How much does PPC advertising cost?

PPC can cost whatever you want it to cost, because you pay only for clicks. In theory you could buy one click per day for $1.

While the minimum budget to do PPC is $1/day, it is very difficult to get any kind of results with that small of a budget. Depending on what industry you are in, the cost will be between $5 and $30 per day to get started.

At NetCom we work with companies who spend $200-$4000 per month on PPC advertising.

But ultimately, it’s not the cost you focus on, it’s the profit. If you had a system where you could spend $1 and make $3, how much would you want to spend? As much as possible!

Traditional advertising channels, like magazines, newspapers, radio, and TV, restrict customers to set pricing. For example, a full page ad might cost $500 or a 30-second radio spot could cost $250. In contrast, pay-per-click advertising costs are completely variable.

With PPC, you only pay when a prospect clicks your ad. In addition to that, PPC offers very low minimums. Although it would be highly inefficient and not recommended, you could buy only one click per day and spend less than $50/month.

With PPC advertising, your ad simply disappears from the internet when you hit your daily budget.

This feature is very nice for small advertisers as it allows them to “test the waters” without investing significant capital.

How much does PPC cost?

While the costs of running a PPC advertising campaign can vary, here are the typical costs:

  • Ad Costs:
    • $1-3 per click
    • $200-2000/month
  • Management Costs:
    • $59-$179/month with Netcom
    • $1000+/month with other PPC companies

To run a small PPC campaign, you can expect to invest around $300/month.

For that $300/month, you can expect to get between 60 and 200 prospects to your website. Since PPC is extremely targeted, the prospects will be highly likely to call you or make a purchase.

A good PPC campaign will convert at around 4%, meaning for every 100 clicks, you will get 4 leads or sales. At a 4% conversion rate, your 60 to 200 clicks equals 3 to 8 customers per month.

So the question becomes, would you pay $300 for 3 to 8 new customers? That probably depends on what you are selling and how much you sell it for.

Can PPC work for your company?

I offer a free mini-consultation session to help you understand PPC advertising. I’ll ask you a few questions about your business and share my industry expertise.

After 5 minutes I will be able to tell you if PPC can work for your company. After that, you are free to ask me any questions you may have.

Interested? Pick up the phone right now and call me at (503) 406-3660.

This entry was posted in PPC Management Blog on by .

About Chris Chong

Chris Chong is marketing consultant specializing in online lead generation and direct marketing for small and micro-businesses. He started his internet marketing career in 2002 and has since founded or helped launch over a dozen start-ups. As an entrepreneur, his passion is to grow companies by applying direct marketing techniques in new ways.

Accepting New PPC Management Customers!
To discuss your PPC campaign, call Chris at (503) 406-3660

4 thoughts on “How much does PPC advertising cost?

  1. Mark Hinde

    I would like someone that really knows what they are doing to straighten out my adwords account to increase specific traffic to my website.
    I do not have alot of money to throw around but I could afford about 3 months of your service for a 10 keyword display.
    I am self taught and built my own adwords account but I know there is room for improvement.
    Can you help and get my accound to perform at peak performance with such a small budget?.
    I use Google adwords and Bing ads

    Reply
  2. Peter

    Hi.I am starting a tech support company. Initially I have limited budget of $500-1200/month for PPC. I am a newbie and starting as an entrepreneur with just 2-3 persons. I want to use Google and Bing ads to advertise. Can you help me? My customer base is in US/UK/IRE/CA. However I have not much budget so I really need it in a minimum budget. Hope you can understand. Please reply me on my Email.

    Thanks.

    Reply
  3. Chris Chong Post author

    Hi Peter, $500/month is enough to get started with AdWords. I would recommend you start with one country and 5-10 keywords that are highly targeted to the services you are offering.

    Signup on our website and we can get started.

    Reply

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