Google announces AdWords daily budgets can overspend by 2x, automatically

On Wednesday afternoon, Google AdWords notified advertisers in their accounts and on Twitter that a change had already happened to the way budgets get handled on a daily basis. It is not going over well.

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In the tweet, Google announced, “To help you hit your advertising goals, your campaigns can now spend up to twice your average daily budget.”

Say what?
The link leads to the broader notice that the change took effect Wednesday, and is not optional.

What gets lost in the tweet, which reads like something from The Onion, is that that advertisers “won’t be charged more than your monthly charging limit: the average number of days in a month (30.4) multiplied by your average daily budget.” That is obviously key. To reiterate: advertisers will not be charged for any overages above the expected monthly budget that come from this change.
The concept behind this change actually makes a lot of sense: that campaigns will be better equipped to account for lulls and spikes in daily activity. And, this is something Google has long been doing, just at a much lower increment. Before this update, campaigns could spend 20 percent more than the daily budget on a given day, but overall wouldn’t exceed the calculated monthly budget.

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