Managing PPC campaigns or multiple ad campaigns across different skews can be time-consuming, frustrating, and costly. That’s why paying a PPC management agency is a good idea. Overpaying is not, however.
Determining what you should pay and the type of agency or services you want will require many different considerations about your business, your willingness to spend on PPC advertising, and how much effort you want to have to put in yourself.
Most PPC agencies have different pricing model’s based on different needs and the scale of pricing can vary wildly, it’s only one of the reasons clients have issues with their PPC agency. The upside is that a good agency can get you much more of an ROI than a typical marketer is capable of.
It’s a given that you’ll have to spend money on advertising in order to draw in customers, but much of that money can be wasted with ineffective PPC campaigns. The right PPC management will keep your Google ads fresh, well-targeted, and ever-evolving to consistently engage your market.
The core of figuring out how much to pay will be determined by the type of strategy that works for you and how much you can afford to spend in return for managing your ad campaign.
There are three standard pricing model’s that each work differently and are best suited for different types of businesses as well as additional fees and services that you may want to consider.
We’ll detail each model and then discuss the optimal situation where that pricing model would work to give you an idea of what’s best for your business and campaign strategy.
The way these models of pricing work, is that companies pay an agency a set percentage of whatever their base ad spending is. The company then manages the ad campaigns based on regular ad spend percentages.
In many cases, the more campaigns the agency manages, the lower the percent paid gets. This means by volume the agency makes more money but the business pays less. This is not the case for every agency but is standard practice for many of them.
This is generally the most common pricing model used and does not include additional fees and services provided by the agency. One caveat that comes with these pricing model’s is that they typically require a minimum amount of ad spend to operate regardless of the overall budget.
The percentage is also set by the agency and once locked in, can be difficult to renegotiate, especially mid-campaign. This means that fees are locked for a period of time regardless of return or tracked performance unless otherwise stipulated. Knowing the conditional stipulations that apply to your PPC management contract will help to avoid unnecessary costs.
These types of pricing contracts are best reserved for big businesses with big PPC advertising or ppc ads budgets. This is mainly due to the minimum required spending that accompanies these pricing plans.
Small to medium-sized businesses may not be able to afford the price point of these plans and the required minimums.
Additionally, larger businesses that run more campaigns or that have large ad portfolios will benefit more from the decreased fees associated with higher workloads on these price plans.
Larger businesses also have the ability to absorb the cost over the term of a contract if the ROI is not as high as it may have been forecast. Businesses with minimal budgets or that cannot absorb extra costs would not be well suited to these models due to the lack of control overpricing.
This is a fixed fee model that is determined by the associated costs and scope of managing a client’s static ad campaign. The fees and assessments for managing a business’s ad campaigns are all built into one payment.
This provides a set range of PPC management services for static campaigns and covers all associated monthly fees. This provides businesses with a set cost for a set run of ad campaigns.
The one typical downside to this type of payment model is that it is not easily modified and the scope of services may be less than other pricing models. Performance is also not guaranteed. The PPC management fee’s are paid regardless of how the Google ads campaign perform unless otherwise stipulated in the contract.
This type of setup can be a double-edged sword for businesses as the simplistic structure and flat fees are beneficial, but the range of services and performance may be limited. It’s best to discuss exact details before deciding on this type of payment model to ensure the services are what you need.
Though this type of pricing model is not as common as the percentage of ads spend model, it can be beneficial for businesses that run a set of standard, static ad campaigns on a regular basis and simply need them managed in some capacity.
Smaller businesses that prefer to pay a flat fee may also choose this model over others so that they have more control over the exact price they pay. The simplified pricing and limited PPC management services also serve smaller less complex ad campaigns better.
Larger businesses or businesses that run constantly changing ad campaigns, seasonal Google ads, and other promotions would not benefit from this type of pricing. The fee structure is based on static ad campaign costs and the PPC management and oversight level is less than that of other plans.
This means essentially that complex ad campaigns will not receive the PPC management and attention to detail that they need to capitalize on their potential and will therefore have diminished ROI. Even if the cost is lower, in these cases the loss of potential revenue may cost even more. It’s like buying a cheaper product to save money and then having it break two days later.
