Google Ads can be the fastest way to win customers — or the fastest way to burn money. That is why many businesses hire a PPC agency. But management fees vary widely, and it is not always clear what you are paying for. Here is how Google Ads management is priced and what a good agency should deliver.
Ad spend vs management fee
There are two costs in any managed campaign:
- Ad spend — what you pay Google (or Microsoft Ads) for clicks. This should be billed to your own payment method.
- Management fee — what you pay the agency or specialist to plan, build, optimise and report on campaigns.
Common pricing models
| Model | How it works | Watch out for |
|---|---|---|
| Flat monthly fee | A fixed fee for an agreed scope (number of campaigns, platforms, landing pages). | Make sure the scope grows sensibly as you scale. |
| Percentage of ad spend | Often a percentage of monthly spend, usually with a minimum fee. | Incentive to increase spend rather than efficiency. |
| Setup fee + monthly | One-time fee for account build, tracking and landing pages, then ongoing management. | Confirm who owns what is built. |
| Performance-based | Fee tied to leads or sales. | Lead quality definitions and tracking must be crystal clear. |
For small and mid-sized businesses in the US and Canada, flat fees in the range of a few hundred to a few thousand dollars per month are common, depending on complexity, the number of campaigns and platforms, and whether landing pages and creative are included.
What drives the management fee
- Monthly ad spend and number of campaigns
- Number of platforms (Google Search, Shopping, YouTube, Microsoft Ads, Meta, LinkedIn)
- Locations and languages targeted (e.g., English and French in Canada)
- Landing page design and testing
- Conversion tracking complexity (calls, CRM, offline sales)
- Reporting depth and meeting frequency
What a good PPC agency does every month
- Search term reviews and negative keyword updates to cut waste.
- Bid and budget optimisation based on conversions, not clicks.
- Ad copy and asset testing to improve click-through and lead quality.
- Landing page recommendations or tests to lower cost per lead.
- Tracking checks so every call, form and sale is counted correctly.
- Clear reporting: spend, leads, cost per lead, revenue or return on ad spend — and what changed and why.
Red flags when hiring a PPC agency
- The agency owns the ad account, or won’t give you admin access.
- No conversion tracking — reports show only clicks and impressions.
- Guaranteed results before seeing your account or market.
- Long lock-in contracts with no performance review points.
- “Set and forget” campaigns that haven’t changed in months.
DIY, freelancer, agency or dedicated specialist?
| Option | Best when |
|---|---|
| Do it yourself | Small budgets, simple local campaigns, and you have time to learn. |
| Freelancer | One platform, moderate spend, straightforward goals. |
| Agency | Multiple campaigns or platforms, landing pages and tracking included. |
| Dedicated PPC specialist | Larger accounts needing daily attention as an extension of your team. |
Questions to ask before hiring
- Will the ad account be in my name, with admin access?
- How will you track calls, forms and sales?
- What will you change in the first 30 days?
- Who manages my account day to day, and how do we communicate?
How much should you spend on ads?
Your ad budget depends on click costs in your industry and city, how many leads you need, and how many of those leads become customers. A simple way to set a starting point:
- Estimate the value of a new customer (average sale or lifetime value).
- Decide what you can afford to pay to acquire one customer.
- Estimate your lead-to-customer rate.
- Multiply to find an affordable cost per lead, then compare it with typical click costs for your keywords.
Start with enough budget to gather meaningful data on your most important service, then scale campaigns that meet your target cost per customer.
Google Ads vs Microsoft Ads in the USA and Canada
Google handles the majority of searches, so most budgets start there. Microsoft Ads (Bing) can add lower-cost clicks from a different audience, often older and desktop-heavy users, and campaigns can be imported from Google. For many local and B2B businesses it is worth testing once Google campaigns are profitable.
What to expect in the first 90 days
| Timeframe | Focus | What you should see |
|---|---|---|
| Week 1 | Account audit or build, conversion tracking, landing pages | Campaigns live with calls, forms and bookings tracked correctly |
| Weeks 2–4 | Search term cleanup, negative keywords, bid and budget adjustments | Less wasted spend and a first read on cost per lead by service |
| Weeks 5–12 | Ad and landing page testing, scaling what works, pausing what doesn’t | A lower, more stable cost per lead and clear data on which services are profitable |
The first month is largely about learning. Judge a campaign on trends in cost per qualified lead and cost per customer over the quarter, not on the first week’s clicks.
Forelskets offers Google Ads management with accounts in your name, conversion tracking from day one and monthly reports focused on cost per lead. Prefer someone embedded in your team? Hire a dedicated PPC expert.
Frequently asked questions
Is the management fee included in my ad spend?
Usually not. Your ad spend is paid directly to Google (or Microsoft), and the agency charges a separate management fee. Make sure ad accounts are billed to your own card and remain in your name.
Which is better: a flat fee or a percentage of ad spend?
Flat fees are predictable and don’t reward the agency for spending more. Percentage-of-spend fees scale with account size. Many businesses prefer a flat fee with a clear scope, adjusted when spend or complexity grows significantly.
How quickly should I see results from a new PPC agency?
Tracking fixes and wasted-spend cuts can show improvement in the first weeks. Testing ads, landing pages and bidding strategies typically takes one to three months to optimise.
Can I run Google Ads myself?
Yes, many small businesses start themselves. Hiring help makes sense when spend grows, when results plateau, or when the time you spend managing ads is worth more elsewhere in your business.
