Google Ads Agency Fees UK: How Much Do They Really Cost?

Looking to find out what Google Ads agency fees you’re likely to pay in the UK? This is a question many businesses want to know and this can vary significantly based on factors such as pricing models, agency reputation, service scope, and campaign objectives.

So it’s essential for your business to conduct thorough research, consider your specific needs, and align your budget with the desired level of service.

Google agency fees in the UK are determined by various pricing factors, and understanding these is essential for you to make an informed decision.

In this article, I’ll explore Google Ads agency fees in the UK, exploring the factors that influence their pricing and shedding light on the actual costs your business can expect to incur.

 

Percentage of ad spend

Some agencies charge a percentage of the total advertising spend allocated to Google Ads. For example, if a business spends £10,000 per month on Google Ads and the agency charges a 15% fee, the agency fee would amount to £1,500.

However, some agencies charge less and some higher. This will range between 10-25% of your monthly advertising budget and may be adjusted as you adjust your budgets.

Also, some agencies have a minimum monthly fee. So, they may charge 10% for example, but won’t charge less than £500 per month. This is more common and will vary from one agency to another.

 

Flat monthly fee

Sometimes the Google Ads agency fees are based on a monthly retainer. In this model, agencies charge a fixed monthly fee, irrespective of the advertising budget. The fee is usually determined based on the scope of services provided and the agency’s level of expertise.

The Google Ads agency fees for this will vary and will depend on several factors. This will usually start from about £500 to £2,000 per month depending on the amount of work required.

However, there are some agencies that charge from £300 per month, mainly for micro businesses like local trade businesses such as plumbers, electricians and so on.

 

Performance-based pricing

A few agencies tie their fees to the performance of the Google Ads campaigns. They will usually charge a percentage of the ad spend or a monthly retainer but offer incentives or bonuses based on predefined key performance indicators (KPIs) such as conversions or click-through rates.

The pricing of this can be a challenge. However, some will charge per lead, like £20 for example. Or they will charge a percentage of the sales or revenue that you achieve each month from the Google Ads campaigns.

This will require that conversion tracking to be set up correctly with all sales or leads tracking correctly. But this can be a challenge and should be set up accurately.

 

Agency reputation and fees

Established agencies with a solid track record and a portfolio of successful campaigns tend to charge higher fees due to their expertise and credibility.

And you can see this expertise in case studies, reviews, testimonials and so on. And the agencies winning awards for their work usually charge more, because they are in more demand because of this.

And you can expect to pay between 20 to 30% of your budget for their management fees.

 

Service scope and complexity

The complexity of the services provided by the agency impact the pricing. Agencies offering full Google Ads services, including campaign setup, optimisation, ad copywriting, and analytics, may charge higher fees compared to those offering limited services.

So, the Google Ads agency fees for each of these services will add up to higher fees.

With campaign set up for example, this will start from £300 to £800 or more, per campaign. And this will be more if you want to set up multiple campaigns whether that’s for Search, Shopping, Display, Performance Max and so on.

 

Industry and competition

The competitiveness of the industry and the market demand for agency services can influence the fees charged. Highly competitive industries might drive up the agency fees as businesses vie for top ad placements.

Each business will be trying to get top positions for their ads and if it’s a very competitive sector, then a lot of work will be required. And at times, daily changes will need to be made to the campaigns to achieve the best performance.

This will also require working with an agency that has a lot of experience in your industry. So, the Google Ads agency fees will be higher than normal, but you’ll be getting the best value too.

 

Campaign scale and objectives

The size and goals of the advertising campaign also play a role in determining the agency fees. Large-scale campaigns with extensive targeting and multiple ad groups may require more resources, resulting in higher fees.

This means that if new campaigns need to be set up, then a lot of research and campaign creation will be required for more and larger campaigns.

As mentioned earlier, the set-up costs start from £300 to £800 per campaign. And it will depend on the amount of time and work that will be required.

 

Account management and support

The level of account management and ongoing support provided by the agency, such as regular reporting, campaign optimization, and strategic guidance, can influence the fees charged.

This is some of the most important work that is carried out by a Google Ads specialist. And it takes up most of their time.

The Google Ads agency fees for the management and ongoing support will depend on the factors already listed in this article. And this work will start from £500 per month to over £2,000 per month.

But, you should contact a Google Ads specialist to request a proposal and quote.

 

Conclusion

In conclusion, the Google Ads agency fees you’ll pay will depend on several factors, as outlined in this article. So, it’s best to start with your objectives and then reach out to a Google Ads expert for a proposal.

Contact me today to discuss your requirements and for a proposal and quote for my Google Ads services.