Construction Marketing

How Much Should a Contractor Pay for Google Ads?

Business is going great; you are ready for growth and have the resources to take on more clients! So, here you are, trying to figure out more about Google Ads and how…

Estimated Read Time:  4 minutes


Business is going great; you are ready for growth and have the resources to take on more clients! So, here you are, trying to figure out more about Google Ads and how it can boost your prospective leads — but the question is — how much should you pay?

Regardless of who you talk to in the marketing world, this question comes up all the time.  Generally speaking, there is no “one-and-done” price tag for a Google Adwords Campaign to be successful. However, there are strategies and paths to figure out what will be best for you and your business!

Here are a few main factors to consider.

  • What cost-per-click (CPC) range is most effective?
  • What is your competition doing?
  • Do you want quality over quantity?

Calculating CPC Ranges for Your Ads

What in the world does CPC mean? 

CPC is an acronym for cost-per-click. You will be charged every time someone clicks on your Google Ads depending on the CPC you choose. 

An average CPC can range anywhere from $2 to $10. Some keywords are more expensive than others (mostly due to competition from other Contractors). 

Here is where a PPC strategist comes into play. They will determine the most effective and cost-efficient keywords for your Google Ad Campaign. Hook Agency focuses on maximizing leads and profit in yo’ pocket. We calculate the best strategy for each marketing stage your campaign goes through.

  • CPC is a calculated figure — it changes and is competitive. 
  • PPC Strategists utilize a tool called Keyword Planner to determine keywords and the values associated with them.
  • Relevant keywords get the spotlight you want!

Needless to say, CPC is one of the biggest factors for determining how much you should spend on Google Ads. Kind of similar to the function of an impact driver on a job site  — CPC is the impact driver for your Adwords Campaign!

What’s Your Competition Focused On? 

“If it ain’t broke, don’t fix it.” Seriously though, there is no need to do anything different when something is working, right? That might be true sometimes, but you have to make your Google Ads stand out from the rest of the competition.

Figuring out what your competition is focused on is huge when determining a Google Ad budget. As mentioned above in Part One, CPC can vary based on the popularity of the keyword you want to use. 

Contractors have to know what their competitors are spending for the same keywords in order to determine how much they should spend on theirs. This increases the chances for their Ads to be more prominent and visible compared to competitors’ Ads.

  • Research keywords that other Contractors are using.
  • Find out what trends are common within the field of work.
  • Learn what the going bids are for successful keywords

Contractors will have greater success developing their Google Ads by extracting data from the point above. Remember, you won’t have much representation in Google Ads if you are not matching — or surpassing — what the competition is doing. This is major for determining how much you should spend on paid Google Ads.

Seeking Quality Over Quantity

You might be thinking, “Wait, quality over quantity? It’s advertising… Quality is good, but isn’t quantity more important?”.

Quantity is key for good advertising; the more people who see your Google Ads, the better chance you have of converting them into an actual business. However, if the quality is sacrificed for quantity, it will be less beneficial in the long run. 

The goal is to establish high conversion rates. The Google Adwords Campaign is supposed to pull prospects in — it must be enticing. Choosing to use a PPC strategist will provide the skillset and knowledge to combine quantity and quality. They will understand how to make keywords that are relevant to your targeted market. 

  • Strategies will shift as Adwords Campaigns develop.
  • Adwords strategies require attention to detail.
  • Quality takes expertise and money — quantity only takes money.

Determine Your Ideal Budget 

As we wrap up, we come back to the same question, “How much should a Contractor (i.e., you) pay for Google Ads?”. 

However — as we have discussed — the total amount budgeted for Google Ads is dependent on each Contractor.

Some smaller Contractors can have successful Google Ads Campaigns by spending $200 a month, while others spend $10,000 a month to accomplish their goals. Again, the scope lies within the individual company and their specific needs.

  • Expertise is required — hiring PPC specialists is always a wise choice.
  • There is not a one-and-done figure. It’s dynamic and shifts.
  • Evaluation of keywords CPC and relevance is imperative.

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