Meta Ads vs Google Ads: How to Allocate Your PPC Budget in 2024

“Should we run Google Ads or Meta Ads?” is the wrong question. The right question is: “How should we split our budget between Google Ads and Meta Ads based on our specific business?”

Both platforms are tremendously powerful. But they serve fundamentally different purposes in the customer journey. Misallocating budget between them is one of the most expensive mistakes we see.

The Core Difference

Google Ads captures existing demand. Someone searches “best CRM for small business” — they already want a CRM. You show up, they click, they potentially buy. This is demand capture.

Meta Ads creates new demand. Someone scrolls Instagram, sees your ad for a CRM they did not know existed, gets intrigued, clicks, and enters your funnel. This is demand generation.

Both are essential. The ratio depends on your business characteristics.

The Budget Allocation Framework

Factor 1: Search Volume for Your Product

High search volume (people actively searching for what you sell): Allocate 60-70% to Google Ads, 30-40% to Meta. Capture existing demand first — it is more efficient.

Low search volume (new category, innovative product, niche market): Allocate 30-40% to Google Ads (brand + competitor terms), 60-70% to Meta. You need to create demand because it does not exist yet.

Tool: Use Google Keyword Planner to check monthly search volume for your core product keywords. Below 1,000 searches/month for your primary keyword = low volume.

Factor 2: Visual Appeal of Your Product

Highly visual (fashion, food, home decor, beauty, travel): Meta Ads will likely outperform. These platforms are built for visual discovery. Budget 50-60% to Meta.

Not visually driven (B2B software, insurance, legal services, plumbing): Google Ads will likely outperform. People are not scrolling Instagram looking for a plumber. Budget 60-70% to Google.

Factor 3: Average Order Value and Sales Cycle

Low AOV, impulse-friendly (under €50, ecommerce): Meta excels. The see-it-want-it-buy-it cycle works perfectly for impulse purchases. Budget 50-60% to Meta.

High AOV, considered purchase (over €500, B2B, services): Google Ads excels because you catch people when they are actively researching and comparing. Budget 60-70% to Google.

Factor 4: Creative Production Capacity

Meta Ads require a constant stream of new creative. If you cannot produce 15-20+ new ad creatives per month, your Meta campaigns will stagnate.

Strong creative capacity: You can compete effectively on Meta. Allocate accordingly.

Limited creative capacity: Lean into Google Ads where text ads and keyword targeting carry more weight than visual creative.

Allocation by Business Model

Based on the factors above, here are our recommended starting allocations:

Business Type	Google Ads	Meta Ads	Notes
DTC Ecommerce	35%	65%	Visual discovery + impulse buying suits Meta
B2B SaaS	70%	30%	High intent search + long sales cycle favors Google
Local Services	80%	20%	High intent, immediate need = Google dominance
Lead Gen / Finance	60%	40%	Mix of intent capture and awareness building
App Install	30%	70%	Meta’s targeting and creative formats excel for apps
Luxury / Fashion	40%	60%	Visual discovery matters, but search catches high-intent buyers

These are starting points. After 60-90 days of data, adjust based on actual performance.

The Blended ROAS Approach

Stop evaluating each platform in isolation. Use blended ROAS as your north star metric.

Blended ROAS = Total Revenue / Total Ad Spend (across all platforms)

Why? Because Meta Ads often drive awareness and initial interest, but the actual conversion happens through a Google brand search days later. Evaluating Meta on last-click attribution will make it look worse than it is. Evaluating Google brand campaigns on last-click will make them look better than they are.

The reality: Meta creates the demand, Google captures it. They work together. Measure them together.

When to go All-In on One Platform

There are situations where concentrating budget makes sense:

• Budget under €2,000/month: Split across two platforms means neither gets enough volume to optimize. Pick the one most aligned with your business (use the framework above) and go all-in until you have budget to expand.
• One platform dramatically outperforms: If Meta is returning 5x ROAS and Google is at 1.5x after 90 days of proper optimization, shift budget toward Meta. Revisit Google quarterly.
• Creative constraints: If you genuinely cannot produce creative consistently, do not fight Meta’s requirements. Focus on Google until you solve the creative production problem.

The Platform-Specific Budget Split Within Each Channel

Once you have your Google/Meta allocation, split within each:

Google Ads internal split:

• Brand Search: 10-15%
• Non-Brand Search: 40-50%
• Shopping (if ecommerce): 25-35%
• Performance Max: 10-20% (test budget)
• Display/YouTube: 5-10% (retargeting only)

Meta Ads internal split:

• Prospecting (cold): 55-65%
• Retargeting (warm): 20-25%
• Retention (existing customers): 10-15%
• Testing (new creative): 10-15%

The 90-Day Review Process

1. Run with your initial allocation for 90 days
2. Calculate blended ROAS monthly
3. Calculate platform-specific ROAS monthly
4. At 90 days, compare marginal ROAS — which platform returns more for the next euro invested?
5. Shift 10-20% of budget from the lower-performing to higher-performing platform
6. Repeat quarterly

Budget allocation is not a one-time decision. It is an ongoing optimization process based on real performance data.