Google Ads ROI Calculator
Most budget conversations stop at what the ads cost. The number that decides whether to run them is what they bring back. Set your budget and what a customer is worth, and this works out the revenue, the return on ad spend, and what is left once the fee is paid.
What Google Ads Could Return
Set your budget and what a customer is worth. Budget, cost per lead and lead volume are tied together, so moving one adjusts the others to something that can actually happen.
Ad spend and management together.
What one closed customer is worth to you in the first year.
Of the leads you get, how many become customers.
Move this and the cost per lead below adjusts to fit your budget.
Legal and medical run high, home services and retail run lower.
Most agencies quote somewhere in this range, often with a monthly minimum.
At $3,000 a month you would expect about 43 leads, 10.9 customers and $21,739 in revenue. That is 8.3x back on ad spend, leaving $18,739 after everything you paid.
This is arithmetic, not a forecast. Real campaigns move with competition, seasonality and how well your landing page converts, and the first month or two of any account is spent finding out what a lead actually costs you.
How to read the result
Return on ad spend is the headline, but the figure that pays your bills is what is left after marketing. A 6x return on a small budget can be worth less in real money than a 3x return on a larger one, so read those two together rather than chasing the multiple.
Revenue per lead is the most useful number to carry into a conversation with an agency. Once you know a lead is worth, say, $500 to you, any cost per lead under that is arithmetic rather than opinion, and a quote either clears it or it does not.
Budget, cost per lead and lead volume move together on purpose. Pick the budget you have, drag the lead count to what you want, and the cost per lead it would take appears. If that number looks impossible for your industry, the budget is the thing that has to change.
If you want a second opinion on the numbers you are working with, our paid search management page explains how we handle budgets and reporting, or book a call and we will tell you honestly whether the target is realistic in your market.
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