Google Ads ROI Calculator
Will Your Google Ads Produce What You Want?
Google Ads can be a brilliant marketing strategy, or they can be a huge waste of money. Before you spend a client’s hard earned money (or your own!) use our Google Ads ROI Calculator to determine if you’re going to have a successful campaign. Simply fill in the highlighted fields and let our calculator tell you if this is a smart investment.
- Monthly Budget: Fill in your estimated monthly budget for your campaign. You may want to start conservatively, and if the results don’t indicate a positive ROI, try increasing the amount in the monthly budget field.
- Estimated Cost Per Click: Add in the estimated cost per click for your campaign keywords. Using Google’s Keyword Planner, enter in a few target keywords for your campaign. Google will display your estimated cost per click.
- Estimated Click Through Rate: Enter the estimated click through rate. You can use industry standards, apply historical trends based on previous experience or simply ballpark your potential CTR.
- Estimated Landing Page Conversion Rate: Your landing page is where the magic happens. Conversion rate is measured by the number of calls and form submissions from your destination landing page, divided by the number of clicks. Not sure what to enter> National averages say about 2.35% of your clicks will take action to reach out via a phone call or form submission. The stronger your landing page and the better the offer, the higher your conversion rate will be. To make sure you’re doing everything possible to convert leads, check out Unbounce’s “Ultimate Guide to Landing Page Conversion.”
- Lead to Customer Rate: Enter the average percentage of your leads that typically turn into customers. If you get 100 calls and emails from potential customers a month, and about 25 of them ultimately turn into customers, your lead to customer rate will be 25%.
- Estimated Value Per New Customer: Finally, estimate the average ticket value of a new customer. Make sure to estimate the lifetime value of this customer if you’re marketing an ongoing service, as opposed to the value of the initial sale.
It’s that simple! The calculator will evaluate your estimated revenue compared to your expected ad spend and tell you your final return on investment. Campaigns have to see a 200%, or 2:1 ROI to even cover the cost of running the ads in the first place. Is the campaign worth it? If not, try increasing budget to see if it will give you the increase in conversions that will improve your results.