How much does it cost to use Google Ads? Don’t let Google ad prices scare you. In this article, we will help you create your Google Ads budget.
Using a platform like Google Ads – where you pay per click – can have a much greater impact on your business than you think. According to Google, the average advertiser using their platform earns two TL for every TL they spend. This means that most people who use Google ads double their investment.
Sounds good to us…
So how much does it cost to use Google ads? And more importantly, how will you get that first investment that will allow you to advertise on Google?
For this reason, we will explain how to calculate your Google Ads budget to prevent you from getting into debt.
Many advertising activities are quite costly and can completely eliminate your budget without you even noticing. Of course, you would not want the money you set aside to go to waste.
Using your budget incorrectly will not only provide you with low-quality and few returns, but will also cause a budget loss.
Every time you don’t advertise on Google Ads, you are throwing away the chance to double your return on investment (ROI). If you don’t know how costly Google Ads will be for you, we will surprise you a little.
How Much Are Google Ad Prices?
The keywords you will use in your ad can be very cheap or very expensive -depending on your industry. If you want to use high-volume keywords that are searched thousands of times every month, you may need to pay a pretty penny for this intensity.
A common mistake in pay-per-click campaigns is not doing proper research before the campaign.
Depending on what you do, you may need to pay a reasonable amount such as 0.30 cents per click, or this figure may go up to 9 TL and above. However, even in your own industry, you can see big fluctuations in keyword costs and average cost per click amounts.
How costly is Google Ads? Are Google ad prices too high? The answer to this question depends on the product you are advertising and the industry you are in.
In order to reach more comprehensive data, you need to do research on the keywords you plan to use one by one.
Let’s Calculate Google Ad Cost with an Example
Find your keywords in the tool called Google Ads Keyword Planner and make sure to note the items we have mentioned below:
Keyword
Search volume (monthly search traffic of your keyword)
Cost per click (CPC)
These will help you do some basic math when creating a budget.
If you have written down your keywords, their volumes and cost per click, you are ready to calculate your expenses.
According to WordStream, the average click-through rate for businesses advertising through Google Ads is 1.91%. Depending on your industry, you can calculate how many clicks you will receive per month based on the keyword you have chosen. To do this, you need to go back to your keywords and examine their search volumes.
For example, if the search volume of your chosen keyword covers a thousand clicks per month, you can assume that you will receive 19 clicks per month, taking into account the average click-through rate of 1.91 percent.
If you want to calculate how many clicks you will get monthly with your chosen keyword, our formula is as follows:
Keyword Search Volume * Average Clickthrough Rate = Monthly Clicks
1000 * 1.91% = 19
Your next step should be to take the cost per click (CPC) of your chosen keyword and multiply it by the number of monthly clicks. For example, if your keyword’s cost per click is 5 TL, your monthly payment for this keyword will be 95 TL.
COST per click * Monthly Clicks = Monthly cost of the keyword
5 TL * 19 = 95 TL
Finally, you can estimate your monthly budget by adding up the monthly costs of each keyword.
Start with a Small Investment and Increase If It Works!
At the beginning of our article, I showed you how to calculate the monthly cost of any keyword and we set a budget of 95 TL.
This shows that even a budget of less than 100 TL can be enough to start with Google Ads.
Contrary to popular belief, you don’t need a huge budget to advertise on Google Ads; in fact, in many scenarios, it’s much better to start with a small budget. Because your margin of error is as small as your budget.
If you’re starting out with a monthly budget of 10,000 TL to publish your first ad on Google Ads, you’re really taking a big risk.
It’s only a matter of time before you lose money without even realizing it on this platform that you’re not familiar with yet. But if you only advertise for 95 TL, you can minimize the risk as much as possible.
The key to Google Ads is to start small and adjust your budget over time.
If you’re too fast, you’re risking losing all your investment. But if you start slowly, you can monitor your performance and make the necessary adjustments and optimize your Google Ads account.
If everything is going well with your campaigns, you can increase your investment. After all, this means you’ve created a budget that you can reinvest.
According to Google, doubling your investment has already become commonplace for advertisers on their platform.
Make sure you’re setting up conversion tracking correctly and tracking the right metrics while using the platform.
Remember that the factors that will determine whether you’re successful are net sales and net revenue.
Did your ads generate 15 sales at a cost of $5 per sale? If it fits your budget, you can double your investment and continue to do so.
Start small and adjust based on your results. If your ad campaigns are generating profitable sales that fit your budget, consider increasing your investment.
