Average Budget Utilization % and Average Budget Utilization Hour are budget management rule attributes that can be used in any budget management ruleset. These attributes help in the automation of campaign budgets based on their budget utilisation efficiency. Both of these attributes work on Amazon's Marketing Stream (hourly performance) data and hence are refreshed every hour.
How are these attributes calculated?
Average Budget Utilization (%): Average Budget Utilization (%) is calculated by averaging over the budget usage of each day in the given period. Budget usage for day is defined as the spend divided by the budget on the last hour of the day when the campaign received clicks. It is possible for this number to be greater than 100 since Amazon may spend more than the daily budget on certain days. If you change budget multiple times in day, Adbrew only considers the budget utilisation at the end of the day. End of day is defined as the last hour where your campaign received clicks. E.g., if a campaign's budget of $100 gets exhausted at 2pm and the budget is increased to $200, and the campaign ends up spending $180 by the end of the day, then the Average Budget Utilisation for that campaign for the day would be $180/$200 = 90%.
This attribute is calculated based on Amazon Marketing Stream events, which only sends updates on budget usage increments of 5%. Because of this, Adbrew's budget utilisation may in some cases be lower by upto 5% than actual usage. For example, if a campaign reaches a utilisation of 96% at 10pm, post which, for various reasons, the campaign is only able to consume 98% of the allocated budget. Adbrew's budget usage in this case will be computed as 96% for that day -- because Amazon won't send us an event until it reaches 101%.
Average Budget Utilization Hour: Average Budget Utilization Hour is calculated by averaging the hour at which the budget for a campaign gets at least 95% utilized. If a campaign reached 95% usage utilisation multiple times in a day (due to intraday budget increases), the last hour at which usage crossed 95% will be taken. This will then be averaged over for all days in the lookback period of the ruleset.
For example, if a campaign has a budget of $100 and the campaign utilises 95% of the budget at 3 PM, the Average Budget Utilization Hour would be 15 (3 PM in 12-hour clock notation) for that day.
Note: If the campaign stays within budget throughout the day, Average Budget Utilization Hour for that campaign would be 23.
How to use these attributes in a Campaign Budget Management Ruleset?
Let's say you want to automate the budget for your campaigns based on two factors - 1) ACOS and 2) Budget Utilisation. You want to look at the past 1 week of data and if the ACOS of the campaign is less than 20% and the average budget utilisation is greater than 80%, you want to increase the budget by 25% at 12 PM every day. You can create a simple budget management rule to accomplish this:
Now, instead of simply increasing the budget by 25%, you may want to increase your budget by different percentages. This may be needed especially in cases where your campaigns go out of budget in the middle of the day. For example, if the campaign doesn't even last till 12 PM, you may want to double the budget. However, if a campaign remains active throughout the day and goes out of budget post 10 PM, you may want to just increase the budget by 10-20%.
This is where Average Budget Utilization Hour attribute comes into the picture. You can use this attribute to know the exact hour at which the campaign goes out of budget and leverage that information to create separate rules.
You can create extremely advanced and powerful rulesets having multiple rules to take different actions based on Average Budget Utilization and Average Budget Utilization Hour attributes and automate the budget for your campaigns with precision. If you have any further questions on these parameters or would like to discuss such advanced strategies, reach out to your Customer Success Manager or simply email us at [email protected].



