How Much Does PPC Management Cost

Finding a PPC agency can be challenging.

If you’re considering Pay-Per-Click (PPC) advertising, one of the first questions you’ll ask is simple:

How much does PPC management cost?

The honest answer is: it depends.
But that’s not very helpful on its own.

What is helpful is understanding how PPC pricing works, what you’re actually paying for, and how to judge whether a cost is fair. That’s what this guide is for.

There are many ways to keep growing your company, PPC marketing is one of the best. You can target the exact keywords in the exact location you’re operating in, so it’s not surprising that more businesses large and small find PPC an effective digital marketing channel.

The PPC advertising model is incredibly effective, and Google Ads is its master. 

How much power does it actually possess?

It accounts for about 83.3% of Google’s overall revenue and controls a full 32.3% of all Internet advertising revenue.

Here’s our guide to answer your question, how much does PPC management cost?

We’ll walk through PPC management costs in the UK, typical pricing models, real-world examples, and the factors that influence fees — so you can budget confidently and avoid costly mistakes.

What Is PPC Management?

PPC management is the ongoing process of planning, launching, optimising and reporting on paid advertising campaigns across platforms like Google Ad and Microsoft Ads (Bing Ads). Sometimes paid social gets thrown in here as well, but we are only going to be talking about paid search ads throughout this guide.

PPC management services typically include:

• Keyword research and audience targeting
• Campaign setup and structure
• Bid management and budget control
• Ad copywriting and creative testing
• Conversion tracking and analytics
• Ongoing optimisation to improve ROI

In short, PPC management exists to make sure your ad spend works harder.

Related read: The Pros & Cons Of Google Ads

How Much Does PPC Management Cost in the UK?

A PPC management agency can charge in a number of different ways, they may also include a set up fee for initially setting up the campaigns they wish to run. They will then likely charge a monthly management for looking after these campaigns, this will be incurred ever month unless you decide to stop running ads.

How much this costs exactly will vary depending on the agency you decide to work with.

In the UK, PPC management cost usually falls into one of four pricing models. Each has pros, cons, and best-fit scenarios.

Typical PPC Management Cost Ranges (UK)

• £500 – £1,500 per month for small business PPC campaigns
• £1,500 – £5,000 per month for growing or multi-channel campaigns
• £5,000+ per month for large ad accounts, ecommerce, or competitive sectors

These are management fees only. They do not include your ad spend.

At Dandy, we offer our PPC management packages on a rolling monthly basis, charging just a small management fee for our expert services. This means you can put your money where it matters the most – into your ad spend. We can also pause and relaunch these monthly services at your convenience, so you never have to stress about being locked into a long-term contract.

Types of PPC management services

While PPC companies provide a range of services, working with clients who have a set advertising budget is their primary focus. 

These are the most typical kinds of PPC marketing services:

• Fully-managed accounts with distinct setup fees, management costs, and advertising budgets.
• Freelancers, whether or not they have agency expertise or certifications.
• Consultants who can provide guidance and advice on how to improve the outcomes of an existing PPC account.

Read More: What is PPC Campaign Management?

So – how much does PPC management cost?

PPC Service	Cost
Ad Spend	Varies
PPC tools and software	£80 to £800 per month
PPC management cost (agency)	12% to 30% of ad spend per month
PPC management cost (in-house)	Varies

Related read: Does Google Ads Still Work For Small Businesses?

PPC Management Pricing Models Explained

1. Percentage of Ad Spend

This is the most common PPC agency pricing model.

With this structure, the PPC management fee is calculated as a percentage of your monthly ad spend, typically between 10% and 20%.

Example:

• Monthly ad spend: £3,000
• PPC management fee (15%): £450
• Total monthly PPC cost: £3,450

Pros

• Scales as your campaigns grow
• Aligns agency incentives with performance
• Easy to understand and forecast

Cons

• Can feel expensive at higher ad spend levels
• Not always reflective of workload complexity

This model is widely used by PPC agencies because it supports long-term campaign management and growth.

