Marketing

Yandex.Direct Budget Forecast: Instructions

Yandex.Direct Budget Forecast: Instructions

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Digital technology expert specializing in project launches. Professionally develops websites and configures contextual advertising for maximum effectiveness.

Knowing the cost of advertising is key to understanding the cost of customer acquisition. Without this data, it is impossible to accurately calculate the project's economics or determine the optimal selling price for a product or service. Understanding these factors will help you manage your business more effectively and make informed decisions.

Yandex offers two free tools that will help you roughly estimate the cost of advertising in Yandex.Direct: Budget Forecast and Wordstat. These tools not only help you determine the cost of advertising but also estimate expected traffic volumes. They will also help you calculate how much should be factored into the price of a product. Let's take a closer look at their capabilities.

  • how to collect semantics for budget forecasting;
  • how to estimate the cost of advertising;
  • what additional data is needed for calculation;
  • how to calculate the cost of an application and sale from Yandex.Direct.

Collecting semantics for budget forecasting

Semantics is a set of keywords and phrases by which advertising is displayed. These are, essentially, user queries in the Yandex search engine. To effectively collect semantics, it is necessary to define basic queries, identify all relevant phrases, and also compile a list of negative words that will help exclude irrelevant impressions. The correct approach to compiling a semantic core allows you to optimize advertising campaigns and increase their effectiveness.

Selection of basic queries is an important stage in SEO optimization. Primary queries are keywords that users enter into search engines. For example, if you need to calculate the cost of advertising a website creation service, the primary primary query would be "website creation." The correct choice of basic queries helps to increase the visibility of the site in search engine results and attract the target audience.

We specify the main query - and Wordstat shows its frequency and other relevant PhrasesScreenshot: "Wordstat"

Basic queries may vary, especially if you intend to promote several services within a single advertising campaign. Basic queries also have synonyms. For example, "website creation" can be replaced with "website development". It is recommended to conduct a separate analysis for each product and for each basic query to achieve maximum promotion effectiveness.

The query "website creation" has an average monthly frequency of 253,572 search queries in Yandex. This figure includes all variations containing the phrase "website creation", including less relevant queries such as "free website creation" and "website creation courses". Optimizing content for these popular queries can significantly increase your website's visibility in search engines and attract your target audience.

To get the exact number of searches for the phrase "website creation," enclose it in quotation marks. Using quotation marks allows you to capture a specific combination of words and obtain data on their frequency of use in search engines. This is an important step for keyword analysis and website content optimization.

Enclose the phrase in quotation marks - and see the exact frequency. Screenshot: "Wordstat"

When analyzing queries on the topic "website creation," it turns out that this term is of interest to users 11,692 times. When compiling a semantic core, it is important to take this frequency, known as exact frequency, into account. It allows us to determine whether the target audience is truly interested in the services we plan to advertise. Checking the exact frequency helps exclude irrelevant keywords and focus on those queries that are in real demand.

I recommend excluding keywords with a low exact frequency, that is, less than five queries per month. It is also worth considering removing keywords where the exact frequency is significantly lower than the overall frequency, more than 100 times lower. For example, if the overall frequency of a search query is 10,000 times per month, and the exact frequency is only 50, this is most likely an irrelevant query.

When selecting relevant phrases for advertising, it is important to use data from Wordstat. This tool allows you to obtain a list of phrases related to basic queries. For effective work, you should enter your primary keywords one by one and save all the found phrases in a separate document. This will help you create a high-quality advertising campaign focused on your target audience.

Semantic keyword selection is an important step in SEO optimization. Let's look at the process using the first page of search results in a relevant service as an example. For more accurate results, it is usually recommended to analyze not just one page, but several. Standard practice is to collect all keywords with a monthly search frequency of over 100 times, which allows you to gain a more complete picture of your target audience and their interests. This approach helps improve your website's visibility in search engines and improve its rankings for important queries.

The right column of the service displays queries similar to the phrase "website creation." If some of these queries match our services, they can be used as additional basic keywords to form a semantic core. This will help improve your website's visibility in search engines and attract your target audience.

