How Much Does PPC Management Cost

Finding a PPC agency can be challenging. Mainly because there are so many different kinds of ad marketing services available.

Although 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.

In this article, we will examine the various PPC management options accessible and estimate the cost of hiring a professional PPC firm to handle your Google Ad account and PPC campaigns. 

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

What are PPC ads?

PPC, or pay-per-click, takes its name from the advertising strategy that charges you in accordance with the number of clicks on your ads. 

You can be charged in a number of different ways on ad platforms like Google depending on the type of campaign you set up and the bidding methods you choose. This can include being charged by impressions, conversions, pay-per-video views, and more. This contrasts with conventional advertising, which has a fixed fee rather than a variable one.

Some examples of other forms of paid advertising are LinkedIn ads, Meta ads and YouTube ads, all of which can take payment regardless of clicks. Which type of paid advertising is right for you will depend on a number of factors, including the type of product/service you are advertising and who your target audience is.

If you’re not sure whether PPC or other paid advertising methods are right for your business, book a free chat with us today. We can help you set up a campaign that meets all of your needs.

Related read: The Pros & Cons Of Google Ads

How much does a PPC management agency charge?

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.

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.

For small businesses we believe this is vital, especially if you are only just starting out with PPC, you don’t want to be locked into a long contract when things aren’t working or you need to save budget.

It might be time to evaluate your current plan if you think your PPC management costs are excessive or if you think you could accomplish more with a smaller PPC budget. One choice to think about is switching your PPC agency to one that combines the correct amount of manual optimisation with Google’s automatic machine learning.

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

Fixed Price Packages

A fixed-price package allows you to pay a single amount that includes both management service costs and ad spend. Typically, smaller businesses that want to spend less than £1,000 per month overall should choose this kind of plan for their PPC campaign. 

Remember that it might be challenging to determine how much of your budget is going toward clicks versus the management charge when paying an all-inclusive fee. If you want to know this information, you must ask for reporting that breaks down the balance you truly owe for clicks and management fees.

Flat rate fees

If PPC Management uses a flat-rate pricing structure, the customer will always pay the same amount each month, regardless of how many hours have been spent on the campaign or how well it has performed.

Estimating the time and effort required to provide a fixed monthly fee is part of this term of service. Small businesses benefit more from this strategy than those looking to grow nationally or globally.

Percentage of ad spend

With this billing structure, agencies might be more focused on Google, Bing, or Facebook’s financial goals than on the needs of the customer. 

This is how it goes: The firm receives a portion of the company’s advertising budget, usually between 10% and 20%. Because it changes each month, this monthly management fee charge can make planning challenging. Additionally, there is typically a minimum ad spend prerequisite for agencies using this billing method.

Hourly rate

An hourly fee is a straightforward pricing structure that is easy to budget for and figure out your monthly expenses. You always know exactly how much you’re spending each month when you have a fixed number of hours per month and an hourly rate, like £50 for PPC Management. 

Having an hourly rate ensures more flexibility, freedom and ease of mind by preventing long-term commitments – but it can be much more costly.

Pay-per-lead or sale

This pricing model includes paying according to a cost per lead or cost per sale, and it is more frequently used by small businesses with limited advertising budgets.

Bespoke

Some agencies may also provide a bespoke management fee based off of your ad spend and how complicated your campaign set up will be, this ultimately comes back to hours spent on your account. For example, if youre a small business spending £500 a month with 3 campaigns, this is not a complex account to manage. 

Compare that to a national eCommerce brand spending £20,000 per month pushing multiple product lines and different campaign types and you have a much more complex account that will need more time to manage effectively.

So they may take into account your ad spend and your account complexity to provide a bespoke quote for you.

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.

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.

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