Many people who are new to Pay Per Click (PPC) advertising want to know how…
So, how long does Google Ads take to be profitable? The answer to that question varies from industry to industry and from business to business.
But, the good news is that many businesses are profitable within days of activating their ads. In fact, the average return on ad spend in Google Ads is 200% and translates to earning $2 for every $1 spent. And this is much higher than many other similar platforms.
And there are many businesses that achieve over 1000% return on ad spend – so Google Ads is very profitable. And that can happen quickly, but at times it takes longer, so giving your ads some time to run is important too.
But it’s important that you’re actively managing your campaigns by doing things like adding negative keywords. This will help to block searches that are not relevant and make your ads more targeted and therefore more profitable.
B2B & B2C Industries
For example, the click to lead conversion for some B2B industries can be a few weeks so it will take a while to reach your lead gen targets and be profitable.
Also, it may take weeks or months in some cases as people know your business more and keep returning to either purchase or make contact.
So raising brand awareness is important too. It helps to shorten the purchase cycle and makes your ads more profitable as time goes and that works for both B2B and B2C.
For ecommerce, people will often shop around and spend days or weeks looking at different offers before purchasing. And this is usually the case if the products are relatively expensive.
And for some ecommerce businesses, customers only become profitable after making multiple purchases, so it’s important to include other channels like email marketing and remarketing to keep reminding them of your offers.
What you have to also consider is the lifetime value of your customers. You should calculate this to be able to see your profitability and also to help you set the correct budget.
So, as you can see, how long your Google Ads takes to be profitable depends on multiple factors. You should consider the buying process of your customers and how long that is and the industry you’re in. And then give your ads a few weeks and months to run to give them a chance to be profitable as people get to know your business.
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Are you struggling to make your campaigns profitable? I’d be happy to help. I’m a certified Google Ads consultant and PPC expert with many years experience in the industry. Contact me below to discuss your requirements.