Unlocking the Power of Mediaboom’s Google Ads Cost Calculator

Is your Google Ads budget a mystery?

With global ad spend hitting a record US$740.3 billion in 2024, businesses need clear answers.

The answer is here: The Google Ads Cost Calculator.

A Google Ads cost calculator can help you optimize your spend, maximize ROI, and stop wasting money.

Stop guessing about your budget and campaign performance. Our easy-to-use Google Ads Cost Calculator tool provides the insights you need to optimize spend, maximize ROI, and eliminate wasted clicks.

Here’s What Sets our Google Ads Cost Calculator apart:

Imagine the frustration of pouring your budget into ad campaigns without knowing if they’re reaching the right audience or delivering a return.

The Google Ads Cost Calculator is your escape hatch from this guessing game.

This free, data-driven tool empowers you to make informed decisions based on real numbers.

• Simple Input: Enter key details like ad spend, click-through rates, and your conversion rate.
• Data-Driven Insights: Go beyond gut feelings – the calculator analyzes your data to predict campaign performance.
• Comprehensive Analysis: Factor in potential agency management fees for a complete picture of your ROI.
• Instant Results: No more waiting weeks for data – get insights on costs and ROI in seconds.
• Optimize Your Strategy: Use the calculator’s predictions to adjust your campaign and maximize impact.

With the Google Ads Cost Calculator, you can finally ditch the guesswork and start making data-driven decisions for your Google Ads campaigns.

Why the Google Ads Cost Calculator is Your Secret Weapon

Many businesses struggle to grasp the true potential (and limitations) of Google Ads.

This is why we created the free Google Ads Cost Calculator – a powerful tool for data-driven decision making.

Here’s how it empowers you:

Calculate Key Performance Indicators (KPIs)

Forget estimations!

Based on your real data, the calculator provides insights into crucial metrics like Gross Revenue, Gross Profit, Return on Ad Spend (ROAS), and Return on Marketing Investment (ROMI).

This comprehensive picture allows you to accurately assess the financial health of your Google Ads campaigns.

Optimize Your Budget with Confidence

Stop flying blind! Run “what-if” scenarios to see how adjustments to your campaign (like ad spend or click-through rates) impact your ROI.

This powerful feature helps you identify areas for improvement and make data-driven decisions that maximize your return on investment.

Identify Your Top Performers

Don’t waste time and resources on underperforming campaigns!

The calculator helps you pinpoint which campaigns are delivering the best results in terms of conversions and revenue.

This allows you to strategically focus your resources on the most successful campaigns for even greater impact.

Stop Wasting Money on Ineffective Ads

Gain crystal-clear transparency into your ad spend.

The calculator allows you to see exactly where your budget is going. This empowers you to eliminate wasted clicks and ensure your investment is driving real results for your business.

What Can You Calculate With The Google Ads Cost Calculator?

We created our Google Ads Cost Calculator with the business owner in mind. We made it easy to calculate the results that matter most.

• Number of Sales Per Month – You’ll have an estimate of the number of units you will sell each month as a direct result of your ad campaigns. In this context, a “unit” can be a widget or a service.
  
• Gross Revenue Per Month – The Google Cost calculator will calculate the estimated monthly revenue resulting directly from your Google Ads.
  
• Gross Profit Per Month-  The Google Cost Calculator will calculate your monthly post-marketing gross profit, including the cost of managing your Google ad campaigns.
  
• Return On Ad Spend (ROAS) – Return On Ad Spend is the “magic gumball machine”  number. It tells you how much money you receive (or lose) for every dollar you spend on Google Ads. Any campaign with a ROAS > 1 is a winner, but the higher, the better.
  
  Unlike the Google-centric ROAS reported in your Google ads account, this ROAS calculated by our Google Ads Cost Calculator includes off-Google costs of managing a campaign. If your off-Google ad costs are too high, even though Google is reporting a ROAS > 1, you may still be losing money. 
  
• Return On Marketing Investment (ROMI) – ROMI is a percentage calculated by dividing your total ad spend (including management costs) by your post-marketing gross profit. A positive ROMI tells you that the money you’ve spent on Google Ads contributes positively to your gross profits.
  
  

Getting Started with the Google Ads Cost Calculator

Step 1: Get Your Free Calculator!

If you haven’t done so already, download the free Google Ads Cost Calculator:

Two Easy Ways to Access:

• Instant Download: Click here to download your free Google Ads Cost Calculator directly. Start optimizing your campaigns today!
• Get Insights & Download: Want some bonus tips along with your calculator? Fill out our quick form and we’ll send you the download link along with valuable insights to help you maximize your Google Ads success.

Step 2: Gather Your Campaign Data

Existing Campaigns:

Lucky you! If you already have Google Ads campaigns running, you can use your real data for the most accurate results. We’ll show you exactly where to find this data within your Google Ads dashboard shortly.

Starting Fresh? No Problem!

Don’t worry if you’re new to Google Ads. You can still use the calculator by making some educated guesses for the input data. Here’s what you’ll need:

Consider including a bulleted list with the specific data points needed here.

Need a Helping Hand?

We get it – getting started can be overwhelming. If you’d prefer some guidance, contact us today! Our team of experts is happy to help you set up your first Google Ads campaign the right way from the beginning.

Here’s the data you’ll need:

Your Monthly Google Ads Spend

Here’s how to find your monthly campaign ad spend in Google Ads:

1. Sign in to your Google Ads account.
2. Click the “Tools” icon and then select “Billing & Payments” followed by “Summary.”
3. On the left-hand side, click “Transactions.”
4. This page will display your costs grouped by month.

