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The Easiest Way to Stop Performance Max From Wasting Your Google Ads Budget

Performance Max can be a black box of wasted spend. Learn how to identify bad placements and exclude brand terms to ensure your budget drives actual incremental growth.

By Peterson Rainey

Performance Max is powerful—but it’s also one of the easiest ways to waste budget if you let Google run completely unchecked. The platform is designed to automate targeting across Search, Display, YouTube, Discover, and Gmail. In practice, this often means your ads end up on sketchy mobile game sites or converting users who were already searching for your brand anyway.

The good news: you don’t need scripts or advanced hacks to clean this up. Below are two high-impact optimizations I run on almost every Performance Max campaign to improve lead quality.

1. Identify and Exclude Bad Performance Max Placements

One of the biggest blind spots is where your ads are actually showing. Google doesn’t surface this by default, but you can find it:

How to View Placements

  1. Click Reports > Create Report.
  2. Search for Performance Max placement.
  3. Add Impressions and set the range to the last 30 days.
  4. Sort by impressions.

What You’ll Find

You’ll likely see mobile game sites, low-quality content farms, and parked domains. For B2B and high-consideration purchases, these drive accidental clicks and inflated data.

How to Exclude Them

Go to Tools & Settings > Content suitability > Excluded placements and paste the junk URLs from your report.

Tighten Inventory & Content Settings

While in Content Suitability, dial these in:

  • Inventory Type: Switch to Limited inventory. It prevents ads from showing on scammy, low-trust websites.
  • Exclusions: I almost always exclude Parked domains, Sensitive content, and Below-the-fold display placements (which drive high accidental click rates on mobile).

2. Exclude Brand and Competitor Search Terms

Performance Max loves to “harvest” demand rather than create it. It often shows ads for your own brand name to claim easy conversions.

The Brand Keyword Problem

If someone is already searching for your brand, Performance Max didn’t create that demand—it just taxed it. To see if this is happening, check the Search terms report under Insights.

How to Add Negatives

In the campaign view, go to Negative keywords and add your brand name and common variations as phrase match. This forces the campaign to actually prospect for new customers rather than just poaching existing ones.

Why These Changes Matter

These optimizations aren’t flashy, but together they:

  • Reduce wasted spend on low-quality Display inventory.
  • Improve lead quality by focusing on intent.
  • Force incremental growth by moving away from brand poaching.

Performance Max isn’t “set it and forget it.” It’s “trust, but verify.”

Key Takeaways

  • Review Performance Max placement reports monthly; Google won’t show them proactively.
  • Use Limited Inventory settings to protect brand safety and budget.
  • Exclude brand terms to ensure you are reaching new audiences.
  • Guardrails are essential for automated campaigns to produce high-quality ROI.
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About the Author

Peterson Rainey

Peterson is a Paid Media Strategist focused on building Google Ads campaigns that don’t burn budget on garbage traffic. He specializes in high-intent keyword structures and repeatable performance workflows.