KPI Tree

Google Ads Metric

Paid Advertising

Budget allocation analysis evaluates how Google Ads spend is distributed across campaigns, ad groups, and audience segments, and how that distribution relates to conversion volume and return on ad spend. It identifies over-invested and under-invested areas to optimise overall portfolio performance.

Google AdsPaid Advertising

Budget Allocation Analysis

Budget allocation analysis evaluates how Google Ads spend is distributed across campaigns, ad groups, and audience segments, and how that distribution relates to conversion volume and return on ad spend. It identifies over-invested and under-invested areas to optimise overall portfolio performance.

Why budget allocation analysis matters for Google Ads users

Most Google Ads accounts allocate budget based on historical patterns or gut feeling rather than marginal return analysis. A campaign consuming 40% of budget but generating 15% of revenue is quietly underperforming while a constrained campaign with strong efficiency goes unfunded.

Mapping budget allocation into your metric tree alongside ROAS and conversion data reveals which campaigns deserve more investment and which deserve less. This transforms budget decisions from periodic reviews into data-driven portfolio management.

Understand and act on budget allocation analysis with KPI Tree

KPI Tree connects spend and performance data from your warehouse and maps budget allocation alongside ROAS and conversion metrics per campaign. Identify efficiency imbalances in your portfolio.

Assign RACI ownership to your paid media director. Set alerts when budget concentration diverges from performance concentration and track reallocation decisions against their impact on overall ROAS.

Get started with your Google Ads data

Query using MCP
MCP

Pull metrics from Google Ads directly through the Model Context Protocol.

Data Warehouse
SnowflakeBigQueryDatabricksRedshift

Connect your existing warehouse where Google Ads data already lands.

Professional Services
FivetranSnowflakedbt

Our professional services team can build you turn-key AI foundations in a matter of weeks. Data warehouse on Snowflake/BigQuery, ELT with Fivetran, all modelled in dbt with a semantic layer.

Related Google Ads metrics

Return on Ad Spend

Paid Advertising

Metric Definition

ROAS = Revenue Attributed to Ads / Total Ad Spend

Return on ad spend measures the revenue generated for every pound spent on Google Ads. It provides a direct ratio of revenue to cost that quantifies the financial return of your paid search investment, making it the primary efficiency metric for revenue-focused campaigns.

View metric

Cost per Acquisition

Paid Advertising

Metric Definition

Cost per Acquisition = Total Ad Spend / Total Conversions

Cost per acquisition measures the average amount spent on Google Ads to acquire one conversion. It combines click costs and conversion rates into a single efficiency metric that represents the true cost of each customer action generated through paid search.

View metric

Impression Share Lost to Budget

Paid Advertising

Metric Definition

IS Lost (Budget) = (Impressions Lost to Budget / Total Eligible Impressions) x 100

Impression share lost to budget measures the percentage of eligible impressions your Google Ads did not receive because your daily or campaign budget was exhausted. It quantifies the opportunity cost of budget constraints and indicates where additional investment could capture more conversions.

View metric

Bid Strategy Performance Analysis

Paid Advertising

Metric Definition

Bid strategy performance analysis evaluates the effectiveness of different Google Ads bidding approaches - including manual CPC, target CPA, target ROAS, maximise conversions, and maximise conversion value. It compares how each strategy performs on cost efficiency, conversion volume, and return on ad spend.

View metric

Cross-Campaign Performance Analysis

Paid Advertising

Metric Definition

Cross-campaign performance analysis compares key metrics - conversion rate, CPA, ROAS, and revenue contribution - across all campaigns in a Google Ads account. It identifies top-performing and underperforming campaigns to guide budget allocation and strategic investment decisions.

View metric

Empower your team to understand and act on Google Ads data

Map what drives your metrics, measure progress at any grain, prove what works statistically, and deliver personalised action plans to every team member.

Experience That Matters

Built by a team that's been in your shoes

Our team brings deep experience from leading Data, Growth and People teams at some of the fastest growing scaleups in Europe through to IPO and beyond. We've faced the same challenges you're facing now.

Checkout.com
Planet
UK Government
Travelex
BT
Sainsbury's
Goldman Sachs
Dojo
Redpin
Farfetch
Just Eat for Business