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2. Fixed Monthly Fee

A fixed monthly fee means you pay a set cost every month, regardless of ad spend.

Typical fixed fees range from £500 to £3,000+ per month, depending on campaign size and scope.

Pros

• Predictable budgeting
• Clear expectations
• Works well for stable campaigns

Cons

• Less flexible if ad spend fluctuates
• May cap optimisation effort if poorly scoped

This model suits businesses that want cost certainty and already know roughly how much PPC support they need.

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3. Hourly Rates

Some PPC managers and consultants charge by the hour.

Typical hourly rates in the UK range from £50 to £150 per hour, depending on experience and expertise.

Pros

• Flexible
• Good for audits or short-term work
• No long-term commitment

Cons

• Harder to predict total cost
• Not ideal for ongoing campaign management

Hourly pricing is best used for one-off projects, troubleshooting, or strategy sessions.

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4. Hybrid Pricing Models

Hybrid models combine elements of fixed fees and percentage-based pricing.

For example:

• £750 fixed monthly fee
• Plus 5–10% of ad spend

This approach balances predictability with scalability and is increasingly common among experienced PPC agencies.

Things to consider for your PPC ad spend

• Costs will vary depending on the type of management you choose, the platform you choose to run your ads on your target audience/keywords. There are pros and cons to Google Ads.
• If you pay an agency as a percentage of ad spend, make sure they work to keep your CPA (Cost-Per-Acquisition) as low as possible to guarantee the highest ROI.
• If you have a fixed monthly payment, review your choices by comparing them to market rates currently available.

• Employing someone on an hourly basis will give you the freedom to change the number of hours they work as necessary and ensure that your account is always being worked on by someone with the necessary skill set – but this can cost more than a monthly-fee.

What’s Included in PPC Management Fees?

A common mistake is assuming PPC management is just “setting ads live”.

In reality, professional PPC management includes ongoing, hands-on work.

Core PPC Management Services

Most PPC management services include:

• Initial campaign setup
• Keyword research and intent mapping
• Bid management and bidding strategies
• Ad copy creation and testing
• Campaign structure optimisation
• Conversion tracking setup
• Performance monitoring and reporting

Higher-tier services may also include:

• Landing page optimisation advice
• Advanced audience segmentation
• Multi-platform PPC management
• CRO insights and revenue attribution

If an agency’s fee seems low, it’s worth asking what’s excluded.

How Ad Spend Affects PPC Management Cost

Ad spend is one of the biggest drivers of PPC management cost.

Why Higher Ad Spend Often Means Higher Fees

• More data to analyse
• More keywords and ads to manage
• Higher risk if budgets are mismanaged
• More frequent optimisation required

That said, higher ad spend doesn’t automatically mean higher complexity. A £20,000 campaign with a tight focus may be easier to manage than a £3,000 campaign spread across multiple platforms.

This is why the right pricing model matters.

Factors That Can Push the Cost of PPC Pricing Up and Down

PPC pricing isn’t set in stone – several factors can influence how much you’ll need to budget for managing PPC campaigns. Whether you’re launching a basic PPC campaign or working with an experienced PPC agency to build a sophisticated PPC strategy, here’s what can affect the total ad spend:

1. Industry and Competition

Some industries naturally have higher PPC spend due to competition for keywords. For example, legal services, finance, and insurance businesses often face higher costs per click (CPC) because multiple companies are bidding on the same high-value terms. On the other hand, niche businesses with less competition may find it easier to secure lower CPCs.

2. Keyword Research & Bidding Strategy

Effective keyword research can help control PPC costs by identifying affordable yet high-intent keywords. Broad match keywords typically increase costs due to irrelevant clicks, whereas exact match keywords refine targeting and improve ROI. The right PPC agency will structure bidding strategies to balance visibility and affordability.

