Learning how to manage your practice’s Google ad spend can be tricky. If you’ve ever signed up for a monthly subscription service like Netflix, Hulu, Disney Plus, etc., you’re probably used to being billed a fixed rate like $9.99 per month. It’s pretty straight forward.
However, when running ads on Google, things are much different (and more complicated) than what you’re probably used to. Not to mention that any research online will lead you to guides that make you feel more confused than you felt before.
You’re not alone. One of the biggest questions our clients ask is how Google bills their account, so we’ve done all the homework and written an easy-to-read guide just for you. Keep reading to learn exactly how Google bills its customers, what kind of charges you can expect on your credit card and how often.
What are automatic payments?
Google bills via a setting called automatic payments which allows you to accumulate advertising costs and then have those costs billed to your preferred payment method. Now, when using automatic payments, you can be billed either 30 days from your last automatic bill or if your account reached its payment threshold, depending on which of those came first.
Payment thresholds are an amount that, if hit, causes you to be billed. Payment thresholds start at a set amount. You can find this amount in Billings & Payments under the Summary page; however, it starts at $50 and works its way up to $500.
Now let’s say you’ve spent that $50 within your first 30 days running your campaign, then Google resets your billing cycle and raises that threshold in increments. Now your threshold can either be $200 or $350 depending on if you’ve continued to hit and surpass the threshold, the last threshold being $500.
It’s important to note that if you spend less than your threshold, Google will bill you for the exact spend at the end of your 30-day cycle. Your threshold will also remain the same. Example: If your threshold is $200 and you spend less than that, you will be billed for that lesser amount.
Also, when using automatic payments, billing is triggered by thresholds, which means that it is possible you can be billed more than once in the same month. This will only happen if you accrue advertising costs repeatedly over a calendar month period.
I get it, but what if I don’t want to be charged more than one time per month?
Understanding Google ad spend
Many of us like to know exactly what we’re going to be charged and when. Really, what can be worse than seeing an unexpected charge on your credit card? Well, a great way to make sure that you don’t end up spending more than you’ve anticipated is to use alerts and closely monitor your spend.
You would have to stop your campaign before you hit your threshold, which you can find within your billing Summary page.
If this sounds like a tedious process, it is. That’s why at Conversion Whale we have pay-per-click specialists that closely monitor each of our accounts to make sure that we are spending the exact amount that our clients expect. No surprises; full transparency.
A worthwhile investment, pay-per-click advertisements convert leads into buyers 50% more than organic online traffic. In fact, an informative report by Formstack found that pay-per-click ads are one of three top generators of high-volume online leads.
Still, we know Google Ads billing can feel like solving a Rubix’s Cube, but we hope this blog gave you a little more insight as to how it works. If you need more information on how to get a great return on investment using Google Ads, feel free to contact our paid ad experts. We’d be happy to walk you through how we are generating hundreds of new patient calls for our clients’ dental practices!