Before your ads can run, you need to set your campaign’s budget and keyword bids. Your budget tells Microsoft Advertising how much you want to spend on your campaign. You can set a daily budget and when you reach your budget, Microsoft Advertising will stop displaying your ads until the next day. Keep your advertising costs under control by keeping track of your budget.
Microsoft Advertising has two different budget types you can choose from:
What it is: Microsoft Advertising will help you spend for optimized performance based on the products or services targeted by your campaign and availability of corresponding user searches during the day.
Why use it: This is a great option if you have a limited budget and want your ads to show evenly throughout the day. This way, your ads won’t show all at once in the morning, using up your limited budget early in the day. You will also be able to monitor your budget on a daily basis, making adjustments as necessary to maximize your budget.
What it is: Same as the Daily - Standard budget, but it is shared among two or more campaigns in the Shared Library.
Why use it: With a shared budget, Microsoft Advertising automatically adjusts how your budget is spent across its campaigns to help you improve your ROI.
Your daily budget setting is only a target, so your actual spend might be higher or lower. This is because Microsoft Advertising always calculates a monthly budget and then the actual budget limit is calculated for an entire month. Daily budget types simply help you make sure that your budget is spread out over an entire month and not used up in the first day.
To learn more about shared budgets, see Share a budget across multiple campaigns
Your pay-per-click (PPC) is the maximum amount you’ll pay every time a customer clicks your ad. In general, higher bids help get your ad to display in more desirable locations on the search results page.
There are two bidding options you can choose from: default bidding and custom bidding. When you bid on a keyword, you can use the default bid for the ad group or you can enter a custom bid.
Custom bids for keywords override the ad group default bid for those specific keywords. With custom bids you can focus your time and money on the most profitable keywords, but will need to spend more time on managing the individual bids.
You have even more control over when and where your ads can appear by setting bid adjustments. A bid adjustment increases or decreases your bid, depending on what (or who) you want to target. You can make bid adjustments for specific demographics, locations, days, or time of day, targeting the customers who are most important to you. Doing so can lead to higher conversion rates and a better overall return on investment (ROI) for your campaign. For more information on how to set your bid adjustment, see How to target my customers by adjusting my bids.