These models are much less prevalent than the previous two and are tailored to less traditional campaigns that rely on leads generation to close sales. In general, this model is used for campaigns such as e-mail marketing, cold calling, B2B sales marketing, and other types of direct sell campaigns.
Agencies typically manage these campaigns and collect a fee-based either on overall performance or per lead that closes in a sale. Though the niche for these types of campaigns is smaller, the costs associated are also much more mitigated than other options.
This option works exceedingly well for eCommerce, direct sales, and referral models.
As we’ve discussed, this model is rarer than others due to the niche nature of the campaigns that use it. However, businesses that market directly or use conventional sales tactics can make great use of this as a leads-generation service to drum up sales.
The basic idea is that you only pay when they bring you a client. This makes the cost relative to client acquisition a worthy exchange in most cases. Linkedin campaigns, B2B campaigns, and direct-to-consumer sales would benefit greatly from this model.
Traditional marketing tactics, ad campaigns, and site-driven sales would not benefit from this model as the overall benefit would be lower compared to the cost per customer.
The plans we’ve listed are the top 3 that are most common, agencies may include other plan options as well as PPC management fee.
Typically, PPC management services fees are flat, static, and applied on top of standard pricing plan rates. The benefit of agencies that offer these fees is that the level of service is usually higher. In particular, services offer more control over ad campaigns, including automatically rotating or updating ads, managing dynamic ad campaigns, updating copy and other elements, and monitoring performance.
The fees for these services aren’t cheap, typically ranging from $500 to $5000, but the benefits are great for businesses with large campaigns who can afford the added cost and want more precise control of their PPC campaigns.
Before you decide on a plan, having a full understanding of your needs will help you determine what you need and what you should pay in terms of required services, changes, and other issues. It’s not enough to say “well, I can afford this much, so that’s what I’ll pay.”
First of all, take a look at your business’s PPC advertising or ppc adsstructure. Look at your base performance, decide what you want to improve. If you don’t have a dedicated PPC advertising/ppc ads program or budget, try to get an idea of what you want so that you don’t go into negotiating with an agency blind.
This is why larger businesses can afford to pay large premiums, they already have the ad budget and the return on ad spend usually covers any costs associated with using an agency.
Once you have a budget in mind, you can begin to decide on what plan would work best. This includes considering whether you want to pay for additional PPC management services.
The fees on percent ad spend plans are fairly standard and don’t leave much room for negotiation, but performance-based models and flat fee structures usually leave room for negotiation in terms of service and price. The larger and more complex your ad campaigns, the more you’ll spend overall, but you can also expect a higher ROI in these cases, with a good agency.
Before you sign the contract, make sure you have a PPC audit performed and go over any and all particulars so that you know where you stand. Having stipulations in your contract that cover you in case of downturns in business, poorly performing Google ads, or dynamic ad campaigns will allow you more control over your campaigns and protect you from the unexpected.
To help you figure out how much you’ll be spending, we’ll break down some of the standard industry fee structures.
Estimating is key to success in Google Ads.
Startup Fees are essentially assessment fees that are paid at the start of the contract. These are usually paid regardless of whether you start a long-term contract or are month to month. They can range from a couple of hundred dollars to several thousand depending on the agency and the scope of the PPC management services needed.
You’re paying these fees up-front for the agency to put together a plan for your ad campaigns and the PPC management services requirements. What you get for these fees, however, depends on the agency, so don’t expect a guaranteed level of service just because the startup fees are higher.
Contracts typically come in three types when you sign with an agency. Depending on your situation or budget, choosing one type over another may have more benefits.
Some agencies offer month-to-month contracts that allow you to change or alter services on a monthly base or quit the contract after the next 30 day period if you so desire. If you’re uncertain about your need or want to test out the agency before committing to a long-term contract this is a good option.
Though rare, some agencies offer a no-contract option. This allows you to end service at any time. Fees may be applied, but this may be a good option if you face financial difficulties or find that the service you are using isn’t working out. Those who don’t like commitment may prefer this option as well.
The standard option for most agencies is a term contract. These typically range from 3 to 12 months. These contracts can include performance minimums and expected services as well as all minimums and fees associated with payment. Payment is typically made on a monthly basis and can include the contract fee as well as PPC management fee’s.
