Monthly estimate
Estimates only. Your real CPC, conversion rate and return depend on your market, account quality and offer. A management fee is separate from ad spend.
Get a PPC planWhat drives Google Ads performance?
The calculator uses five variables. Each one is worth understanding before you commit a budget to Google Ads.
Ad budget
Your budget determines how many clicks you can buy. Set it too low in a competitive market and your ads exhaust their daily limit early, missing the peak search hours. Most UK small businesses find a meaningful test starts at £500 to £1,500 a month. Below that, there is rarely enough data to optimise effectively.
Cost per click
CPC is set by auction and varies enormously by industry. Broad consumer terms might cost £0.50; competitive professional services searches can exceed £10 per click. A well-structured account with strong Quality Scores pays less per click than a poorly managed one targeting the same keywords, which is one reason account management matters.
Website conversion rate
Clicks mean nothing if your landing page does not convert. A page that turns 1 in 100 visitors into an enquiry delivers half the leads of a page that converts 1 in 50, from the same budget. Improving your landing page is often the highest-return change you can make to a Google Ads campaign, costing nothing in additional spend.
Lead-to-customer rate
Not every lead becomes a customer. Your close rate depends on how well the ad pre-qualifies the visitor, how your sales process handles inbound enquiries, and how competitive your offer is. Ads that attract very broad, low-intent searches generate more leads but close at a lower rate than tightly targeted, high-intent campaigns.
Customer value
A business with a £5,000 average customer value can afford a much higher cost per lead than one with a £200 average. Google Ads can look expensive per click in isolation but very efficient when measured against the revenue it generates. Businesses with high lifetime customer value or repeat purchase rates often find PPC the most profitable channel they run.
Frequently asked questions
How much should I spend on Google Ads?
There is no universal answer, but most UK small businesses start with £500 to £1,500 a month in ad spend to generate enough data to optimise. What matters more than the total is whether the cost per lead or acquisition makes sense for your margins. Use this calculator to work backwards from a target number of leads.
What is a good ROAS?
Return on ad spend (ROAS) of 3:1 to 5:1 is a common target for ecommerce, meaning £3 to £5 in revenue for every £1 spent. For service businesses with high margins or high customer lifetime value, even a 2:1 return can be profitable. The right number depends on your margins, not a general benchmark.
What is cost per click?
Cost per click (CPC) is what you pay each time someone clicks your Google Ad. In the UK it ranges from around £0.50 for broad consumer terms to over £10 for competitive professional services searches. Your actual CPC is set by auction and depends on your Quality Score, bid strategy and how many other advertisers are targeting the same keywords.
Is a management fee separate from ad spend?
Yes, always. The ad spend is the money that goes directly to Google to run your ads. The management fee is what you pay the agency or consultant to set up, manage and optimise the campaigns. The two budgets are separate, so a £1,000/month ad budget plus a management fee means your total monthly outlay is higher than £1,000.
Ready to put a budget to work?
Tell me your goals and I will put together a Google Ads plan with realistic targets, a suggested budget and a clear management fee. No obligation.
