| name | ads budget |
| description | Budget allocation and bidding strategy review across all ad platforms. Evaluates spend distribution, bidding strategy appropriateness, scaling readiness, and identifies campaigns to kill or scale. Uses 70/20/10 rule, 3x Kill Rule, and 20% scaling rule. Triggers on: "budget allocation", "bidding strategy", "ad spend", "ROAS target", "media budget", "scaling", "kill list"
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/ads budget — Budget Allocation & Bidding Strategy
Cross-platform budget allocation, bidding strategy review, and scaling assessment.
Usage
/ads budget
/ads budget --platforms google meta tiktok
Process
- Collect budget and performance data across all active platforms
- Evaluate budget allocation against the 70/20/10 framework
- Assess bidding strategy per platform and campaign
- Determine scaling readiness and build kill list
- Generate recommendations with MER analysis
Budget Allocation Framework
70/20/10 Rule
- 70% on proven channels (consistent ROAS/CPA targets met)
- 20% on scaling channels (showing promise, need more data)
- 10% on testing channels (new platforms, audiences, creatives)
Platform Selection Matrix
| Business Type | Primary | Secondary | Testing |
|---|
| SaaS B2B | Google Search, LinkedIn | Meta, YouTube | TikTok, Microsoft |
| E-commerce | Google Shopping, Meta | TikTok, YouTube | Microsoft, LinkedIn |
| Local Service | Google Search, Google LSA | Meta | Microsoft, YouTube |
| B2B Enterprise | LinkedIn, Google Search | Meta | Microsoft, TikTok |
| Info Products | Meta, YouTube | Google Search | TikTok |
| Mobile App | Meta, Google UAC | TikTok | Apple Search Ads |
| Real Estate | Google Search, Meta | YouTube | Microsoft |
| Healthcare | Google Search | Meta | Microsoft, YouTube |
| Finance | Google Search, Meta | LinkedIn | Microsoft |
Budget Sufficiency Rules
| Platform | Minimum Daily | Learning Phase Budget |
|---|
| Google Search | $20/day | Sufficient for 15+ conv/month |
| Google PMax | $50/day | Sufficient for algorithm optimization |
| Meta | $20/day per ad set | >=5x target CPA per ad set |
| LinkedIn | $50/day Sponsored Content | 15+ conversions/month |
| TikTok | $50/day campaign, $20/day ad group | >=50x target CPA per ad group |
| Microsoft | No strict minimum | Sufficient for stable delivery |
Bidding Strategy Evaluation
Google Ads Bidding Decision Tree
Start
-- <30 conversions/month?
-- Use Maximize Clicks (cap CPC at benchmark)
-- When >30 conv/month: Maximize Conversions
-- 30-50 conversions/month?
-- Use Maximize Conversions
-- When stable CPA: Target CPA
-- >50 conversions/month?
-- Use Target CPA
-- When revenue tracking: Target ROAS
-- Revenue tracking active + >50 conv/month?
-- Use Target ROAS
Meta Ads Bidding
- Lowest Cost (default): best for volume, may have CPA variance
- Cost Cap: sets CPA ceiling, may reduce volume
- Bid Cap: maximum bid per auction, most control
- ROAS Goal: target return on ad spend
- CBO vs ABO: CBO for proven campaigns, ABO for testing
LinkedIn Bidding
- Cost Per Send (CPS): for Message Ads
- Maximum Delivery: for Sponsored Content (recommended)
- Manual CPC: for tight budget control
- Target Cost: for predictable CPA
TikTok Bidding
- Lowest Cost: maximize conversions within budget (volume)
- Cost Cap: set maximum CPA (efficiency)
- Bid Cap: maximum bid per impression
- Budget >=50x CPA per ad group for learning phase exit
Microsoft Bidding
- Mirror Google strategy but bid 20-35% lower
- Enhanced CPC for manual campaigns
- Target CPA / Target ROAS for automated
Scaling Assessment
Ready to Scale (Green Light)
- CPA consistently below target for 2+ weeks
-
=50 conversions per week (learning phase exited)
- CTR stable or improving
- ROAS above target
- No creative fatigue signals
20% Rule
Never increase budget by more than 20% at a time:
- Week 1: $100/day -> $120/day
- Week 2: $120/day -> $144/day
- Week 3: $144/day -> $173/day
- Monitor 3-5 days after each increase for performance stability
Scaling Methods
- Vertical: increase budget on winning campaigns (20% rule)
- Horizontal: duplicate winning campaigns to new audiences
- Platform expansion: add budget on new platforms
- Geographic expansion: test new markets/regions
- Format expansion: test new ad formats on same platform
Kill List Assessment
3x Kill Rule
- Any campaign/ad group with CPA >3x target: flag for pause
- Review spend in last 14 days with no conversions: flag for pause
- Creative with CTR >50% below platform benchmark: flag for creative kill
Kill Decision Framework
| Scenario | Data Required | Action |
|---|
| CPA >3x target | >=7 days data, >=20 clicks | Pause immediately |
| No conversions | >=$100 spend or >=50 clicks | Pause and diagnose |
| CTR <50% of benchmark | >=1,000 impressions | Kill creative, test new |
| ROAS <50% of target | >=14 days data | Reduce budget 50% or pause |
MER (Marketing Efficiency Ratio)
MER = Total Revenue / Total Marketing Spend
- Assess blended efficiency across all platforms
- Target MER varies by business: 3x-10x depending on margins
- Use MER to evaluate overall health, not just per-platform ROAS
- Incrementality testing recommended for MER accuracy
Output
Deliverables
BUDGET-STRATEGY-REPORT.md — Full allocation and bidding analysis
- Current vs recommended budget split
- Bidding strategy recommendations per platform/campaign
- Scale list: campaigns ready for more budget
- Kill list: campaigns/ad groups to pause immediately
- MER analysis and trend
- Quick Wins for immediate budget optimization