Choosing a Budget (New Users or Estimating):

Don’t have existing campaigns yet? No sweat! The calculator can still work with estimated data. Here are some tips on choosing a realistic budget:

• Set a Budget Based on Profit: A common rule of thumb is to allocate 2x your pre-marketing gross profit per sale, per keyword, to your campaign budget.

For example, if you sell a service for $500 with a cost of $200 (gross profit of $300), and you have 5 keywords in your campaign, you might set a budget of $300 x 5 = $1,500 per month.

Remember, this is a “what-if” calculator! Experiment with different budgets to see how they impact your projected ROI. You can easily adjust this number later based on your campaign performance.

Average Cost-Per-Click (CPC)

Understanding Average Cost-Per-Click (CPC):

Your Average Cost-per-Click (CPC) tells you how much you pay, on average, each time someone clicks on your ad. It’s a crucial metric for measuring your advertising efficiency.

Calculating Your CPC:

The formula is simple: Total Campaign Cost / Number of Clicks = Average CPC.

For example, if you spend $100 on a campaign and receive 23 clicks, your Average CPC would be $100 / 23 = $4.34 per click.

Finding Your Existing CPC:

Already running Google Ads campaigns? You can find your average CPC directly within your dashboard. Look for the column labeled “Avg. CPC” in your campaign reports.

Factors Affecting CPC:

• Industry & Location: Competitive markets and targeted locations can drive up your CPC.
• Competition: If multiple advertisers are bidding on the same keywords, the CPC will likely be higher.
• Google’s Algorithm: Google rewards relevant ads with a better Quality Score (QS). A higher QS leads to a lower CPC.

Estimating CPC for New Campaigns:

Don’t have existing data? Use Google’s free Keyword Planner tool!

1. Create a Free Google Ads Account: You’ll need a free Google Ads account to access the Keyword Planner.
2. Access Keyword Planner: Navigate to “Tools & Settings” from the top menu and select “Keyword Planner.”
3. Get Search Volume & Forecasts: Choose “Get search volume and forecasts” and enter your target keyword.
4. Analyze the Data: The Keyword Planner will provide estimates for search volume, cost, and click-through rate for your chosen keyword.

Remember, CPC is an estimate! Actual costs may vary, but this tool provides a valuable starting point for budgeting your next campaign.

PPC Lead Conversion Rate (Conversion Rate)

Your PPC conversion rate is the percentage of people who click your ad and take a valuable action. This action could be anything that moves them closer to becoming a customer, such as sharing their contact information, requesting a quote, or signing up for your newsletter.

Finding Your Conversion Rate:

• Existing Campaigns: If you have conversion tracking set up on your website, your conversion rate is readily available in your campaign data.
• New Campaigns (Hypothetical Data): Use the estimated conversions and clicks provided by the Keyword Planner tool. Divide the estimated conversions by the number of clicks to get a preliminary conversion rate estimate.

Don’t Worry About Tracking Setup: If you need help setting up conversion tracking, we’re happy to assist you!

Understanding Your Sales Funnel Metrics:

• Sales Close Rate: This metric, unique to your business, reflects the percentage of leads generated from your campaign that convert into actual sales.
• Average Revenue Per Sale (ARPS): This represents the typical amount of money earned from each sale within your campaign.
• Product Cost: Consider the cost of goods sold (COGS) for physical products or the cost to deliver your service for each sale generated by the campaign.
• Agency Management Fees (Optional): If you use a third-party agency to manage your Google Ads campaigns, these fees include their service charges and any transaction costs. If you manage them internally, factor in the salary and overhead costs of your dedicated staff.

Step 3: Experiment with Your Variables

Now that you’ve entered your data into the Google Ads cost calculator, let’s explore different scenarios!

• Choose Your Test Variable: Monthly budget, CPC (cost-per-click), and conversion rate are common factors to experiment with.
• Start Small Adjustments: If unsure, begin by modifying these variables by 10-20% up and down from your initial estimates in Scenario 1.
• Test One Variable at a Time: Focus on changing only one variable per scenario for clearer results.
• Advanced Testing: For complex scenarios involving multiple variables, create a separate spreadsheet. List each variable in a column and use the cost calculator to record the ROAS (Return On Ad Spend) and ROMI (Return On Marketing Investment) for different combinations.

This approach allows you to identify the scenario with the most favorable ROAS and ROMI for your campaign goals.

Step 4: Implement and Analyze

It’s time to launch your campaign!

Utilize the Google Ads cost calculator to continuously monitor and adjust your strategy for optimal performance.

Here are some additional tips:

• Track Your Results: Closely monitor key metrics like impressions, clicks, conversions, and cost-per-acquisition (CPA).
• Refine and Optimize: Based on your data, refine your campaign elements like keywords, ad copy, and landing pages to maximize results.
• Test and Learn: Don’t be afraid to experiment! The cost calculator can help you forecast the impact of adjustments before implementation.

By following these steps, you’ll gain valuable insights into your campaign performance and unlock the full potential of Google Ads!

Take Control of Your Google Ads Budget Today!

Is the mystery of your Google Ads budget keeping you up at night? Don’t waste another dime on guesswork. Our free Google Ads Cost Calculator empowers you to:

• Optimize Your Spend: Identify the ideal budget allocation for maximum return on investment.
• Maximize ROI: Predict key performance indicators like sales, revenue, and profitability.
• Stop Wasting Money: Eliminate wasted clicks and ensure your campaigns deliver real results.
• Make Data-Driven Decisions: Gain crystal-clear insights to inform strategic campaign adjustments.

Still Have Questions?

Our Google Ads experts are here to help!

Contact us for a free consultation and guidance on crafting high-performing campaigns.