How Much Should You Spend on Google Ads? A Practical Guide
One of the first questions we hear from new clients is "How much should I spend on Google Ads?" The honest answer: it depends. But here's how to figure it out.
Start With Your Numbers
How much is a customer worth to you? If a customer spends $500 on average and you're happy paying $50 to acquire them, that's your target cost per acquisition.
Research Keyword Costs
Use Google's Keyword Planner to see average cost-per-click for your industry. Some niches cost $1 per click, others cost $15. This directly affects how far your budget stretches.
Set a Test Budget
We recommend starting with enough budget to generate at least 100 clicks. That gives you enough data to see what's working. For most businesses, $500–$1,000 per month is a reasonable starting point.
Track Everything
Set up conversion tracking before you spend a penny. Without it, you're just guessing which ads bring results.
Optimize Before Scaling
Don't increase your budget until you've optimized what you have. Improve ad copy, refine targeting, and test landing pages first.
Scale What Works
Once you find campaigns with a healthy return, increase spend gradually. A 20% budget increase every two weeks lets you scale without losing control.