Do you want to delegate the management of your advertising to Google? We show you the different rates and budgets of AdWords according to the type of agency and the type of contract.
Investment in advertising is always necessary, in some cases it is even mandatory. The advantages of advertising on Google AdWords are many, but the one I like most is the speed of any action and that their rates are usually accessible for every budget.
Although, not all users click on the ads, it is true that you start having visits and that is vital to take off your website .
Additionally, we have the benefit of attracting leads that become customers and that, without going too far, makes the business start to make a profit. In this case the AdWords budget must be well managed .
Now, everything is very beautiful when you talk superficially about Google AdWords ads, but the truth is that there is science and art behind them. Paying more for an ad can take down all the financial work of your business .
Imagine that you end up paying more to get the customer than what you enter for what you buy, that will leave a negative balance in your business.
Surely you are reading this because you do not have time to analyze and optimize your AdWords advertising for yourself, that added to the fact that you do not master the art of advertising in that complex and changing environment.
The objective of this article is that you know in detail how much it can cost to delegate the management of your campaign to Google AdWords , and that you can choose the agency that gives your business the best performance.
Remember that pay-per-click (PPC) based advertising, as it is in Google AdWords, must be measured and monitored accurately day by day. Therefore, if you do not have the necessary time or knowledge, it is important to know how to delegate and hire an expert company in Google Adwords .
First of all, I will give you information that determines the price of managing (analyzing, expanding, optimizing, etc.) your campaign in Google AdWords, regardless of the size of the company, let’s do it!
Factors that influence the cost of managing a campaign in AdWords
The price of managing a campaign in Google AdWords will depend on many varied factors.
Managing a campaign in AdWords that is already started is cheaper (from € 75 / month), because all the previous configuration is already done, than a campaign that must be created from scratch (from € 150 / month).
In my experience, as I said, any project that has already campaigned in AdWords usually gets a better price from the company that provides the service.
In principle because the company wants to become competitive against the company that had previously managed the campaign, if any. There is also the fact that the course, objectives and what has been achieved with the strategy are already known ; The new company or professional should only give continuity expanding and improving the scope of the objectives.
PPC service type
The price of managing your campaign by an AdWords agency will depend on the complexity of your project’s presence in advertising .
It does not mean the same job, or by any means, appear only in Google search results, which is the basics and can cost from 75 euros per month, which also do it on your Red Display, in mobile applications or on social networks, whose Cost can easily amount up to 200 euros per month. Nor does the same job involve a simple campaign, than a campaign that includes advanced options such as retargeting , in that case the cost can easily reach 400 euros per month.
The more complex your AdWords campaign is, the more expensive the account management service is because it means more time investment and more specialized knowledge.
Complexity of the Web project and tasks to be developed
A customer with a large online store or with a very complex project of any kind, usually has a budget for advertising Google AdWords greater than in other cases.
Now, that does not mean that the AdWords agency charges more for its services, if we calculate it in a percentage way. Probably, the net of the profit is greater, but that is because the tasks to be carried out are more, take longer or are done more often.
Scope of the service to offer
Each contract is different and the services offered will always depend on the client and its Web project, on the tasks that can be developed internally and on those that Google AdWords experts need to outsource and hire.
In many cases, the client only needs experts for the creation and technical configuration of the campaign in AdWords. In those cases, the price is usually around a single payment between 150 or 300 euros, depending on the complexity of the advertising campaign.
But, in many other cases, the client needs a comprehensive management of the Adwords campaign : creation of the offer, design of the ads, writing of the texts, etc. In those cases, the cost can rise to 500 or 750 euros, depending again on the complexity.
In addition, in many cases, depending on the type of business and Web project, a continuous analysis, update and optimization service of the Adwords campaign is required to achieve the highest possible conversion, the cost of which can range between 150 or 300 euros per month.
Therefore, the fee for managing an AdWords account will always depend mainly on the complexity of the campaign and the expert services that the client requires.
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Types of contracts
Each expert company that works with ads in Google AdWords conceives its business in its own way and most offer services in an attractive way for customers. All this results in the types of contracts that I will detail below.
Monthly fixed by keyword
Personally, I think that, although frequent, it is not an optimal contract or that you like it very much, because you have the feeling that you pay a lot for managing your AdWords campaign.
This type of contract can be useful if your project is small and you know exactly the keywords in which you want to appear on Google.
The idea of this contract is very simple, you pay a fixed price for each keyword you want to configure . Imagine that they charge you 15 euros per keyword (which is the average in the sector) and you want to appear in 50 keywords (something not at all crazy); per month you would pay 750 euros plus the budget dedicated to the consumption of advertising in Google AdWords.
That is, it is 750 euros only for the person who does the configuration and monitoring of the campaign! I imagine that you have already realized the disadvantage of using this format if your project consists of enough keywords, it is a lot of money!
