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google-ads 2026-05-21 10 min read

Google Ads Audit: 10 Mistakes Costing You Money

The average business spends tens of thousands on Google Ads every month. According to a WordStream analysis of 15,000+ accounts, the average account wastes over $1,000 per month on irrelevant clicks — on users who will never buy. And that’s before Google starts helping with its automated recommendations.

The situation has been getting worse in recent years. Google Ads is increasingly automated — Smart Bidding, Performance Max, automated recommendations. If the foundations are wrong, the algorithm doesn’t fix the mistakes. It multiplies them. Faster than before.

The following checklist covers 10 specific areas worth reviewing in every account. For each point: how to spot the mistake, why it’s damaging and exactly what to do in the Google Ads interface. At the end: what to do if you don’t want to handle everything yourself.

1. You’re Not Tracking Conversions — or Tracking Them Incorrectly

Without conversion data, Google can’t optimise. Campaigns are simply firing blind. That’s why we start here — without this foundation, checking everything else is pointless.

How to spot the mistake

Go to Tools → Conversions. If you don’t see any active conversion actions, or the Source column shows Imported from Google Analytics without a verified tag — there’s a problem.

The second scenario: duplicate conversions. One action fires twice — from GA4 and from a direct Google Ads tag. The account then reports double the numbers, Smart Bidding receives distorted data and optimises in the wrong direction.

Why it’s damaging

Smart Bidding needs a minimum of 30 conversions per month at campaign level to function (for Target CPA; Target ROAS requires 50+). Below this threshold, automated bids are statistically unreliable — the algorithm doesn’t have enough signals. You’re paying for an intelligent system that isn’t actually learning.

How to fix it

  • Go to Tools → Conversions → check the status of each action (green circle = active)
  • Remove duplicates: keep only the conversion actions you’re genuinely measuring (form submission, purchase, phone call) — not page views or video views, unless that’s your goal
  • Verify the tag via Google Tag Assistant or directly in GA4 → Admin → Data Streams → View tag

More about proper tracking: web analytics and measurement

2. You’re Ignoring the Search Terms Report

Your ads are showing for queries unrelated to your product. You’re paying for clicks with no chance of conversion. Yet ten minutes once a week is all it takes.

How to spot the mistake

Keywords → Search Terms. Go through the list and look for queries that clearly don’t belong in your business — competitor brands, generic phrases (“free”, “review”, “how to”) or topics from a completely different field.

Why it’s damaging

Every irrelevant click is wasted budget. On top of that, a low click-through rate (CTR) on poorly targeted queries lowers the Quality Score of your keyword — and that makes clicks more expensive for the relevant ones.

How to fix it

  • Flag irrelevant queries and add them as negative keywords
  • Starter list of negative keywords: free, used, review, tutorial, how, what is, wikipedia
  • Set up shared negative keyword lists at account level — they apply to all campaigns
  • Review frequency: at least once a week for active campaigns, twice a month for lower volumes

More on campaign setup: PPC advertising management

3. Broad Match Without Negative Keywords = Uncontrolled Spending

In Google Ads 2025, broad match is significantly wider than before. The system decides on its own where your ad will appear. Without negative keywords, that could be anywhere.

Why it’s damaging

Broad match works well — but only if you have a clearly defined conversion goal and regularly clean up your search terms (see point 2). Without that, you’ll spend your budget on queries you never approved.

How to fix it

  • Start with phrase match for campaigns with a limited budget — you have greater control
  • Add broad match only when you have enough data (min. 50+ conversions per month) and a tested landing page
  • Set up campaign-level and account-level negative lists — filter out the worst queries systematically
2025 recommendation: Broad match + Smart Bidding works as a combination when the algorithm has enough conversions. Below 30 conversions/month, stick with phrase or exact match.

4. Quality Score Below 5: Paying More for Worse Positions

Quality Score is a number from 1–10 that Google assigns to each keyword. A low score means a higher cost per click and a worse ad position. You pay more and get less.

How to spot the mistake

Keywords → add the Quality Score column. Keywords scoring 5 or below are problematic. Below 3 is critical.

Why it’s damaging

Quality Score is one of the key factors in Ad Rank — alongside bid amount and other contextual signals. Google doesn’t publish the exact weighting. Each Quality Score point can affect CPC by 13–16%. The difference between QS 5 and QS 8 can translate to roughly a 40–50% difference in cost per click.

Fact-check: The original claim about a 40% impact of QS on Ad Rank and 2–3× higher CPC has been replaced with verified data. Source: Google Help Center, WordStream/DataSlayer 2024–2025.

Three components of Quality Score

  • Ad relevance — does the ad text match the keyword?
  • Expected CTR — how likely is it that the user will click?
  • Landing page experience — is the landing page relevant and fast?

How to fix it

  • Create tightly themed ad groups — one topic, 5–15 keywords
  • Include the keyword in the RSA (Responsive Search Ad) headline — Google rates this positively
  • Each ad group → its own landing page, not a generic homepage

5. Bidding Strategy Doesn’t Match the Amount of Data

“Maximise conversions” sounds appealing. And under the right conditions, it works. But without enough data, Google will spend the budget as fast as it can — regardless of your margin.

We see this repeatedly: an account has 15 conversions per month, the owner switches to Target CPA, results worsen, and the conclusion becomes “Smart Bidding doesn’t work.” It does work — but it needs data. Without data, it’s experimenting at your expense.