Working with semantics is easy in editors like Excel. In this case, we'll use Google Sheets. Create columns named "Keyword," "Quantity," and "Exact Quantity." Select the column with phrases and frequency metrics from Wordstat and copy it to the spreadsheet. Remove the "+" signs from the phrases using Edit → Find and Replace. This process will help you effectively organize your data for further analysis and content optimization.

We get such a table. You can immediately create a second sheet for negative keywords. Screenshot: Google Sheets / Skillbox Media.

Selecting negative keywords is an important step in the content optimization process. We carefully analyze each phrase and evaluate its compliance with our requirements. If any phrase is not suitable, we remove it and add the negative keyword to a separate list. This helps improve the quality of advertising and increase the effectiveness of search queries. Correctly selecting negative keywords promotes a more targeted audience and increases conversion.

Negative keywords are necessary to exclude keywords from the advertising campaign that do not meet our goals. For example, words such as "free," "courses," and others similarly can attract the wrong audience. Without properly setting up negative keywords, part of the advertising budget will be spent ineffectively. As a result, ads may be shown to users searching for "free website creation" or "website creation courses," which do not match our target audience. Using negative keywords correctly can help optimize your advertising costs and improve your campaign's effectiveness.

This is what the keyword list looks like after cleaning. Screenshot: Google Sheets / Skillbox Media
This is the list of negative keywords that we definitely don't want to advertise on. Screenshot: "Google Sheets" / Skillbox Media

Accurate keyword frequency is an important step in the analysis. It is recommended to collect frequency data at this stage, although it is not mandatory. As mentioned earlier, words with an exact frequency of less than 1% of the total frequency can be excluded from the analysis. In our case, no such words were found, so we continue.

Collecting exact keyword frequency is not necessary manually. Google Sheets or Excel can be used for this. All keywords must be enclosed in quotation marks (» «). The resulting list is then loaded into the Yandex budget forecast. Results from this forecast can be exported to Excel. To integrate exact keyword frequency data into the main table with keys, use the VLOOKUP function. This process allows you to effectively manage data and optimize your SEO strategy.

This is what a table with the exact frequency of key phrases looks like. Screenshot: Google Sheets / Skillbox Media

When analyzing keyword frequency, be sure to specify the region in which you plan to conduct advertising campaigns. In the example provided, the region was not selected, which may affect the accuracy of the data and the effectiveness of the advertising. Choosing the right region will help you get more relevant results and optimize your marketing strategies.

The cost of advertising depends on the region in which it is displayed. For example, a click on an ad for the query "website creation" may cost 62 rubles in one region, while in Moscow this price increases to 148 rubles. This emphasizes the importance of choosing a target audience and geographic targeting to optimize advertising costs.

Calculating the cost of contextual advertising in Yandex.Direct

Knowledge of the semantics and geography of ad display allows you to effectively forecast the cost of advertising and the volume of traffic from the Yandex.Direct system. To do this, use the budget forecasting tool, which is available in the Yandex.Direct interface: go to the "Tools" section and select "Budget Forecast." This tool will help you evaluate the potential results of your advertising campaign and optimize your advertising spend. Proper use of a budget forecast helps increase the effectiveness of advertising activities and improve ROI.

The budget forecast interface in Yandex.Direct at the time of publication. Screenshot: Yandex.Direct / Skillbox Media

To obtain accurate calculations, you must provide the service with current and accurate data and correctly interpret the results. This will ensure a high degree of reliability and help avoid potential analysis errors.

Let's start with data selection. First, you need to determine the region in which you plan to place ads. In this case, we will choose Moscow.

Select all the regions in which we want to show advertising. If you plan to show ads nationwide, select "Russia." Screenshot: "Yandex.Direct" / Skillbox Media.

Leave all default settings in the calculation parameters. The service will automatically determine the monthly budget based on the standard advertising campaign settings. This will allow you to optimize costs and effectively distribute the budget for maximum results.