3. Geographic Targeting

The location of your target audience plays a role in PPC pricing. Advertising in major cities like London typically costs more due to higher competition, whereas targeting smaller towns or regions may reduce costs. Google Analytics can help track which locations drive the best results for your campaign management.

4. Ad Quality & Relevance

Google Ads rewards high-quality ads with lower CPCs through its Quality Score system. If your ads are highly relevant to the search query, feature strong ad copy, and lead to a well-optimised landing page, you can reduce costs. Poorly optimised ads with low click-through rates (CTR) will drive PPC costs up.

5. PPC Management Approach

The cost of PPC can also vary depending on whether you manage campaigns in-house or hire an agency. A professional PPC agency can optimise campaign management to lower wasted spend, whereas DIY PPC management may result in inefficiencies and higher costs.

6. Ad Scheduling & Device Targeting

Running ads 24/7 may not always be the most cost-effective strategy. If your business sees better conversions at specific times, scheduling ads to run during peak hours can maximise ROI. Additionally, adjusting bids for mobile, desktop, and tablet users can help control costs.

7. Total Ad Spend & Budget Allocation

PPC spend should align with your business goals. Some businesses benefit from a flexible budget that increases during peak seasons, while others prefer a fixed monthly spend. A well-structured PPC strategy ensures the budget is allocated effectively to avoid unnecessary costs.

Is PPC Worth It? A Dandy Case Study

A well-structured PPC strategy can make all the difference when it comes to maximising return on investment. At Dandy, we put this to the test with The Goodness Project, implementing a complete overhaul of their PPC campaigns to improve efficiency and performance.

Here’s how we did it:

Account Restructure & Keyword Optimisation

• Conducted in-depth keyword research
• Created tightly themed Ad Groups for more precise targeting
• Developed fresh ad copy to boost engagement

Campaign Enhancements

• Implemented new campaign extensions
• Adjusted device bids for improved performance
• Introduced Google Shopping ads (previously unused) with a product feed focused on best-selling items

The Results

Despite only a 2% increase in ad spend, our optimisations led to:

• 61% reduction in CPC (lower cost per click)
• Significantly more traffic to the website
• A surge in online orders—boosted further by our UX recommendations and shifting consumer behaviour during lockdown

This case study highlights why PPC is worth the investment—when managed strategically, even small adjustments can drive big results. If you’re looking for expert PPC management, we’d love to help.

Why Is PPC Management Sometimes Expensive?

PPC can look expensive at first glance, especially when you see management fees alongside ad spend.

But here’s the reality:

• PPC requires constant monitoring
• Platforms change regularly
• Poor decisions cost real money, fast
• Experience reduces wasted spend

You’re not just paying for time.
You’re paying for judgement, experience, and accountability.

Cheap PPC Management: What to Watch Out For

Low-cost PPC management often means:

• Minimal optimisation
• Generic keyword targeting
• Poor reporting
• Over-reliance on automated bidding

In PPC, cutting corners doesn’t save money — it usually wastes it.

In-House vs PPC Agency Cosy

Some businesses consider managing PPC in-house.

In-House PPC Costs

• Salary (£30k–£50k+)
• Training and tools
• Platform expertise gaps
• Single point of failure

PPC Agency Costs

• Access to specialists
• Multiple platforms and tools
• Proven processes
• Ongoing optimisation

For many businesses, agencies offer better value per pound spent, especially without enterprise-level budgets.

Google ads management and PPC services from Dandy

Considering hiring a PPC agency? Check out our PPC marketing services today. At Dandy, our team of experts in digital marketing has years of collective expertise in assisting companies in achieving their desired results through PPC advertising. We can find a PPC cost that works for you and your small business.

We offer a variety of digital marketing packages to help your company grow, and PPC is a fantastic channel to have as part of your overall digital marketing strategy.

Please get in touch with us right away if you want to learn how PPC can help you grow your company.

PPC Management Cost FAQs