There are three components to PPC management agency fees: Monthly click budget minimums, the standard monthly base fee, and the percentage of ad spend fee.
The first component and one that you should be aware of before signing is the monthly click budget minimums. These are the minimum ad spend budgets that an agency will work with. This is especially important if the agency takes a percentage of ad spend as part of their fee. If you don’t meet these minimums, you may need to change agencies or renegotiate the terms of your contract. This can determine a lot of the expense. Smaller businesses with tighter ad budgets may want to shy away from agencies with high minimums.
The second component is the base fee. This can be structured in a number of ways, but the base fee can be considered the minimum you will pay the agency for their work each month. Some agencies charge this as a flat rate or have flat-rate plans that don’t add additional charges.
Some require a base fee, plus hourly expenses based on workload. Others have a base fee based on keyword count, tiered fee structures, or fees associated with each service, as an a la carte service.
The normal practice is to charge a base fee, plus a percentage of either ad spend, or a percentage of the total PPC advertising budget, both of which can become quite hefty and can range from a low of 15% and a high of 50% of ad spend.
You should assess your financial health and your overall marketing budget when deciding on the type of payment structure and agency to choose.
Understanding the benefits and costs of a PPC marketing agency allows you to make more educated decisions on what to pay. What that number is for you will be dependent on a lot of factors.
The best answer we can give you is to do a hard inventory of your business’s finances and marketing budget and determine what you can afford to spend, even if things don’t go your way.
In general, you can expect a great return on your investment, and using a PPC management agency is a fantastic resource, but you shouldn’t over-leverage your advertising budget in case your conversion rate drops or your business suffers a downturn.
The rule is: pay what you can afford for the services you need most. Even a big business needs to be smart about where it puts ad dollars in order to maximize profits. Paying for things you don’t need is never a good idea.
Hopefully, this post has given you everything you need to know about PPC management agencies, how they work, their fees, and what you can expect to spend.
If you’re thinking of hiring a PPC agency or firing your existing PPC agency, get in touch!
Now you’ll have a better idea of what it’ll cost you and what you should and shouldn’t pay the agency you choose.
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Most marketers love Google Ads.
We're no exception.
But we totally understand that businesses in certain industries sometimes have a deep resentment of Google Ads and their restrictive policies.
Google's policies for advertising are generally intuitive and straightforward, but for certain regulated and sensitive categories, the standards are much higher and less clear. Pharmaceutical companies, gambling websites, political campaigns, and other industries often struggle to get their ads approved consistently.
In fact, if you don't know what you're getting into, trying to advertise as a business in one of these categories can be a recipe for disaster.
How are you supposed to use Google Ads effectively if you belong to one of these regulated or sensitive categories?
Sensitive and regulated categories in PPC advertising face a number of challenges, including:
· Stricter guidelines. Most PPC advertisers are familiar and comfortable with basic Google Ads guidelines. But if you belong to a regulated or sensitive category, you'll have far more guidelines and more nuanced guidelines to deal with.
· Higher scrutiny. Google pays much closer attention to ads in regulated and sensitive categories, meaning you face closer scrutiny when your ads start circulating. Reports will be investigated quicker and much more strictly, and even minor violations can work against you.
· More ad disapprovals. Similarly, ads are much more likely to get disapproved in these categories. You'll face an uphill battle as you try to get your ads circulating.
· The risk of suspensions. Businesses in these categories also face the risk of frequent, ongoing suspensions. This trend is also worsening; in fact, in 2023, Google Ads suspended more than 12.7 million advertiser accounts – doubling their actions over the previous year.
This makes it much more difficult to advertise effectively and secure a positive return on investment (ROI). Additionally, failing to adhere to Google’s advertising policies can hurt your company's reputation and compromise your long-term potential for success.
The most important thing you can do to improve your results in a regulated or sensitive category is to plan for a sustainable, long-term strategy. Every year, thousands of business owners in these categories attempt to fool Google, find clever ways around its policies, and devise techniques that allow them to cheat the system.
These approaches can usually work temporarily. You can cheat your way into the listings and generate some traffic to your landing page.
But inevitably, these techniques fail, and they can ultimately get you blacklisted.