Rule based on conversion volume

  • Fewer than 30 conversions/month → eCPC or Maximise clicks
  • 30–50 conversions/month → Maximise conversions (without a target CPA)
  • 50+ conversions/month → Target CPA or Target ROAS

2025 warning

Recommendations in the interface are designed to increase advertiser spend — not your margin. Test every recommendation with one question: will this improve or worsen my CPA or ROAS?

Done the audit but don’t want to handle it yourself? Free consultation → ads-agency.cz/contact/ We respond within 2 hours  ·  +420 732 960 888  ·  [email protected]

6. Performance Max Is Stealing Branded Queries

Performance Max (PMax) is the most powerful — and least transparent — campaign type in Google Ads. It goes for easy wins: it shows on branded queries, inflates ROAS and looks great in reports. Meanwhile, it’s taking conversions from your search campaigns.

How to spot the mistake

Compare conversions from your PMax campaign and your branded search campaign over a period when both ran simultaneously. A significant drop in branded search = PMax is likely taking the traffic.

Second signal: Insights → Search categories in PMax. Is your brand in the top 5? Problem.

How to fix it

  • Separate the branded search campaign with a higher bid priority — PMax won’t replace it
  • Set Brand exclusions directly in the PMax campaign settings (available as a self-serve feature since December 2024)
  • Regularly check Insights in PMax — track performance shifts
Fact-check: The original text stated Brand exclusions were available “since 2023.” Correct: self-serve Brand exclusions were introduced in December 2024. Source: AdNabu (March 2026), Google Help Center.
2025 note: Google PMax continually changes data access rules. Monitor changes in the interface — Brand exclusions and Asset Group reports are updated regularly.

7. Missing Ad Extensions (Assets)

An ad without extensions looks smaller and less credible. Users see less information, CTR is lower. Adding extensions takes an hour and is free.

What to add (minimum for every campaign)

  • Sitelinks — at least 4 (services, about us, contact, testimonials)
  • Callouts — at least 4 (“No commitment”, “We respond within 2 hours”, “Since 20XX”)
  • Structured snippets — types of services or products
  • Phone number — essential for mobile ads
  • Location — if you run a physical premises

Sitelinks typically increase CTR by 10–20% according to Google data. The overall impact of all extensions depends on the industry, text quality and ad position.

Fact-check: The original “10–15%” figure has been updated to a 10–20% range for sitelinks based on Google data.

How to fix it

Campaigns → select a campaign → Extensions (or Assets in the newer interface) → Add. Each extension must be relevant to that specific ad group — not just generic.

8. “Limited by Budget”: A Misdiagnosed Situation

The red warning “Campaign is limited by budget” can mean two very different things. The right response depends on which applies to you — and they’re opposite.

Two scenarios

Scenario A: The campaign has good CPA/ROAS and is generating conversions. Limited budget = you’re missing out on profitable conversions. → Increase the budget or move it from lower-performing campaigns.

Scenario B: The campaign has poor CPA/ROAS and weak performance. Limited budget = the system just can’t spend the full loss fast enough. → Don’t increase the budget. Fix the cause: bids, keywords, landing page.

How to tell the difference

Check CPA and ROAS for the past 30 days. Only then decide about the budget. Never increase spend without looking at performance numbers.

Alternative

If the campaign is running under Scenario A but you’re not changing the budget: lower bids → the system gets more clicks for the same money. Or narrow targeting → you show less often, but to more selective users.

9. Remarketing Campaigns Are Missing or Poorly Set Up

The average conversion rate for cold visitors is 2–3%. A user who already knows your site converts significantly better. Without remarketing, you’re paying for traffic — and then simply letting it go.

Minimum for every e-shop or website

  • Remarketing for website visitors in the past 30 days
  • Abandoned carts — the most valuable segment, the strongest intent
  • Users who visited a product page but didn’t purchase

How to set it up

Google Ads → Audiences → Audience Manager → Website segment. Check that the remarketing tag is active (same tag as for conversions). Minimum segment size to launch a campaign: 100 users in 30 days.

More about PPC advertising and campaign setup

10. You’re Blindly Following Google’s Recommendations

One honest statement you won’t find in the Google interface: recommendations are designed to increase advertiser spend — not necessarily your margin.

Specific examples of problematic recommendations

  • Budget increases — without looking at campaign performance
  • Audience expansion — your precisely defined segment gets diluted
  • Switch to broad match — without enough negative keywords, this causes exactly what point 3 describes
  • Auto-apply recommendations — Google can apply changes without your knowledge

The rule

Evaluate every recommendation through the lens of your own CPA or ROAS — not Google’s metrics (clicks, impressions, optimisation score). Clicks without conversions are a cost, not a result.

How to fix it

Settings → Account management → Auto-apply recommendations → check which are enabled. If you’ve never turned them off, Google may be changing your campaigns without your knowledge.

10 Points to Check Today

  • Are you tracking conversions? Are there duplicates?
  • Have you reviewed search terms from the past 7 days?
  • Do you have negative keywords set up?
  • Is your keyword Quality Score 5 or above?
  • Does your bidding strategy match your monthly conversion volume?
  • Does your Performance Max campaign have Brand exclusions set?
  • Do you have at least 4 sitelinks and 4 callouts per campaign?
  • Was your decision to increase budget based on CPA/ROAS data?
  • Is remarketing switched on?
  • Have you checked which auto-applied recommendations Google is running without your knowledge?
Done the audit — but don’t want to handle it yourself? Free consultation, no commitment → ads-agency.cz/contact/ +420 732 960 888  ·  [email protected]  ·  We respond within 2 hours
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