Google Ads Campaign Budget Planner

What does this tool do?

Our Google Ads Campaign Budget Planner is an online calculator to determine the budget you need to maximise ROAS.

How It Works

This Google Ads budget calculator helps you quickly work out your daily and monthly campaign budgets based on your specific sales targets and conversion rates. This gives you a clearer idea of the spend needed to achieve your desired results.

FAQs

What Does ROAS Mean?

Return on Ad Spend (ROAS) refers to the amount of revenue earned compared to the ad spend.

It’s calculated by:

(Revenue Earned Through Ads ÷ Ad Spend) × 100 = ROAS (%)

Ultimately, it measures the performance and success of a paid advertising campaign. It helps drive informed decisions on where to invest your daily and monthly ad campaign budget.

A good ROAS depends on a business’ profit margins, operating expenses, overall health and partner/vendor costs. As a general rule, a 4:1 ratio is considered an acceptable ROAS, so for every £1 / $1 ad spend you receive £4 / $4 in revenue.

What is Cost-Per-Click?

Cost-Per-Click (CPC) is the amount you pay each time a user clicks your ad, so it influences how much you spend and how effectively your ads perform.

It is determined by factors such as:

• Keyword competition
• Relevance
• Ad quality

These factors are assessed through a real-time auction where advertisers bid on keywords related to their target audience.

A clear understanding of your Google Ads campaign CPC can help you plan realistic budgets and predict campaign outcomes more accurately.

Daily Campaign Budget vs Monthly Campaign Budget

Your daily budget is the average amount Google Ads aims to spend per day, while your monthly budget is the estimated maximum monthly spend based on that daily budget.

By multiplying your daily ad spend budget by 30.4 (the average number of days in a month), you can estimate what the campaign could cost over a full month—your monthly ad spend budget.

How Do You Calculate Google Ads Daily Campaign Budget?

(Desired Leads ÷ Conversion Rate × CPC) ÷ 30.4 = Daily Campaign Budget

According to Google Ads, there is an average of 30.4 days in a month.

How Much Budget Should I Spend On My Marketing As A Percentage?

Marketing budgets depend on:

• Industry
• Goals
• Business size
• Location
• Revenue
• Market competition
• Marketing channels used
• Economic climate

A marketing budget covers all expenses related to marketing, including:

• Digital marketing
• Traditional marketing
• Outreach
• Technology
• In-house teams
• Agency services

Different businesses allocate their marketing budget in different ways.

On average, marketing budgets usually start between 5–10% of revenue for steady growth.

What is an Aggressive Budget in Marketing?

An aggressive marketing budget is set above a normal maintenance or steady-growth budget.

Since marketing budgets typically start at 5–10% of revenue, an aggressive budget is generally considered:

10–20%+ of revenue

Businesses that commonly adopt aggressive marketing budgets include:

• Start-ups
• Businesses entering highly competitive markets
• Companies scaling a proven marketing channel

How Do You Work Out Your Website Conversion Rate?

(Conversions ÷ Total Website Visitors) × 100 = Conversion Rate (%)

The higher the conversion rate, the better your website or landing page is performing.

This is vital for Google Ads campaigns because visitors are directed to your website or landing page, which should be optimised for conversions.

Conversion rates can be impacted by:

• User experience
• Page speed
• Checkout experience
• Contact form usability
• Other conversion-focused factors