In paid search, ad spend allocation refers to how the total ad spend is allocated among the active campaigns running in an account. Along with the total ad spend level, ad spend allocation is one of the most important leverage points available in controlling the performance – especially net advertising margin (NAM) of campaigns.
Blastoff Labs PPC Telemetry™ reporting monitors many client campaigns and can generate alerts when they exceed preset boundaries, conditions, or critical operating limits. Automated monitoring speeds optimizations of campaigns. For example, when we are walking ads up the “split-testing optimization cycle”, as a new ad is introduced we’ll calculate the number of clicks required to provide a statistically significant result. When that alert triggers, we’re then able to make an immediate decision on a winning ad, and introduce a new ad to replace the lower-performing ad. This allows us to quickly “walk” an ad group up the ad performance curve. Another example is automated bidding in campaigns, which takes up to 14 days to converge and lock in. We set alerts when campaigns to bring our attention back to the campaign when it is in the middle of, then coming out of “learning mode”. Similarly, when faults occur – for example, ads are disapproved or payment methods fail, we are alerted and can act on it immediately. There will be more on the use of alerts in PPC campaign monitoring in other articles across this site [links pending].