If you have an existing campaign, you can find your average CPC in the column labeled Avg. Simplistically speaking, if you spend $100 on a campaign and received 23 clicks, then your Average CPC would be $100/23 or $4.34 per click. The average cost per click is calculated by dividing your total cost for that campaign by the number of clicks. You’ll be able to plug in different budget scenarios and dial in an appropriate target for your business. One variable you will surely consider is different budgets. If you have five keywords in your hypothetical campaign, you might set your budget to $300 X 5 or $1500 per month. If you’re entirely in the dark on this, one rule of thumb is a budget of 2X your pre-marketing gross profit per sale per keyword.įor example, if you sell a service for $500 and your cost of providing that service is $200, then your gross profit before marketing costs is $300. If you are doing a purely hypothetical scenario, you’ll need to choose an arbitrary but realistic campaign budget.The resulting summary page will include your costs grouped by month. On the resulting page, click on Transactions on the left-hand side.
To find your monthly campaign ad spend, sign in to your Google Ads account and click on the “tool” icon and then click billing/Summary. If you’re just getting started with Google Ads, you’ll need to make some assumptions (or contact us, and we’ll get you started the right way from day one.) If you have existing campaigns, this can be your real data. If you haven’t done so already, download the free Google Ads Cost Calculator from Mediaboom.Ĭollect your initial input data. Getting Started with the Google Ads Cost Calculator Step 1: 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.Ī positive ROMI tells you that the money you’ve spent on Google Ads contributes positively to your gross profits.If your off-Google ad costs are too high, even though Google is reporting a ROAS > 1, you may still be losing money. 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. Any campaign with a ROAS > 1 is a winner, but the higher, the better. It tells you how much money you receive (or lose) for every dollar you spend on Google Ads. Return On Ad Spend (ROAS) – Return On Ad Spend is the “magic gumball machine” number.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.Gross Revenue Per Month – The Google Cost calculator will calculate the estimated monthly revenue resulting directly from your Google Ads.In this context, a “unit” can be a widget or a service. 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.We made it easy to calculate the results that matter most. We created our Google Ads Cost Calculator with the business owner in mind. What Can You Calculate With The Google Ads Cost Calculator? You’ll finally understand where your campaign dollars are going, which campaigns are winners and which need help to improve ROI. You’ll also calculate and compare what-if scenarios to determine if any tweaks need to be made to your campaign for the best ROI. When you download our Google Ads Cost Calculator, you’ll be able to enter real data and calculate the business metrics you need the most, including Gross Revenue, Gross Profit, Return On Ad Spend and Return On Marketing Investment. Why You Should Use the Google Ads Cost Calculatorīecause our paying clients have been so happy with our Google Ads Cost Calculator – and because our future dream clients are clients who understand the true potential and limitations of Google Ads – we decided to make it free to everyone. You’ve probably felt the pain of staring helplessly at your campaign results and finally just trying “something,” praying that it works and waiting days or weeks to get a definitive answer. The Google Ads Cost Calculator is a free tool that dynamically calculates the cost and return on investment of Google Ads campaigns based on multiple factors that you input – including ad spend, average CTR, rate of closing a deal, agency management fees and more.
0 kommentar(er)
