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How much does PPC typically cost for a small business?

Short answer

Small business PPC has two costs. Ad spend often runs from a few hundred to several thousand dollars a month, depending on your trade, area and goals. Management, if you hire help, is a separate fee. Ours starts at $1,000 a month. The right spend is what your cost per customer and margins can support.

In this answer
  1. 01The two parts of the cost
  2. 02What drives your ad spend
  3. 03A sensible way to start
  4. 04Ways to spend less

The two parts of the cost

What small business PPC costs
Ad spend
  • Paid to the ad platform
  • Set by you, with no minimum
  • Scales with clicks you buy
  • Varies by trade and city
Management
  • Paid to an agency or freelancer
  • Flat fee or a share of spend
  • Covers setup, testing and reports
  • Optional if you run it yourself

What drives your ad spend

  • Your trade. Legal, roofing and HVAC clicks cost more than many retail clicks.
  • Your area. Big metro markets have more bidders than small towns.
  • Your goal. More leads each month need more clicks.
  • Your conversion rate. A better page needs fewer clicks per lead.

Keyword Planner shows estimated click prices for your searches and area. Use it before you set a budget.

A sensible way to start

Set a budget for a two to three month test, big enough to get real data. Track every call and form. At the end, compare cost per customer with what a customer is worth. Then grow, hold or cut.

Good example. A cleaning company tests $1,200 a month for three months, tracks bookings by source and finds a cost per customer it can afford. It doubles the budget on its best service.

Bad example. A company spends a little for two weeks, sees few calls and quits before any data comes in.

Ways to spend less

Target fewer, better keywords and tighten your area to where you work. Run ads during staffed hours and send traffic to a page built for each service. Each of these cuts waste before you add budget.

Read Google Ads starting budget. Our PPC management is a flat fee with no long contract, and you keep your ad accounts.

Keep reading

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