kasim: [00:01:48] It's unusual to see spikes that high, but it happens, but it happens kasim: [00:01:52] Big spikes happen kasim: [00:01:53] I've seen the spike that that's the significant, I don't want to kasim: [00:01:55] overstate what I'm talking about kasim: [00:01:57] They used to have a rule kasim: [00:01:58] It was like 300% and then they took the lid off and now it's just like, kasim: [00:02:01] whatever we decide, whatever we want kasim: [00:02:03] So if you make, what I'm saying is if you make a budget change at kasim: [00:02:05] the end of the month, you could actually find yourself far exceeded kasim: [00:02:09] The budget that you've allocated for that month, because you don't know kasim: [00:02:12] when Google is going to make the expenditures that they're going to make kasim: [00:02:14] And what ends up making things a little bit more difficult is you kasim: [00:02:18] could be in a position to where you don't end up hitting that budget kasim: [00:02:20] So, we used to have these rules kasim: [00:02:22] We had, we, we tell people, especially with smart shopping, we'd kasim: [00:02:24] say don't increase your budget any more than 10 to 20% week over week kasim: [00:02:27] It's not true kasim: [00:02:28] Performance Mexico changed everything and changed everything kasim: [00:02:29] because Google can go outbound kasim: [00:02:31] So there's massive budget increases that are available and accessible to you kasim: [00:02:34] That may not impact the quality of your campaigns, but they may kasim: [00:02:38] which is really frustrating here kasim: [00:02:39] So, like one of the questions you'd asked yourself is what's kasim: [00:02:41] the time lag, meaning when are you going to experience , this change? kasim: [00:02:44] Where are you going to feel the impacts? kasim: [00:02:45] If you know, gosh, it takes 60 days before kasim: [00:02:49] My outbound traffic really turns into potential inbound traffic kasim: [00:02:54] So, the, the impressions, the brand building that I'm doing I'm not kasim: [00:02:56] going to experience the results from that for 60 days, that knowledge kasim: [00:03:00] alone should help you begin to pace your budgets, according to your kasim: [00:03:05] expectations what's the bidding strategy kasim: [00:03:07] If you're a target CPA and kasim: [00:03:09] You're not spending any more already kasim: [00:03:10] It doesn't matter what your budget is kasim: [00:03:11] It doesn't matter if you can spend anything because you're kasim: [00:03:13] there you've hit the ceiling kasim: [00:03:14] What day of the month is it? kasim: [00:03:15] Where are we positioned? kasim: [00:03:16] I'm trying to think about what else, , what's the account performance kasim: [00:03:19] There's other variables that come into play kasim: [00:03:20] And so you can increase budgets a little bit more significantly instead kasim: [00:03:23] of performance max, and you can, instead of other campaigns and accounts, but kasim: [00:03:26] You have to be cautious and you have to be willing to let Google jump around kasim: [00:03:29] Like I just showed him the little screen-share cause it'll bounce kasim: [00:03:31] all over the place and it'll spend according to what it thinks it kasim: [00:03:33] needs on a month over month basis kasim: [00:03:36] So your daily budget, I guess this is the take home message kasim: [00:03:38] And I could have gotten here a lot sooner kasim: [00:03:39] Forgive me, your daily budget is actually a monthly budget kasim: [00:03:44] It's whatever you've articulated in that day, multiply that by 30.4 kasim: [00:03:47] And then Google is going to front end or back load, however it chooses necessary kasim: [00:03:52] So I hope this is helpful information for you kasim: [00:03:54] Appreciate all y'all subscribers
