How-To Guide · Campaign Setup & Launch

How to Set Up Campaign Budget Optimization Google Ads (Shared Budgets Explained)

Google Ads doesn't use "Campaign Budget Optimization." It uses Shared Budgets. Here's the step-by-step setup, which campaign types are compatible, and how to get more conversions from every dollar.

TL;DR Google Ads doesn't have a feature called "Campaign Budget Optimization." That's Meta's term. Google's equivalent is Shared Budgets, which distributes one daily budget across multiple campaigns automatically. Set it up at Tools > Budgets and bidding > Shared budgets. Pair it with Portfolio Bid Strategies for the best results.

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Originally published .

> Quick answer: "Campaign Budget Optimization" is Meta's term. Google calls its equivalent Shared Budgets. One daily budget, distributed automatically across multiple campaigns based on performance. Set it up in Tools > Budgets and bidding > Shared budgets. Done in under five minutes.

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What Is Shared Budget in Google Ads (Not "Campaign Budget Optimization")

Google's multi-campaign budget tool is called Shared Budgets, not Campaign Budget Optimization.

Clarifying the term: Google uses Shared Budgets, not CBO

"Campaign Budget Optimization" (CBO) belongs to Meta. You won't find it anywhere in Google Ads. Per Google's Ads Help Center, a shared budget is a single average daily budget assigned to multiple campaigns inside one account. It does the same job CBO does on Meta. The name is just different.

How shared budgets differ from individual campaign budgets

With individual budgets, each campaign has its own daily spend cap. Money left unspent in one campaign stays there. It can't flow to another. Shared budgets remove that wall. One budget pool serves every linked campaign, and Google decides how to distribute it each day.

When Google automatically reallocates budget between campaigns

Google monitors spend across linked campaigns throughout the day. When one campaign hits its cap and another has room to convert, the system shifts allocation automatically. No manual input needed. The goal is to spend your full daily budget where it drives the most results.

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Benefits of Shared Budgets

Shared budgets save time and improve how your money gets used.

Reduced manual budget management

Stop adjusting individual campaign budgets every week. One shared budget handles the distribution for you. Daily management time drops. You focus on strategy, not spreadsheet edits.

Automatic reallocation to top-performing campaigns

When a campaign underperforms, its unused budget doesn't disappear. Google reallocates it to campaigns with more conversion potential. Your spend follows performance, not a fixed plan made weeks ago.

13% average conversion increase with Portfolio Bid Strategies

Per Google's Ads Help Center, advertisers who pair Shared Budgets with Portfolio Bid Strategies on Search campaigns see an average of 13% more conversions (based on data from January 2024 through March 2025). The two tools work best together when your campaigns share a similar goal.

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Step-by-Step: Set Up a Shared Budget in Google Ads

The full setup takes under five minutes. Follow these steps in order.

Step 1: Navigate to Shared Budgets in Tools

In Google Ads, click the wrench icon in the top navigation. Go to Budgets and bidding, then click Shared budgets.

Step 2: Create a new shared budget and set amount

Click the blue + button to create a new budget. Give it a clear name so you can find it later. Enter your average daily amount. This is the total you want distributed across all linked campaigns. Click Save.

Step 3: Add campaigns to the shared budget

After saving, select the campaigns you want to include. Only add campaigns with similar goals. Search campaigns chasing brand awareness and campaigns chasing conversions don't belong in the same shared budget pool. Mixed goals reduce the system's ability to allocate well.

Step 4: Link to Portfolio Bid Strategies (best practice)

For maximum impact, pair your shared budget with a Portfolio Bid Strategy. Go to Tools > Bidding > Portfolio bid strategies. Create a new strategy or select an existing one. Apply it to the same campaigns in your shared budget. This pairing is where the 13% conversion lift data comes from.

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Compatibility and Limitations

Not every campaign type works with shared budgets.

Campaign types that don't support shared budgets

Per Google's Ads Help Center, shared budgets are incompatible with Performance Max campaigns, Smart Shopping campaigns, App campaigns, Hotel campaigns using a Commission bid strategy, campaigns in experiments, and Total budget campaigns. Check your campaign type before trying to assign a shared budget. The assignment will fail silently or not appear as an option.

When to use individual vs. shared budgets

Use individual budgets when campaigns have different goals or different audience priorities. Use shared budgets when campaigns serve the same funnel stage and you want Google to allocate spend dynamically toward the better performer.

Switching between budget types mid-campaign

You can switch any campaign from an individual budget to a shared one at any time. One important note: switching mid-day resets that campaign's daily spend to $0 for that day. Plan the switch for the start of the day. It avoids wasted pacing and gives the shared budget a clean slate to work from.

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Pair Smart Budgeting With Better Creatives

Budget allocation matters. Creative quality matters more.

Why creative quality affects budget efficiency

A larger budget on a weak ad doesn't fix weak performance. Google's auction system rewards relevant, high-quality ads with better placements and lower costs. Better creatives stretch every dollar further regardless of how your budget is structured.

Using Coinis to generate high-performing ad variations

Coinis doesn't publish directly to Google Ads today, but it's the creative engine that sharpens what you bring to it. Use the Image Ads workflow to generate on-brand visuals from a product URL. Use AI Copywriting to write headlines and ad descriptions built around your brand voice. When you're ready to run on Meta, Campaign Launcher takes those assets from generation to a live campaign in one flow. For Google Ads, bring those same polished creatives into your campaign setup directly.

Testing creative alongside budget allocation

Budget optimization is only half the equation. Test multiple creative variations alongside your new shared budget from day one. The Variate tool inside Coinis Revise generates multiple ad versions fast. Run them in parallel and let performance data guide your next creative refresh.

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Frequently Asked Questions

Does Google Ads have Campaign Budget Optimization (CBO)?

No. Campaign Budget Optimization (CBO) is Meta's term for distributing budget across ad sets automatically. Google Ads has a similar feature called Shared Budgets. It works the same way: one daily budget distributed across multiple campaigns based on performance.

Which Google Ads campaign types can't use shared budgets?

Per Google's Ads Help Center, shared budgets are incompatible with Performance Max, Smart Shopping, App campaigns, Hotel campaigns with a Commission bid strategy, campaigns in experiments, and Total budget campaigns. If your campaign falls into one of these types, use an individual campaign budget instead.

What happens if I switch a campaign to a shared budget mid-day?

Switching a campaign from an individual budget to a shared budget mid-day resets its daily spend to $0 for that day. To avoid disrupting your pacing, make the switch at the start of a new day.

Should I use shared budgets with Portfolio Bid Strategies?

Yes. Google's data shows advertisers using Shared Budgets together with Portfolio Bid Strategies on Search campaigns see an average of 13% more conversions. The combination works best when all campaigns in the shared budget share a similar goal.

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