How to Set Up Search Campaign for Local Business

Hello! I asked here recently about whether I should be using PMax or Search campaigns for my local kitchen business in the UK, and the feedback was overwhelmingly in favor of Search campaigns. However, I’ve been struggling with performance, and I think it’s due to how I’ve set them up.

We focus on a very local market—only serving customers within a 20-mile radius of our showroom—and we want to target the higher end of the market.

Our main goals with Google Ads are to:

  1. Encourage brochure downloads
  2. Increase foot traffic to our showroom

Here’s the issue: I’ve lumped all my keywords into one ad group, and I now realize that was a mistake.

My question: Should I split my keywords into separate ad groups, such as:

  • General Keywords
  • Showroom Visits
  • Specific Kitchen Styles
  • Competitor Names

I have a daily budget of around $50, so I’m concerned about spreading it too thin across multiple ad groups.

Also, how many keywords should I be including in each ad group? I currently have over 100 keywords (Broad, Phrase, Exact), and it feels a bit excessive now that I think about it.

Would splitting these into more focused ad groups lead to better performance, and should I focus more on Exact Match keywords related to our high end business which would pre-qualify clicks to control my budget better?

Any advice would be so, so appreciated! Thank you in advance!