In the "Select keywords" field, enter keywords from the prepared file created during the semantics collection stage. Below is the "Unified set of negative keywords" button. Click it and paste the list of negative keywords into the field that opens. This will allow the service to calculate the budget only for relevant queries, which will increase the effectiveness of the advertising campaign.

This is what the filled fields with keywords and negative words look like. Screenshot: Yandex.Direct / Skillbox Media

Leave the "Automatically adjust phrases with negative keywords" and "Automatically record stop words" boxes checked. These settings are necessary to avoid phrase repetition and exclude functional parts of speech, such as prepositions and conjunctions, from the calculation. These measures will make the calculation more accurate and efficient.

After filling in all the fields, click the "Calculate" button. As a result, you will receive a table with the results, which will display the necessary data.

This is what the budget forecast looks like. Screenshot: Yandex.Direct / Skillbox Media

To correctly interpret the forecast, it's important to understand which data points to pay attention to. Let's start by analyzing the values ​​in each column.

The compiled list of phrases will be used to create ad creatives. These keywords will help effectively promote your product or service, attracting your target audience. Using the right phrases significantly increases the chances of successful ad placement and improves visibility in search engines.

The query forecast is an estimate of the number of queries that users will perform monthly. The data displays the total number of queries taking into account negative keywords, which allows you to exclude irrelevant phrases from statistics. By summing up these indicators, you can get a complete picture of the number of queries across all semantics. This approach allows you to more accurately plan content and promotion strategies, focusing on the real needs of the audience.

Traffic volume is a key metric reflecting the desired level of traffic. This metric can be viewed as a percentage of the maximum possible traffic. For example, at 100%, ads occupy the best placements, which ensures the highest number of clicks and impressions. If the traffic volume is 50%, the campaign will receive only half of the potential impressions, and at 5%, it will receive a minimum share. Optimizing traffic volume is critical to improving the effectiveness of advertising campaigns and achieving maximum visibility.

The average bid forecast is the amount of money an advertiser is willing to spend to win an auction to place their ads. This mechanism works as follows: several advertisers compete to have their ads shown. As a result, the highest-quality ads, or those with high bids, receive impressions. Optimizing the average bid increases the likelihood of successful ad placement and attracts the target audience.

The chargeable amount is the cost per click, which will be automatically deducted from your account every time a user clicks on your ad. Optimizing this amount allows you to control your advertising budget and improve cost efficiency. Smart cost-per-click management helps achieve better results in online advertising.

The CTR forecast, or expected click-through rate, is an important indicator of ad performance. It is expressed as a percentage and calculated based on the projected number of clicks on an ad compared to its total number of impressions. The higher the projected CTR, the more likely users are to click on the ad. Optimizing this metric can improve the results of advertising campaigns and increase their profitability.

The impression forecast is an estimate of the number of times our ad will be displayed in search results. This metric allows us to predict how effectively our ad will be visible to our target audience. Correctly analyzing the impression forecast will help optimize our advertising strategy and increase ad visibility, which, in turn, can lead to increased traffic and conversions.

The click forecast is an estimate of the number of clicks on our ad. This is an important metric that helps determine the effectiveness of an advertising campaign and the level of user interest in the offer. By analyzing the click forecast, you can optimize your advertising strategy to increase traffic and improve conversions. Properly setting up parameters and targeting can increase ad visibility and attract the target audience, which in turn leads to increased clicks and the success of your marketing efforts.

The monthly budget forecast is an estimate of the total expenses we plan to incur during a given period. This metric is important for financial management and allows you to determine in advance how much money will be spent. An accurate budget forecast helps avoid unexpected financial difficulties and facilitates more efficient resource allocation.

For the calculation, we need the key columns "Click Forecast" and "Budget Forecast." This data will allow you to accurately determine the cost per lead and sale, which is essential for effective advertising campaign management. Optimizing these metrics will help achieve better results and increase your return on investment.

