5 Sneaky Settings Draining Your Google Ads Budget
Most small business owners I talk to have one thing in common: they set up a Google Ads campaign, turn it on, and assume Google will make the right choices for them. But Google Ads is built to spend your money, not necessarily to spend it wisely.
Here are five default or commonly used settings that might be costing you more than you realize, and how to fix them.
1. Search & Display Network Combined
What it’s supposed to do:
This setting puts your ads on both the Google Search Network (search results) and the Display Network (banner ads on websites and apps) to “maximize reach.”
Why it’s a bad idea:
Search and Display behave completely differently. Search ads reach users actively searching for your product or service. Display ads are passive; you're interrupting someone while they read an article or use an app. Combining the two in one campaign leads to inflated impressions, poor click quality, and muddy data. You cannot optimize what you cannot isolate.
What to do instead:
Run separate campaigns for Search and Display, with separate budgets, goals, and messaging. Or skip Display entirely if you're focused on lead generation.
2. Broad Match Keywords (Without Controls)
What it’s supposed to do:
Broad match lets Google match your ads to a wide range of related searches, helping you “cast a wide net.”
Why it’s a bad idea:
In practice, broad match often shows your ad for irrelevant searches or to people who are nowhere near ready to buy. Without tight negative keywords and conversion tracking, it becomes a money pit.
What to do instead:
Start with phrase match and exact match keywords. Use broad match only after you have dialed in your targeting and have a clear negative keyword strategy in place.
3. Auto-Applied Recommendations
What it’s supposed to do:
Google lets you turn on automatic application of its "improvement suggestions" like keyword changes, bid adjustments, or even adding new ad variations.
Why it’s a bad idea:
These suggestions often prioritize Google's performance metrics (like click-through rate) over your actual business goals (like qualified leads). It is like letting a car salesman change your radio station. You did not ask, and it is not helping you drive.
What to do instead:
Review recommendations manually. Understand what each one will do before applying it. Keep control of your account strategy.
4. Location Settings: “Presence or Interest”
What it’s supposed to do:
By default, Google shows your ads to people in your target location or interested in it.
Why it’s a bad idea:
“Interest” can mean someone researching a vacation, a student writing a paper, or someone who once clicked a link. If you're a local plumber, you do not want clicks from someone in another state who is “interested in Allentown.”
What to do instead:
Change the location setting to “Presence: People in or regularly in your targeted locations.” This ensures you are only paying for clicks from real potential customers in your service area.
5. Maximize Clicks Bidding (Without a Max CPC Cap)
What it’s supposed to do:
This automated strategy aims to get you as many clicks as possible for your budget.
Why it’s a bad idea:
Clicks do not equal conversions. And without a cap on how much you are willing to pay per click, Google may bid aggressively on poor-quality searches just to spend your budget.
What to do instead:
If you are using Maximize Clicks, set a Max CPC limit. Better yet, once you have conversions coming in, switch to a strategy like “Maximize Conversions” or “Target CPA,” but only if you have reliable conversion tracking in place.
Think a Budget Vampire Might Be Lurking in Your Account?
Google’s default settings are designed to make launching a campaign easy, not necessarily to make it profitable. Take the time to review and customize your settings based on your business goals, not Google’s suggestions.
Your money works harder when you are in control.
If you are not sure whether your account is set up the right way, or just want a second set of eyes to make sure you are not wasting budget, I offer account audits. No pressure, no sales pitch—just honest feedback. Reach out anytime.