How to Price Your Google Ads Management Services: A Guide for PPC Agencies
Pricing your Google Ads management services as a PPC agency owner can feel like a moving target. With so many variables at play—industry, ad spend, workload, and client expectations—it’s no surprise there’s no one-size-fits-all approach.
If you’re trying to figure out the best way to charge for your services, this guide will walk you through common pricing models, the pros and cons of each, and some hard-earned lessons from running a successful Google Ads agency.
Why Google Ads Pricing Isn’t One-Size-Fits-All
Before we dive into the models, it’s important to understand that no single method works for every agency or client. Your pricing should reflect:
- The complexity of the account
- The size of the advertising budget
- The client’s industry
- How hands-on your management style is
- The level of customer service you provide
Now let’s break down the most common pricing models PPC agencies use—and which might work best for you.
1. Flat Fee + Percentage of Ad Spend
Example:
$400/month base + 10% of $1,000 ad spend = $500 total monthly fee
Pros:
- Predictable base revenue
- Scales with client growth
- Gives you and your client a clear cost breakdown
Cons:
- Can be tricky to bill if ad spend fluctuates
- More administrative work (calculating monthly spend, delayed invoicing)
Best for:
Clients with moderate to high ad budgets who want transparency but can tolerate variable monthly fees.
2. Percentage of Ad Spend Only
Agencies often charge 15%–20% of the client’s monthly ad budget.
Pros:
- Simple to explain
- Scales with the client’s investment
Cons:
- Less revenue from clients with small budgets
- Requires accurate tracking and monthly reconciliation
- Unpredictable monthly income for you
Best for:
Large-budget clients who want performance-based billing.
3. Flat Monthly Fee
You charge a fixed rate, regardless of ad spend.
Pros:
- Predictable income
- Simple billing process
- Clients know exactly what to expect
Cons:
- May not scale well with high-growth clients
- Low-budget clients may see this as expensive compared to their ad spend
Best for:
Agencies seeking stable revenue and clients who want simple, upfront pricing.
Tip: Use Sliding Tiers
Some agencies use flat fees with tiers. For example:
- $1,500/month for ad spend up to $4,000
- $2,000/month for $4,001–$10,000 ad spend
- Custom quotes above that
This balances simplicity and scalability.
4. Pay Per Lead
You charge the client a set fee for each qualified lead.
Pros:
- Easy to quantify ROI for the client
- Great for high-conversion local businesses
Cons:
- Constant back-and-forth over lead quality
- Requires strong lead tracking systems
- Risky if leads dry up
Best for:
Niche industries with consistent lead definitions (e.g., HVAC, plumbing, legal).
5. “Whatever You Can Get” Pricing (Avoid This)
Many new agency owners charge as little as $150–$200/month just to land clients. But this approach often leads to burnout and undervaluing your service.
If you’re delivering real results, you deserve to be paid accordingly.
A Better Model: Flat Monthly Fee + Setup Fee
Why You Must Charge a Setup Fee for New Clients
Even if the client already has a campaign, you’ll often need to rebuild or restructure it. That’s your time and expertise.
Charging a setup fee:
- Covers the time spent auditing, restructuring, or rebuilding campaigns
- Reduces the chance of clients taking your work and leaving
- Establishes professionalism and value from day one
A Flat Monthly Fee Should Be Billed on the 1st of the Month
Why this works:
- Predictable monthly income
- Eliminates billing surprises
- Avoids chasing payments after work is done
- Setup fee ensures you’re paid for upfront campaign work
Adjusting for Ad Spend based on:
- Industry difficulty
- Budget size
- Expected workload
For example:
- Small, straightforward accounts: $500–$750/month
- More competitive industries: $1,000–$2,000+/month
- Large-budget clients ($30K+ in ad spend): Custom pricing
Final Thoughts: Price Based on Value, Not Just Time
If your Google Ads management consistently brings in high-value clients for your customers, your fee should reflect that. Don’t just base your pricing on hours worked—base it on:
- ROI you deliver
- Quality of your service
- Expertise you bring
Do your research, compare with other agencies, and most importantly—know your worth.
WANT TO LEARN MORE?
If you want to learn how to build, optimize, and scale your Google Ads campaigns successfully, check out my Ads Agency Unlocked course. In it, I teach everything from setting up profitable campaigns to growing your agency and managing clients.