Selecting the traffic volume allows you to analyze changes in key metrics. Depending on the selected placement, the predicted number of clicks and advertising cost may vary. Determine the optimal traffic volume to complete calculations and obtain accurate data on the results of the advertising campaign.

This forecast is conditional and is calculated based on the average market value in a specific region. In practice, the cost per click may be lower. The higher the quality of your ad, the higher the likelihood of it winning auctions, which helps reduce click-through costs. Improving the quality of the ad affects its visibility and attractiveness to the target audience, which in turn helps increase the number of clicks and reduce the overall cost of the advertising campaign.

What other data is needed and where to get it

Additional data is required to determine the cost of the application and the sales process. Important indicators include landing page conversion, conversion to sales, and the total number of sales generated through advertising in Yandex.Direct. This data will help you more accurately evaluate the effectiveness of your advertising campaign and optimize it for better results.

A landing page is a web page or clickbar that contains information about your product and an application form. Conversion on such a page is the percentage of users who submit an application out of the total number of visitors. For example, a 10% conversion rate indicates that every tenth user who clicked on the ad submitted an application; a 5% conversion rate means that every twentieth user submitted an application; and 1% means that one in a hundred. In most niches, a conversion rate of 5% is considered satisfactory. Landing page optimization and conversion rate improvement are key to achieving successful business results.

Landing page conversion can be determined using an analytics system or calculated manually. This is done using a simple formula: the number of target actions performed by users divided by the total number of page visitors, multiplied by 100. This metric allows you to evaluate the effectiveness of the page and identify areas for optimization. A high conversion rate indicates that the page's content and design are meeting user needs, while a low rate may indicate the need to rethink your customer acquisition and retention strategy. Regularly analyzing conversion rates will help improve the user experience and increase the effectiveness of your marketing campaigns.

The formula for calculating conversion is as follows: the number of applications is divided by the total traffic and multiplied by 100%. This metric allows you to evaluate the effectiveness of a website or advertising campaign by showing what proportion of visitors completed a target action. Conversion optimization is an important part of marketing, as even small changes can significantly improve results.

Total traffic refers to the number of visitors who reach the page. For example, if your landing page conversion rate is 5%, this means that 5% of total visitors complete a target action, such as a purchase or subscription. Optimizing traffic and increasing conversion are essential for improving your page's performance and achieving your business goals.

Measurement of lead-to-sales conversion is crucial for accurate performance analysis. Not all users who fill out a form make a purchase, making conversion calculations essential for a deeper understanding of the process. To calculate lead-to-sales conversion, you can use the following formula:

The formula for calculating conversion percentage is as follows: the number of sales divided by the number of leads and multiplied by 100%. This metric allows you to evaluate sales and marketing effectiveness and understand how successfully your company converts leads into actual customers. Optimizing this metric can lead to increased revenue and improved business processes.

Sales in this context refer to completed transactions, while leads include orders placed on the website, requests for callbacks, and other targeted user actions. For a more detailed understanding of conversions and their calculation, we recommend that you familiarize yourself with additional information.

Photo: Cameron Prins / Shutterstock

In our example, the conversion rate from lead to sale is 50%. This means that every second user who leaves a lead on our website becomes a client and signs a contract with us. A high conversion rate demonstrates the attractiveness of our offer and the quality of our services. Optimizing the lead processing process allows us to effectively work with potential clients and increase the closing rate.

The number of sales generated from Yandex.Direct advertising is calculated using the following formula:

The number of clicks is multiplied by the landing page conversion rate and the conversion rate to sale. This calculation helps evaluate the effectiveness of marketing campaigns and determine how many leads turn into actual sales. Optimizing each of these metrics can significantly increase a company's profit.

In the budget forecast, you can set the traffic volume at 62%. In this case, we expect to receive 1,239 clicks to the site over the course of a month of advertising, which will cost 142,976 rubles. We calculate the number of sales using the formula given earlier and arrive at 30,975 rubles per sale. Thus, with the given budget, we can attract 30 clients per month.

How much will it cost to attract a client from Yandex.Direct?

