Let’s Talk Ad Budgets
Aaron Rudman-Hawkins
Aaron Rudman-Hawkins is a dynamic digital marketing expert and a driving force behind The Evergreen Agency's success. With a passion for technology and a deep understanding of the ever-evolving digital landscape, Aaron has become a trusted name in the industry.
Read Aaron's bio hereAd budgets can be tricky, we’ve all felt it
So here is our advice on how to understand and optimise your ad budgets:
The plateau reality:
- Most accounts reach a performance plateau around 6 months
- This is normal and expected due to market dynamics
- Represents the maximum return from current budget level
- Often mistaken for poor performance or lack of optimisation
Key factors creating the plateau:
- Online auction dynamics
- Market competition
- Cost per click limitations
- Geographic targeting restrictions
- Available search volume
Four strategic options when you hit the plateau:
Increase budget:
- Most straightforward solution
- Maintain same ROI at higher volume
- Requires available capital
- Must ensure margins support increased spend
Refine & focus:
- Tighten geographic targeting
- Focus on best-performing products/services
- Concentrate budget on highest-converting campaigns
- Optimise for specific high-value segments
Maintain & diversify:
- Accept current paid media performance
- Invest in other marketing channels:
- Email marketing
- Social media
- Content marketing
- SEO
Pursue marginal gains:
- Make incremental optimisations
- Stay current with platform changes
- Analyse new search terms
- Test new features and capabilities
The four pillars of digital traffic:
- Paid (Advertising)
- Owned (Direct/Return visitors)
- Earned (SEO/Organic)
- Nurtured (Email/Social)
Remember: The key is recognising when you’ve hit your plateau and then making strategic decisions about which path forward best suits your business goals and resources.
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