You're much better off taking the slow, steady approach, following the rules even if it means compromising your advertising effectiveness in the short term. Think about the long-term consequences and possibilities of each decision you make.
There is some good news here.
Google isn’t shy about publishing its advertising policies.
If you're willing to do the reading and research, you can thoroughly understand what Google expects from regulated and sensitive categories like yours – and you can easily adhere to the guidelines.
Well, maybe not “easily,” but reliably.
Generally, Google splits content into two types:
· Restricted content. Restricted content is sensitive content that is subject to more regulations. You must precisely comply with requirements for copy, images, website content, and more if you want to remain in circulation.
· Prohibited content. Prohibited content is totally disallowed. You cannot include it without facing significant consequences.
Unfortunately, we can't give you a big list of all the rules you need to follow, as the rules are different for various industries. Some of the most popular industries and categories that face steeper restrictions include:
· Pharmaceuticals and healthcare products
· Weapons and explosives
· Financial services (including cryptocurrencies)
· Gambling/games of chance
· Alcohol, tobacco, and similar products
· Political ads
· Adult content and services
While there are certainly commonalities between regulations across these categories, each category has its own unique blend of restrictions and rules to learn. For example, pharmaceutical businesses require formal certification from Google and are only allowed in some countries. In the financial services industry, you'll likely need a specific license, and you'll need to provide adequate disclosures for your products and services.
The more intimately you know these rules and regulations and how they apply to your industry, the more likely you'll be able to advertise successfully. Don't advertise until you're sure you understand all applicable Google Ads policies.
One other important note here: you need to stay updated.
Google isn't stagnant, and its advertising policies are constantly in flux. Accordingly, you need to stay abreast of recent changes and update your ad approaches in line with them.
The easiest way to do this is to subscribe to Google Ads policy updates, but you should also regularly engage in Google Ads forums. If you're lucky enough to have a representative, maintain open and transparent communication with them and stay in touch regularly; they can be a massive benefit for businesses in regulated and sensitive categories.
The more research you do, the better. You need to thoroughly understand your advertising landscape before you try to thread this needle.
· Google Ads policies. Obviously, read and understand Google Ads policies as they relate to your industry. We mostly covered this in the previous section, but it's part of the research you need to do.
· Licensing and certification requirements. Even if it's not specifically required by Google, it's a good idea to get any appropriate licenses or certifications. It's a mark of authority and trustworthiness that might save you if any of your ads are reviewed for potential policy violations.
· Laws and regulations. Similarly, violating any laws and regulations in the country where you're advertising could be grounds for ad removal or account suspension, even if those violations aren't specifically listed in Google Ads policies. Always ensure legal compliance before advertising with Google.
· Competitor advertising. It's also a good idea to research your competitors. It's very likely that businesses similar to yours, in the same category, are already advertising successfully. Look at what they're doing. How are they phrasing things? Which disclosures are they including? Do you notice anything missing? You can learn a lot simply by studying previously successful ads.
· Market research. The success of your Google Ads largely depends on your ability to successfully target and appeal to your demographics. If you're properly informative and persuasive, with relevant messaging to the people you're reaching, you're much less likely to face reports, removals, and suspensions. Accordingly, you need to do a deep dive into market research so you better understand your target demographics and can appeal to them with relevant content. If you don't have buyer personas, develop them. If you don't know what your target audience is struggling with or what they want to, pause your ads until you figure it out. There are no shortcuts here, so do a deep dive into your market research if you want a reasonable chance to succeed.
When creating and preparing new ads, make sure everything is compliant, including your copy, your images, and any of your website content.
Remember that the rules and restrictions vary by industry, but these are some general rules that can help you get started:
· Stick to the facts. Don't exaggerate. Don't embellish. Certainly don't lie. It's important to stick to the facts as closely as possible, even if it makes your ad a bit stoic or “boring.” Purely factual advertising rarely gets removed.
· Avoid prohibited or sensitive terms. Review prohibited and sensitive terms that apply to your industry, and avoid those terms like the plague. Consider creating a list of alternatives that you can rely on instead.
· Be transparent. Be absolutely transparent with your target audience, even if you're forced to reveal things that weaken the appeal of your products and services. Offer disclosures when required, and potentially when not required if they can boost your credibility.
· Adopt a serious, professional tone. Don't play with fire. Your best course of action is to adopt a serious, professional tone across your ads. It's much less likely to be reported, and it will seem more authoritative and trustworthy.
· Eliminate sensationalism. In line with this, eliminate all forms of sensationalism. Graphic or revealing content, exaggerated claims, and other techniques designed to evoke strong emotions are probably going to work against you.
· Focus on using images for context. If you're going to include images, make sure they provide meaningful context. Advertisers sometimes select images based on how easily they grab attention or how exciting they are, but this is a surefire way to fail if you belong to a sensitive or restricted category.
· Include warnings if necessary. If there are any warnings that are relevant to your products and services, include them. More information is typically better in matters like these.
· Leverage the power of AB testing. The more relevant and effective your ads are, the more likely they are to succeed. Leverage the power of AB testing to learn more about what your audience wants to see and how to give it to them.
Don't forget about your landing pages.
These are important to Google as well.
If your landing pages deviate from Google Ads guidelines, or if they contradict what's in your ads, it could work against you.
These are some tips to get you started:
· Keep it relevant. Always make sure your landing page is completely relevant and in line with whatever is included in your ad. If users click your ad and find something unexpected, unpleasant, or otherwise jarring, Google might take action.
· Issue disclaimers and warnings. This is an opportunity to double down on disclaimers, warnings, and important disclosures. Err on the side of caution and make these prominent to show that you're in full compliance with both Google Ads policies and laws in your area.
· Make your business information accessible. Make your business information transparent and accessible. Offer your brand name and business location information, and give visitors some way to contact you, preferably via phone and email. It's a sign of trustworthiness and it can proactively resolve potential disputes.
· Be straightforward and transparent. Everything on your landing page needs to be straightforward and transparent. Follow the same rules you did for your ads, and avoid exaggerations and sensationalism.
· Double check Google Ads requirements. Always double-check Google Ads requirements when constructing your landing page. You should fulfill or comply with each item on your landing page to be safe.
You've already done significant market research, so make sure you apply it correctly. Target your audience very specifically so that your messages are only shown to people for whom they are relevant. If someone outside the scope of your target demographics sees your ads, they'll be much more likely to issue reports – and your ads will be much more likely to be removed. It's especially important to target people in the right geographic area.
There are some Black Hat techniques designed to circumvent Google Ads rules and regulations, or otherwise give you an unfair advantage in a sensitive or restricted category. These techniques typically violate Google policies and are largely considered unethical by the advertising community.
One of the most prominent examples is cloaking. Using one of several techniques, cloaking can allow you to advertise to audiences with content different from what you showed Google for approval. It's obvious why this is potentially beneficial, but it's also obvious why this is unethical.
As you might imagine, these techniques can work temporarily. They can give you a significant short-term advantage, allowing you a better strategic position and potentially more ad opportunities. However, if you use them, you could get your account suspended, or even permanently blacklisted. Even if you evade that, you could ruin your company's reputation and jeopardize your long-term results.
Do not follow these strategies. If a PPC agency recommends any such strategies to you, fire them.
They simply aren't worth it.
Navigating the world of Google Ads isn't easy.
In fact, it's stressful and incredibly difficult if your business happens to belong to one of these sensitive or restricted categories.
The good news is it's much easier to be successful when you work with a PPC advertising agency that has experience creating and managing ads for a business like yours. We're deeply acquainted with all the rules and restrictions you need to worry about, and we know how to make target demographics like yours convert.
If you’re ready to get started with a free consultation, contact us today!
When you want to use paid search marketing platforms, Google Ads often leads the list. Because of its versatility, simplicity, and popularity, it’s obvious why it’s a popular choice. But when you drop all of your PPC advertising money into one marketing strategy, you could lose some leads.
That’s why some businesses explore paid advertising marketing outside of Google, with many turning to Linkedin Ads.
Google Ads and Linkedin Ads are highly efficient ways to market your products and services to businesses and consumers. But each marketing channel has its advantages and disadvantages. Whatever you choose, make sure you discuss the matter with your web development company.
Below is a closer look at each option.
We think it’s reasonable to conclude that Google reaches a vast audience worldwide – its ad reach is a stunning 4 billion people. Google search handles about 70% of desktop searches, and many companies report that they get about 90% of their organic traffic from the search engines. Also, up to 95% of the mobile search market comes from Google.
People use Google’s search a lot, and having the ability to target search terms with specific search ads is a massive benefit of Adwords. People tend to search for very specific things in Google, so if you can customize your Google advertising for your targeted audience, you’ll receive plenty of leads.
So, we can assume that most people’s targeted audience uses Google to some degree. That’s a massive advantage for companies when they want to target an audience.
However, businesses that want to narrow down their search may have issues getting their Google ads settings right with both Google Ads. And if you blunder when segmenting your audiences, your digital ad campaign could suffer.
LinkedIn features a narrower audience – 500 million users – namely businesses and business professionals. But this more limited audience makes it the perfect place for effective B2B marketing. LinkedIn lets marketers serve online ads to decision-makers and vital audience members in several ways.
Summary: For B2B firms that want to reach decision-makers, Linkedin is a terrific advertising platforms. If your B2C company intends to increase its reach, Google Ads could be the best fit.
When you target your audience with Google Ads, you have a few options: location, affinity, technology, buyer behavior, demographics, and interactions with your app or website.
No matter how much you know about your buyer, you may struggle to avoid clicks from worthless leads that cost too much.
In some cases on Google, people may not even know what they’re looking for. You can try to advertise to your desired targeted audience on Google Ads, but it can be challenging to get to the precise people who will most likely buy what you sell.
When people sign up for LinkedIn, they usually provide many details, such as their occupation, title/job title, experience, industry, education, interests, and more. All of this information can be leveraged for great advantage when you start your marketing campaigns.
Also, LinkedIn users can join many groups, start conversations, and obtain followers. The data is priceless when you want to target a specific audience and market to them. LinkedIn also has a Matched Audience that helps advertisers match their email marketing lists and website visitors with users on LinkedIn.
Many marketing experts think that LinkedIn Ads offer more value. LinkedIn has refined targeting, and you can make your product known to them so that you can tell them about something they didn’t know existed.
Summary: For B2B and B2C companies looking for a broad audience, Google Ads has enough targeting features. But for B2B firms that want to target specific groups, LinkedIn Ads has about 100 segmentation methods for micro targeting.
When you want lead generation, Google Ads has a broader reach and is the most effective. First, you can bring in a lot of prospects to your site without breaking the bank. The audience you’re after on Google visits the search giant with the idea to find the best product or service. This makes generating leads easier.
Getting leads from LinkedIn can be more challenging. Users of the platform may sign in to read industry news or talk to group members. No matter how perfect your ad is, viewers may not be in the mood to buy anything.
That said, Linkedin has a way to target ad leads through in-site messaging, which can generate plenty of leads.
When it comes down to dollars and cents, LinkedIn Ads usually are more pricey than Google Ads. As in Google, you can select cost-per-click or cost-per-impression.
LinkedIn also features a cost-per-send for InMail advertising. Typically, you’ll pay about $5 for each click, $6 for 1,000 impressions, and .80 for each send.
With Google Ads, the average CPC is $1. But to leverage that low cost, you need to work on your audience segmentation. If you don’t your ROI may be below what you want.
Summary: Advertising budgets for each platform depends on several factors. On average, Google Ads cost less than LinkedIn Ads. If your B2B company has a tight budget, you may want to focus on a limited variety of LinkedIn ads instead of a broad range of Google Ads.
So should you advertise with Google Ads vs LinkedIn Ads? Yes!
What we mean is, it depends. The correct choice depends on your budget, product or service offered, marketing goals, and target audience. You should not assume that when you need a digital marketing campaign, Google Analytics Adwords is the only choice.
It’s critical to evaluate the market, understand who your buyer is, and make a data-driven decision about the best marketing platform to reach your well-defined goals. One type of company might do better with Google Ads, and another may find LinkedIn Ads preferable.
The great news is you don’t need to choose between the two platforms. Many businesses use both, as well as Facebook, Instagram, and others. If you have the budget, it may pay off to diversify your paid search advertising to get the best ROI.
