How Much Does Google Ads Cost?

• Factors That Impact Google Ads Price
• How is Google Ad Cost Calculated?
• Cost of Google Ads by Industry
• How Does Google Ads Determine Your Cost Per Click?

It’s normal for advertisers to have a lot of questions about Google Ads pricing. And if you’re new to online advertising, this article is for you. We’ll share with you whether you can afford the cost of Google Ads and what variables affect it.

When it comes to costs, there is not always a clear answer in digital advertising. Because this cost may vary according to the sector, market, competitors, and service, in addition, since the volume and target size of each advertising campaign will change, its cost will change correspondingly. However, when it comes to Google Ads, some factors directly affect the cost. Let’s examine them together.

Factors That Impact Google Ads Price

Google Ads cost doesn’t set a minimum or maximum amount, as is usually the case for advertising costs. Prices will vary based on the competition in your industry and your campaign goal. In other words, metrics such as cost per click, and cost per impression can be called the beginning of this pricing.

For example, you own a sneaker store and sell through e-commerce. Then when the word “sneakers” is typed into Google, it will be advantageous for you to have your ad campaign appear at the top. Your competitors who need this advantage like you and will want to use it will be necessary at this stage. Prices are also determined by being affected by such variables. Let’s take a look at the key factors that directly affect Google Ads cost.

1. Industry

The industry has a considerable impact on the digital world, as with all forms of advertising. Cost-per-click campaigns are directly affected by the industry you’re in. For this reason, Google Ads is one of the main factors affecting its cost. Competition within the sector directly affects expenditures. For example, advertising on government and financial topics will be more costly than on an architectural topic because there is more competition and competitors are stronger.

2. Location and Network

Google is one of the ideal platforms for global companies and advertising to expand its network. That’s why you may want to widen the diameter of the search network to reach your ad. The location targets of your ad campaigns are important in this process, and location is one of the factors that create additional variables in your Google Ads costs. The average pricing for cost-per-click campaigns varies depending on geography.

The Google Search Network and the Google Display Network should also be counted towards Google Ads costs. These two networks increase the audience by infiltrating search results, websites, and applications. CPC pricing averages will vary from campaign to campaign. The average CPC for Search and Google Ads is $1-2, while the average for Display Ads is $1 or lower.

3. Customer Lifecycle and Current Trends

It doesn’t make sense, in the long run, to consider customers as people who will only benefit from your firm service 1 time. It’s possible for customers and prospects to return to your company and brand for life, and to ensure that you need to be interested, memorable, and trustworthy. If you ask ” Do factors influence my Google Ads costs?” in these terms, the answer is yes.

Due to the volatile market, you need to follow your industry closely, and it is of great importance in online advertising not to miss the trends. Just as being visible through trends on social media is a common way to go, the same goes for online ads, keeping track of it also keeps you in the know. If the cost per click of certain products is falling and decreasing due to the period, it will be important for your ads to be on top of this factor.

4. Keywords and Quality Score

Google sets you a bar based on keyword competition. In other words, you choose the keywords you will use in your advertising campaign, and before you choose, you will see the cost of these words. Because you know the competition rate and volume of these words, you can plan the cost of your campaign and optimize it in a way that maximizes your return on advertising. In short, the Google Ads campaign costs are directly affected by keywords.

Google quality score directly affects many things about your ad rank and costs. What does that mean? It can be explained as follows; Your Quality Score is determined by some criteria, such as account quality, relevance of ads, and past performance. This is some of the factors that directly affect your bid for cost-per-click. So you don’t have to pay the most to be at the top of the rankings. On the contrary, you can lower the price yourself by optimizing other factors.

How is Google Ad Cost Calculated?

When calculating the Google Ads cost, a calculation should be made by considering many of the factors we described above. But if you are curious about the calculations for the Google side of the business, it is possible to summarize as follows; Google charges costs monthly and delivers them to you through “billing.”

Transactions included in Google Ads billing are; All the expenses you make for your advertising campaigns are things like taxes and extra fees, promotional credits, etc. They are a calculation of the expenses included in the invoice after the campaign is executed. We will also explain the average Google Ads cost for a sectoral calculation or cost per click in detail in the continuation of our article.

Cost of Google Ads by Industry

Depending on the industry, not only the costs but also the number of clicks varies. The number of clicks in sectors with a large customer base such as clothing, shoes, food, and e-commerce is much higher, so cost and competition will vary correspondingly. And so the sector with the highest cost is e-commerce. For the construction sector, it is not possible to see the same click-through rates. This is purely a matter of interaction and can be attributed to the tendency of the audience. Hence you can see that the cost is also lower.

By increasing the number of clicks, you can get ahead of your market and get closer to lower costs due to your quality score. For this, you need to be able to make an accurate competitor analysis. Google Ads cost for small businesses can be reduced by following these strategies. Optimizing your digital advertising campaigns in a more detailed and customized way will be an important step for you to make more sensible budget planning.

How Does Google Ads Determine Your Cost Per Click?

Cost-per-click is a metric that refers to the cost you’re charged for each click on your ads. You get the average by dividing the total cost by the total number of clicks. When you bid cost-per-click, you set a maximum limit. However, you may face a much lower fee than the amount you set. But it will not be more than the amount you set. But if you go the manual route, Google will serve you offers and you’ll choose from them.

If you’re curious about how much you’ll pay for a click, we recommend using the Free Keyword Research Tool to find out the estimated average Google Ads cost per click for all search campaigns.