Now we can calculate the cost of attracting a client for website development, which allows us to effectively plan the advertising budget within the pricing structure of our services.

There is a simple formula that helps in understanding the basics. This formula is the key to solving many problems and facilitating the analysis process. It is applicable in various fields, including mathematics, physics, and even in everyday life. Correct use of this formula can significantly improve your work efficiency and aid in decision-making. Understanding its principles will allow you to more easily cope with complex situations and find optimal solutions. Therefore, learning and applying this formula is an important step to success in your industry.

Optimizing your advertising budget to increase sales is a key aspect of a successful business. Effectively allocating financial resources to marketing campaigns maximizes your return on investment. It's important to carefully analyze target audience data and use tools to track advertising effectiveness. Comparing advertising costs to sales will help identify the most profitable strategies and optimize your budget. Proper advertising spend management not only increases sales but also builds brand awareness, which improves a company's financial results in the long term.

The budget specified in the forecast is 142,976 rubles. Dividing this amount by 30 yields a cost per acquisition of 4,766 rubles.

This simplified calculation is intended for cases where the sale of a product or service is planned to be carried out independently, without the involvement of a sales manager. In situations where a manager will communicate with the client, it is necessary to take into account the increased cost of sale. In this case, the budget should include the specialist's salary, which will affect overall expenses and, consequently, the profitability of the business.

Let's assume that the manager's salary is 60,000 rubles per month. This amount will be added to the overall advertising budget. Thus, the total advertising costs will include not only the costs of advertising campaigns but also the manager's salary. This allows for a more accurate assessment of the overall costs of promoting a product or service. Including the manager's salary in the advertising budget helps avoid misunderstandings and ensures a full understanding of financial investments in marketing.

The calculated cost of the service is (142,976 rubles + 60,000 rubles) / 30, which equals 6,766 rubles. This value can be used to determine the average cost of one service unit, which can be useful when planning a budget or evaluating pricing policies.

We will take this cost into account when pricing our services, ensuring our profitability.

A common question is: what should I do if my advertising isn't generating sales? To avoid this concern, you can use pay-per-conversion (PPC). This means that funds will be debited from your Yandex.Direct account only when a user submits a request on your website, not for every click on an ad. This approach allows you to manage your advertising budget more effectively and focus on achieving real results, which can significantly increase your advertising ROI.

To PPC, you need to install Yandex.Metrica on your website, set up goals, and integrate it with Yandex.Direct. Detailed information on setting up PPC can be found in the relevant guide. Instructions for linking Metrica with Yandex.Direct are provided in a separate article. Properly setting up these tools will allow you to effectively track and analyze conversions, optimizing your advertising campaigns for maximum results.

To effectively use Yandex.Direct, you need to select a strategy based on pay-per-conversion and set your desired cost per lead. This cost can be calculated using a budget forecast and the appropriate formula. This will help optimize advertising costs and improve the effectiveness of your lead generation campaign.

The advertising budget is calculated using the formula: the advertising budget is divided by the product of the number of clicks and the landing page conversion rate. This approach allows you to effectively manage advertising costs and optimize marketing campaigns. Using the conversion rate, you can accurately determine how much money will be needed to reach the desired number of customers, which facilitates more rational budget allocation and increases the effectiveness of your advertising efforts.

If we receive 1,239 clicks for 142,976 rubles with a website conversion rate of 5%, then the cost per lead will be 2,308 rubles. By entering this amount in the Direct advertising system, the algorithms will optimize ad delivery, ensuring that the cost per lead does not exceed the set value. This allows you to effectively manage your advertising budget and increase the return on investment in advertising.

  • Analysis of the mandatory DRR metric: what it is and how to calculate it
  • Guide to Yandex.Wordstat: how to select keywords for advertising
  • Selection: 10 popular questions about Yandex.Direct from novice marketers
  • Article on formulas for evaluating the return on investment in marketing: ROI, ROMI, ROAS
  • Survey: how much the budget forecast in Yandex.Direct lies and how to use it correctly

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