How much does it cost to advertise on Google?

AdwordsDigital Marketing

Google AdWords is now the largest used online advertising platform in the world. It has become the most widely used method of advertising online for business owners and has reached new heights since its inception. By choosing to advertise on Google, you give your business the opportunity to reach thousands of people.

Advertising on Google with AdWords is one of the best decisions you can make to expand your business’s reach. It is a great tool for finding new customers and growing your business. Setting up a fruitful Google AdWords campaign for your business all depends on the budget you allocate towards it. Like many other things, allocating a higher budget will allow for an even greater reach and repetition of your adverts (repetition is essential to AdWords). Therefore, there is a cost for the setup and management of it if you are using a professional service.

How does Google Adwords work?

Think of the Google AdWords functions as a kind of auction. The difference with this auction is that the money you put into it does not get you that top ranking you are looking for. It’s not your bid that matters, but the quality and relevance of your ad campaigns that are more important and deciding factors.

Now that you have a clearer understanding of what AdWords are and how they work, you can better understand where the costs come in. As mentioned before, the bigger the budget the higher the reach.  Spending more on your AdWords campaign can get you better quality of management, as AdWords is not a once off request, but something that needs planning and consistent managing to make sure your brand stays relevant.

Pay only for results

You can adjust your budget, stop or change your ads at any time. To give you an estimate on how much you should spend, it comes down to a budget based on your business category and location (yes, even location is important!). The cost is relevant to the business because is you have a small to medium business, the budget is lower in retrospect of how much money flows through the company. You can’t budget more than what your business makes, that would be a pointless exercise.

Speculating the cost of Google Ads

An average cost per click in Google Ads is usually between $1 to $2. On average its more often than not $1. In South Africa, that accumulates between R25 to R30 per click which is why we keep the budget, category and location in mind. The most expensive keywords in Google Ads cost $50 / R 695 or more per click, but this would be a cost charged to a big company with a big budget.

To budget for advertising on Google, the recommended monthly budget that should be allocated to Google AdWords for starting budgets in AdWords in South Africa should range between R10 000 to R15 000 per month, for a big business with a solid financial flow. The final cost will be entirely dependent on the business’s industry, its cost-per-click that you will find within it and how likely you are to succeed as a business. If your AdWords are managed correctly, Google will register it as a business that will succeed.

For a medium size business, the minimum suggested budget should start from R5000. If you opt for the smallest cost price you can go as far as R500, but to be honest, that will not achieve much. Apart from a higher budget being able to achieve more business goals, consider it a bonus that a certain advertising budget can be used for social media such as LinkedIn and Facebook (which are both extremely effective methods of advertising in recent times, and will only continue to grow into the future).

The budget and ROI (return on investment) also depends on the type of services and products advertised, as some of these may be quick to sell, whilst others might require a longer sales life cycle, but the profit margin is bigger.

Get a professional company to set up a campaign and continuously improve on it on your behalf. Continually improving the campaign will increase your ranking and relevance – putting your brand at the top of your industry. Budget for R5000 to R10 000 as a starting budget. Once the campaign has matured in time, increase the budget if available, you will see your standing increase over time. Stay ahead of your competitors. Start with what you can afford as the guideline, you will see an improvement with the leads and more business will come in. Use Google AdWords to your fullest advantage!

Benefits of Google Ads

One of the greatest benefits of Google AdWords is being able to reach more people and in, attracting more customers. Whether you are seeking to get new website visitors, develop online sales, phones ringing nonstop and current clientele coming back for more, Google Ads can help with all of that. Your target can also change, you can expand globally should your business allow such a broad target. Allow your ads to reach customers in different countries, regions or cities, and improve the reach locally in the set distance from your business. You can also focus your reach by focusing on the right people at the right time.


Get your business a professional Google AdWords campaign running, use as much budget as your business allows to get the reach that your company deserves. The higher the budget you are able to feed into the AdWords, the higher the results and rewards.  Place roughly R10 000, if your business allows – this includes the maintenance of the AdWords. Let Google AdWords improve your business’s reach in the most effective method of advertising the world has seen.

Take a look at the costs of initiating Google advertising through AdWord.

Additional reading: