How much should you spend on PPC?
The advertising budget depends on the business sales goal. Let's say if an average sale for a customer generates $50 in revenue and the sale occurred after 10 people visited the landing page. If we assume that per click would cost $3, then 10 visits would cost $30 ($3x10) in total and it generates 1 sale worth $50. Which means if a business wants to grow this revenue by $500 they would need to hold a budget of $300.
We know businesses who pay hundreds of dollars per ad click because of their business being in a very competitive field. The expense however also depends on many other factors, such as size of the target geography, search volume, cost per click and several search engine algorithm factors.
Are google ads worth it for Small Business?
If used correctly, it is the most cost effective advertising platform for small businesses.
Is Google ads worth the money?
Google ad is a no brainer for any types of businesses. It allows businesses to reach millions of people who search for the right solution to their problem and is the most cost-effective means of advertisement out there.
We would judge the effectiveness of a PPC campaign based on whether people are clicking through the ads and potentially converting into a lead. We know for a fact that on average there is 2-5% click through rate CTR for an add that shows up on google. The conversion rate will vary depending on the landing page message and if its solution meets the user's needs.