AdWords budget percentage
The percentage that an agency takes goes from 10% to 30% of the total budget planned to invest in AdWords.
This type of contract seems very abusive to the client . I tell you.
A priori it seems a fair deal and it seems to be an interesting type of contract because it is all included, there are no surprises in the billing, and the company works the hours necessary for the objectives to be achieved, regardless of the number of words by you’re going to auction your ads
What is the problem? The problem is that the expert agency, if it does its job well, does not care if the client wants to spend 1,000 euros a month, than 10,000. It will take the same working time in one case as in the other while, at an average commission of 20%, it is charging 200 euros in one case and 2,000 euros in the other.
From Xplora we believe that we must be serious with our services and costs. It cannot be that for our services we charge 200 or 2000 euros!
Rate per hour of service
AdWords hourly rates seem a fair deal, if you are able to quantify the hours worked in a month.
Usually, the professional or the company charges you a fixed price per hour, which usually moves between 30 and 50 euros per hour, not counting the budget to auction. As I told you at the beginning, the problem is to be sure that you have really worked so many hours.
Someone can tell you that he has worked 50 hours in your campaign, when it has only been 10 hours. I don’t want to create distrust, but it’s a reality that I can’t ignore. That is why in Xplora we use hours tracking systems with the client , clear accounts and no surprises!
That topic aside, the AdWords professional rate always depends on your experience and the size of the company .
Fixed monthly fee for the management of the AdWords campaign
The hiring of a fixed fee for the management of AdWords, allows you to negotiate with the agency you want to work with at any time, or easily transfer it.
With this system, the Google Adwords account is created in your name and charging its monthly consumption to your credit card . This way, you make sure that your entire AdWords budget is being spent on your advertising campaign ads.
On the other hand, you agree with the expert agency, the one you want at any time, a fixed monthly fee for the management of your advertising campaign , which can cost between 75 and 300 euros per month, depending on its complexity.
You are interested in this hiring method! If you don’t separate the professional fees from the AdWords auction budget, companies may not respect the fees and auction percentages.
In Xplora we work with this method in 95% of the cases since we feel comfortable, we like transparency in front of the client and we want the client to be with us only if he obtains results, not because he feels “tied” in some way.
Fixed price package that includes the budget and integral management
The last type of contract is similar to the previous one, but the monthly fixed consumption of Google AdWords is included.
Packing the entire management and consumption of AdWords is ideal for small businesses, with tight budgets or who want to unify the integral Internet marketing campaign with an agency.
Another advantage is that there are no surprises charges for the customer. Now, I already told you that the entire advertising budget may not be spent.
The best way to be sure that you receive what you are paying for is that reports are generated of the money that has been invested and how it has been invested ; If it is a serious and professional company, it will not have problems in giving you that information.
In general, it is important that the company gives you reports on how the money is spent, remember that your objective is to optimize the investment of your AdWords advertising, therefore, you should receive the most useful clicks for the money you are investing .
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AdWords price versus service provider profile
The price of a service for AdWords depends on who offers it to you. An exact rule is not fulfilled, since it depends a lot on the prestige of the agency or the professional; A small company or a freelancer can charge you more than a large agency because they have more experience or because their dedication is greater.
Freelancers and small agencies
For small agencies or freelance professionals, the advantage is the treatment between the parties. We are talking about a much more fluid communication and the possibility of making changes more diligently.
In general, these types of companies manage clients with low budgets, which do not exceed 1000 euros per month , because that allows them to devote the attention required by the campaign.
The disadvantage is that these companies, because of the type of budget they manage, are not a Google Partner and that can make them see how less experienced, although this is not necessarily the case.
They work with larger budgets and the fees, or expenses per campaign administration, are usually much higher.
As they handle larger budgets they are usually Google Partners and since they are medium-sized companies, they usually have several talents specializing in AdWords.
You know what they say, two heads think better than one, and that gives them a great advantage. It can be said that these companies are able to develop more complex campaigns.
The largest companies are usually Google Partners , handle large budgets and their rates are also much higher.
It is very likely that these agencies will work with the fixed budget model that includes the fees for their administration services.
The main disadvantage is that communication is usually a challenge when working with large agencies.
As you will see there are many options when it comes to managing your Google AdWords campaign.
In essence, you should know that they will charge you a fixed amount or a percentage that should not exceed 30% of your budget.
Depending on the investment you want to make, you better go for one type of agency or another.
Smaller companies or freelancers work in smaller campaigns, with tighter budgets.
Large companies that pay for AdWords advertising prefer larger advertising companies because they usually have the human capital necessary to implement more complex campaigns.
Remember, advertising investment in AdWords can and should be optimized. Stay with the agency that offers you more visibility by paying less per ad, while you get the most Leads.