AdBudgetOptimizer is a desktop application for determining optimal budget allocation strategies in bid-based pay-per-click (PPC) advertising campaigns. It provides solutions for the following problem:

Given a set of keywords for which you want some ads to appear on content and search engine result pages, how much of your daily advertising budget should you spend on each of these keywords? And how much should you bid at most for a individual click on each keyword?

AdBudgetOptimizer determines solutions based on a mathematical optimization model, with the objective to maximize ROI, i.e. the total expected advertising campaign profit.

How it works

In order to use AdBudgetOptimizer, you need the following data for each keyword in your advertising campaign (see Table 1 for an example of input data):

  1. An earnings-per-click value (EPC), which represents the average profit or revenue for a single click resulting from that keyword (this value is usually derived from historical sales data)
  2. An arbitrary number of traffic estimates, where each estimate consists of a max-CPC-bid value, a corresponding number of clicks, and an average-cost-per-click value (this data usually can be obtained from advertising network providers, e.g. with the keyword planning tool for Google Adwords)

Additionally, you can specify a budget value for the overall campaign.

AdBudgetOptimizer constructs the solution space from the provided set of traffic estimates and determines optimal max-cpc-bid and budgets values for each keyword (see Table 2 for an example of result data).

Table 1: Input Data Example
KeywordEPCTraffic estimates
CPC BidAvg CPCClicks
Muffins3 10.510
Donuts4 10.85
Daily Budget: 30
Table 2: Output Data Example
KeywordOptimal Bid ValueBudget


AdBudgetOptimizer is currently being rewritten and will soon be available as a web-based service with many additional features.

If you meanwhile need a customized PPC optimization solution, please get in touch by email: