These days marketers and businesses excessively rely on digital marketing to achieve their goals. Finding leads, generating interest, qualifying leads, and ultimately converting them into paying customers – all of it can easily be done online. And pay-per-click (PPC) digital advertising is an efficient way to do so. Brands across the globe invest in comprehensive PPC as it builds brand awareness, drives more web traffic, and produces more high-quality leads.
However, like all other online marketing strategies, it is essential to keep an eye on the results and tweak your PPC campaigns for maximum effectiveness. This also includes knowing that you are getting the expected return on your investment in PPC.
ROI is a critical success metric. Let’s find out how you can calculate the ROI for your PPC campaigns and even improve it.
There are three commonly-used ways to measure PPC ROI/calculate PPC ROI success:
Calculating PPC ROI as part of a PPC campaign management shows its actual effect on your business. At the same time, it is vital to check vanity metrics like clicks and impressions to measure PPC success.
As a marketer, you already know that click costs are just one part of the equation. You also need to factor in a range of other expenses when calculating the total cost of a PPC campaign. Some of these include:
All of these expenses affect your PPC campaigns’ total cost. Next, retrieve the total revenue so you can calculate your ROI.
The simplest formula to calculate ROI is:
(Profit – Cost) / Cost
Generally, advertisers refer to ROAS when they talk about ROI because the difference between the two is whether you consider your business’s cost of carrying out PPC advertising business.
ROAS is calculated as:
(PPC Revenue – PPC Cost) / PPC Cost
The result is written in a percentage form. For instance, if your PPC sales are $1,200, while you paid $600 as PPC click costs, the ROAS will be 100%:
($1200 profit – $600 cost = $600) / $ 600 cost = 1.0 = 100%
The ROAS formula is very straightforward, and you can gauge your overall PPC performance and make optimization easy. ROAS is used in bid optimization algorithms to calculate these bids with the help of the bid management platforms.
The calculation of all possible costs, including those to generate leads and sell products, is still insufficient. PPC helps you maximize your profits bringing in maximum visitors and sales at a reasonable cost.
Conversions are highly dependent on the right keywords being used in ads, getting clicks at a good cost, showing Google ads to searchers, and converting visitors to buyers.
To calculate profit per click/impression, you need extensive data for clicks, impressions, total sale, and total cost. First, calculate the profit by subtracting the total cost from total sales (you can also factor in the overhead costs).
Use this formula to calculate the profit per impressions:
Profit / Impressions
Use this formula to calculate the profit per click:
Profit / Click
With these calculations, you can figure out which metric to go for with the keyword or ad or carry out further testing if the information still seems insufficient.
Digital marketing is tricky because it’s constantly evolving. You have to be on your toes and continuously improve your numbers to stay ahead in the race for PPC and search ad domination.
If you find out that the return on investment Or PPC ROI isn’t as good as you expected or could be better, it’s time to improve your game.
Here are a few ways you can increase your PPC ROI:
It is essential to target the right audience for your ads, regardless of the time you display the Google ads to them. Since audiences differ from another for every ad, there might be Google ads that follow a better trend at a specific time.
Generally, ad networks let users schedule the Google ads for the time and days that best suit their needs. For instance, if a local garment store’s ad performs better during a FIFA game, go ahead and pick the same schedule for all your ads.
PPC ads depend on keywords, even more so than they do on demographics. You can understand the customers’ intent with the keywords they use in search or the websites they visit. You can use this data from online activity and enhance your PPC campaigns’ effectiveness using the exact keyword matches.
The exact keyword match will result in the ad being displayed when that phrase is used without any other words. Since you limit an ad’s reach in this way, you have to make sure you use this approach properly so the people who watch the ad are the ones who will most probably buy your products.
For instance, a car dealer selling a Honda Civic EX must use the exact “honda civic EX price” keyword in their ad. Since this is a particular keyword, anyone who searches for it must be a potential buyer of the car, and as a result, the perfect target audience for your car ad.
Even though you have a target audience base, there will be different groups within them who will respond differently to your ads for several reasons. As a result, it is essential to make multiple campaigns so you can cover all of them.
If you resort to using a single PPC campaign to appeal to all these people, you will have a poor ROI. Marketers should carefully design various ads, considering the kind of consumers who would like to use your products and the type of ad that will best explain their value to them.
A great way to improve your PPC campaigns is through negative keywords. This way, your ad won’t be shown to uninterested or unrelated audiences. For instance, a men’s shoe store should use the negative keyword “women” because why should the business pay for a wasted click or view’?
Similarly, a luxury brand that sells expensive goods should use the negative keywords “cheap,” “sale,” or “affordable” to avoid showing the ad to those who want cheaper or imitation brands.
While getting a click on an ad from a customer is huge, your job doesn’t end over there. Ad clicks aren’t enough to generate revenue, and as a marketer, you can improve your ROI with features like videos on your landing page. This helps to increase conversions of customers who click an ad and get there.
Furthermore, you can test your landing page to see if you can easily convert customers once they arrive. When you design targeted landing pages, you allow users to reach a specific page, depending on the clicked ad.
Marketers using Google AdWords should focus on improving their ad’s Quality Score to increase their ROI. The frequency with which the consumers click on an ad and convert after clicking on it affects the score.
Successful ads give more money to Google, and as a result, high-quality score ads are placed higher. It is best to see your ad’s Quality Scores to observe what aligns the most with your target audience.
It is essential to include keywords in your ad copy and target information to capture your viewer’s attention. These words are the ones they consciously or subconsciously look for in an ad when they scan it.
While it depends on an ad’s format, generally, keywords are bold to make them stand out to increase attention and consequently get people to click on your ad.
You cannot improve your ROI and campaigns unless you thoroughly track their results. You can make variations in an ad or its targeting in several ways to affect outcomes. Try out various combinations and track results to determine which target audience and ad type are the most effective.
For instance, you can use variations like different CTAs or distinct background colors for your PPC advertising.
The PPC return on investment/PPC ROI is an essential measure of success since it shows how well you are doing in your campaigns and how much you need to improve.
There are various ways you can measure the ROI and track their results to figure out how you can improve them to make money on your PPC campaigns. Try different methods and see which one aligns with your audience and ads the most. Stick to it instead of going back and forth to ensure a steady approach.
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When you’re a plumber relying on a steady flow of leads to be profitable, it’s not enough to get your leads through word-of-mouth alone. That may work if you’re only a two-person team, but if you plan to grow your business, you’ll need to start marketing your services, specifically with PPC advertising.
Pay-per-click (PPC) ads are a beneficial form of advertising, but they can be a source of leads or a money pit for plumbers. When done right, PPC helps plumbing companies generate targeted leads looking for services, but poorly-crafted PPC campaigns can burn through a budget without results. The good news is with smart targeting, strategic bidding, and continual optimization, plumbers can generate qualified leads at a cost that provides a positive ROI. Here’s how pay-per-click (PPC) advertising is done for lead generation for plumbing businesses.
The biggest mistake plumbers make is targeting a broad area rather than a specific local area. Hitting your target audience by demographic and location will be critical to be most efficient in your PPC ad spend. Even when your company serves customers throughout several counties, you’ll want to create ad campaigns that target each individual city or county. If your ads are reaching people outside of your service area, you’re paying for clicks that won’t turn into paying customers.
An easy way to prevent this problem is to use location targeting inside of your PPC account to set your target location by zip codes, cities, or a custom radius around your main location. This will ensure your ads will only be seen by leads you can actually convert.
You’ll also want to explicitly exclude areas you don’t serve. For example, you might serve a whole county with the exception of a couple cities or neighborhoods because of traffic congestion or licensing issues. Make sure to add these locations as exclusions in your ad campaign settings to avoid wasting money.
The keywords that will bring you the best leads are keywords that signal high intent to purchase. This includes terms like “emergency plumber near me,” “24-hour plumber,” “toilet overflowing fix,” or “fix for busted pipe.” The people who search for these terms aren’t just casual browsers. They’re people who need a plumber immediately.
This type of expert keyword research isn't necessarily rocket science, but it's critical for your rankings in search engine results pages.
Prioritize these keywords and increase your bid to capture more of these leads.
Avoid using the kinds of keywords that will attract people who aren’t likely to hire you for plumbing services. For example, terms like “DIY toilet repair” or “how to fix (fixture)” will rarely lead to calls. People who search for these phrases are usually just looking for ways to fix their own problem, so filter them out.
When people need a plumber, they want to call and get someone out fast, especially if their basement is flooding or they’re dealing with a busted pipe in the house. Google offers call-only ads that let users tap to call you immediately from search results rather than click to visit your website, where they’d need to search for a way to contact you. This ad type alone will increase your conversions.
It’s crucial to use ad tracking tools like Google’s call forwarding or third-party platforms that track which ads generate your phone calls. Knowing what ads are driving your best leads will help you do more of what works and eliminate what doesn’t.
Since most leads will want to call you immediately, only schedule your ads to run when you’ll be available to answer the phone. If you don’t offer 24/7 emergency services and don’t answer your phone at 2 AM, don’t schedule your ads to run until the start of your business day.
Depending on your location and services, you might get more calls on weekdays or weekends. To find out your peak, check your reports to see when you’re getting the most calls and then adjust when you run your ads based on your actual performance data.
Don’t create complicated, wordy ads. Use simple, clear, and direct headlines that speak directly to the problems your leads may be dealing with. They’re going to be drawn to ads that promise to help them with real problems. For example, write headlines like “Broken water heater? Get 24/7 help,” “Clogged drains fixed fast,” and “Overflowing toilet? Get help now.”
In your ad copy, it helps to use location-specific phrases. For example, you might write “Serving Phoenix homes since 2001.” Doing this helps build trust and establishes relevancy.
For Google Ads that send visitors directly to your website, you’ll need to optimize your landing pages for conversion. The following elements are essential:
· Landing page copy that matches your ad. To create a seamless experience, don’t send leads to your home page. Send them to a landing page that matches your ad. For example, if your ad targets people with a clogged drain, ensure your landing page speaks to people with a clogged drain.
· An easy-to-find phone number. Your phone number should be readily visible on every page of your website, including all of your landing pages. The ideal place is in the top right corner of every page header.
· A click-to-call button. It’s easier for mobile leads to click to bring up your phone number in their dial pad rather than forcing them to write down a phone number they’ll need to then dial.
· A call-to-action (CTA). Leads need to be told what to do. Be direct and tell them to call you now for an estimate or to schedule a service call.
Your search ads will only bring you potential leads. Your landing pages are responsible for converting potential customers into paying customers.
To maximize your ROI without wasting money, you’ll want to set a realistic daily budget and scale it only when you know you’re ready. Most local service providers stick with a $10-$50/day budget, but it depends on the industry and your location.
Over time, you’ll find that some campaigns are working better than others. A varied performance can be caused by a variety of factors, and you’ll need to take a close look before making any changes. For example, underperforming keywords and plumbing ads that don’t get many clicks should be paused. However, if your ads are getting clicks, but limited conversions, you’ll want to tweak your landing page copy and/or your offer.
Sometimes irrelevant keyword searches will display your ads, so if you can come up with a list of keywords related to services you don’t provide, you can limit where your ads show up. For example, if you don’t offer sewer camera inspections, make “sewer camera” a negative keyword. If you don’t service septic systems, make “septic” a negative keyword. Doing this will prevent clicks from irrelevant leads.
Local Service Ads appear at the top of Google’s search results above the typical PPC text ads and organic listings. LSAs are pay-per-lead, not pay-per-click, which makes them even more profitable. With LSAs, you only pay when a lead contacts you directly through your ad, either by calling you or messaging you. This is a much safer way to manage your ad spend and generate qualified leads. It’s also an easier way to capture bottom-of-the-funnel leads who need emergency plumbing services.
To set up these ads, head over to Google’s LSA page and click “get started.” You’ll be prompted to go through the setup process, which includes confirming your business eligibility. To complete the process, you’ll need your business license, general liability insurance proof, and at least one Google Business Profile with positive reviews. The system will then ask you to choose the zip codes or cities you serve, list the types of services you provide, and set your weekly budget. Once you submit the form and pass Google’s screening process, you’ll start showing up in results for searches related to your business.
Try to get as many positive reviews on your Google Business Profile as possible since businesses with better reviews tend to rank higher with Local Service Ads. Also, keep in mind that Google tracks your response times, and the faster you reply, the better placement you’ll get. Unlike PPC ads, you can request refunds from leads that aren’t relevant, like leads requesting the wrong services or who are outside your service area.
It’s important to take advantage of these ads because it’s an easy way to get your business listed at the top of search results pages when people search for terms like “plumber near me.” It’s easier than waiting months for SEO to kick in, and it will bring you immediate leads. People will see your reviews and your Google Guaranteed badge, which will boost your credibility.
Getting your business verified by Google will give you a green checkmark next to your business name in your Local Service Ads. It tells customers that Google has personally verified your business, you’ve passed a background check, your insurance has been verified, and Google Ads will back your services with up to $2,000 in reimbursement if a customer isn’t satisfied with your services.
Getting this badge can boost your visibility and credibility, which can get you more clicks, leads, and paying customers. It will also help you rank higher in the list of LSAs.
To get this green checkmark, you need to get approved for Google LSAs. Once you’re approved for LSAs, you’ll get the “Google Guaranteed” checkmark badge automatically. Just make sure you renew your insurance policy on time, maintain a high review rating, and keep responding to leads quickly. If you don’t maintain these things, Google Ads might remove your badge.
You can’t improve what you don’t track. Track your critical metrics, including call tracking, form tracking, and chat tracking. Run regular reports and check in with your ad campaign performance on a regular basis. It will take a little bit of time to gather enough data to make informed decisions, but the sooner you catch underperforming ads, the sooner you can make necessary changes.
It’s important to split test ads to see what elements drive the most conversions. Split testing, also called A/B testing, is where you run two nearly identical ads, but with one small difference between them. The difference could be a headline, colors, an image, the main copy, or the CTA. Once you run the ads long enough, take the winning ad and change one more element to test. Repeat this process by changing just one element at a time to see which version performs better. Use Google keyword planner to help navigate this. When done correctly, your clicks should increase over time.
Getting satisfied customers to review you is crucial, and as previously discussed, it can impact how your Local Service Ads show up. Reviews can also impact how you show up in the Local Pack. The more high-quality, genuine, recent reviews you have, the more likely you are to show up in search results. You’re also more likely to get clicks.
Positive reviews act as social proof that helps customers choose which business to call. You could have the best ad copy in the world, but if your competitor has 150 five-star reviews and you only have 6 reviews from 2019, customers will choose them over you.
It’s easy to get clicks, but getting real leads from search engines– the kind that book your plumbing services – takes work. For plumbers, a strong PPC strategy can make the difference between getting steady jobs or wasting cash. By targeting high intention search terms, targeting narrow service areas, and optimizing your ads, you can create high-performing ads that deliver real results without burning through your marketing budget.
Lead generation is critical for your plumbing business, but when done without a positive return on investment, it's foolish.
Whether you’re new to PPC ads, or you’re tired of wasting money on ads that don’t generate calls, we’d love to help you get real results. Our PPC experts specialize in helping local service businesses in the plumbing industry just like yours attract high intent plumbing leads, reduce wasted ad spend, and grow predictable revenue.
Contact us now for a free evaluation for your lead generation strategies, PPC campaigns and search engine optimization services – we’d love to help.
Pay-per-click (PPC) advertising is the lifeblood of modern digital marketing, a finely tuned machine designed to separate serious advertisers from those who enjoy setting their money on fire. At its core, PPC is about buying attention—whether it’s from Google Ads, Facebook (or should we say Meta?) Ads, LinkedIn’s overpriced clicks, or whatever ad network is currently promising “unprecedented results.” The trick, of course, is making sure that the attention you’re paying for actually turns into conversions, and not just a collection of clicks that lead nowhere.
This guide is for marketers who already know the basics and are ready to squeeze every last drop of ROI from their PPC campaigns. If you’re looking for a “Beginner’s Guide to Google Ads,” this isn’t it. But if you’re tired of watching your ad spend disappear into the void and want to start running PPC like a ruthless efficiency machine, read on.
There’s nothing quite as tragic as a PPC campaign with no clear objective. Running ads without goals is like throwing darts blindfolded—sure, you might hit the board occasionally, but mostly you’re just making a mess. Before you even think about setting up a campaign, define what success looks like. Are you driving leads? Pushing e-commerce sales? Increasing brand awareness (ugh, we’ll get to why that’s usually a waste of money later)? If your goal is just “more clicks,” congratulations—you’ve just fallen for the ultimate PPC scam: paying for traffic that doesn’t convert.
Every campaign should have a quantifiable, measurable outcome tied to business KPIs. That means actual revenue, leads that don’t ghost you, or at the very least, cost per acquisition (CPA) that doesn’t make your CFO break out in hives.
Google Ads is the undisputed king of PPC, but let’s not pretend it’s the only game in town. Depending on your audience and objectives, Meta Ads (Facebook and Instagram) can still be a goldmine—if you’re willing to put up with Meta’s ever-changing rules and the occasional algorithmic meltdown. LinkedIn Ads? Great if you enjoy paying $12 per click for someone who will never fill out your lead form.
And then there’s the rising trend of alternative ad platforms. TikTok Ads are fantastic if you’re targeting Gen Z and have the budget to experiment. Microsoft Ads (formerly Bing Ads) may be the underdog, but they offer cheaper CPCs and a surprising number of high-intent users. If you’re in e-commerce, don’t ignore Amazon Ads—they print money for sellers who get their targeting right.
Google would love for you to just use broad match keywords and let their algorithm “figure things out.” Spoiler alert: this is a terrible idea. Broad match means your ad could show up for searches so unrelated to your business that it’s practically performance art.
Instead, focus on high-intent keywords—the ones that indicate users are actually ready to buy. Long-tail keywords often convert better because they signal more specific intent. The goal is not just to drive traffic, but to attract users who already have their wallets half-open.
Want to know what works? Look at your competitors. Tools like SEMrush, SpyFu, and Google’s Auction Insights let you see what keywords they’re bidding on, which ones they’re ranking for, and—most importantly—where they’re burning money so you don’t have to.
If a competitor is bidding on specific high-intent keywords, that’s your signal to investigate. Either they’re seeing a positive ROI, or they’re making an expensive mistake that you can learn from. Either way, it’s free intelligence.
Great PPC ads aren’t just about catchy headlines—they’re about aligning with search intent, making a compelling offer, and convincing users that clicking your ad is the smartest decision they’ll make today. A well-optimized ad uses clear, persuasive language with a direct CTA, because vague CTAs like “Learn More” are about as useful as a screen door on a submarine.
A/B testing is non-negotiable. Your gut instinct is probably wrong, so test different headlines, CTAs, and descriptions to see what actually drives conversions. If you’re not actively testing, you’re just guessing.
You have about three seconds to convince visitors that they made the right choice clicking your ad. If your landing page loads slowly, looks like it was designed in 2008, or makes users hunt for the CTA, they’re gone.
Your landing page should have a singular focus: conversion. That means no distractions, no unnecessary links, and definitely no autoplay videos that scare people away. A strong landing page aligns perfectly with the ad copy, ensuring a seamless experience from click to conversion.
Nothing kills conversion rates faster than misleading ad-to-landing page alignment. If your ad promises “50% off running shoes” and your landing page is a generic homepage with no mention of that discount, expect a bounce rate that makes your campaign ROI cry. Every landing page should reinforce the ad message, use clear headlines, and make it painfully easy for users to complete the desired action. If a user has to think, they’re already gone.
If you’re still using manual CPC bidding across all campaigns, congratulations—you’re officially working harder, not smarter. Google’s automated bidding strategies have their place, but blindly trusting the algorithm is like handing your credit card to a stranger and hoping for the best.
Smart bidding, when done correctly, can optimize conversions and lower CPA, but it requires constant monitoring. Target ROAS (Return on Ad Spend) and Maximize Conversions can be effective, but only if you have historical data to feed the algorithm. If you’re running a new campaign, manual bidding still gives you more control.
Running PPC without proper tracking is like driving blindfolded and hoping you’ll reach your destination. You need to track not just clicks, but actual conversions, customer lifetime value (CLV), and return on ad spend (ROAS). Google Ads’ built-in tracking is decent, but combining it with Google Analytics, heatmaps, and call tracking will give you a full picture of what’s working.
Scaling PPC isn’t as simple as increasing your budget and watching conversions skyrocket. If you scale too fast, you’ll tank your ROI. The right approach is incremental scaling—gradually increasing spend while monitoring CPA and conversion rates. If your CPA starts climbing faster than your revenue, it’s time to reassess. And if your PPC manager insists that “everything is going great” while your ROAS tells a different story? It might be time for a new PPC manager.
