Paid Advertising ROI Calculator

How Much Should You Spend On Paid Ads?

Estimated Monthly Budget

How much does your business spend per month on paid ads? The average small/ medium business spends between 5-18% of revenue on marketing. A large percentage of this should be allocated to paid ads. Start with 5% if you want to be conservative with your growth and go from there for more aggressive growth and lead flow.

$100 $1M

Projected Cost Per Click

How much is your business willing to pay for a click? On average, businesses should expect to pay $1-$7 or more per click depending on their industry, audience and ad network used.

$0.1 $200

Target Conversion Rate

How successful is your website at converting visitors into leads? The average website conversion rate is 2.35%. Improving your website, landing pages, or sales funnel to increase conversion rate is one of the most common ways to make paid ads more profitable.

0.1% 50%

Customer Lifetime Value

What is the total revenue your business can reasonably expect from a single customer? The longer a customer continues to purchase from your company, the greater their lifetime value becomes. For some companies this number may change over time.

$100 $1M

Lead to Customer Rate

What is the number of qualified leads that are converted to actual customers? This metric is critical to evaluating the performance of your company’s sales funnel. No universal benchmark for conversion rates is applicable to all companies.

1% 90%


Number of Clicks
Number of Leads
$ 83
Value of a Lead
$ 250
Expected Revenue
$ 6000
Expected Profit
$ 4000

Return on Ad Spend


Ready To Improve Your Paid Ads ROI?

If you’re interested in learning more about paid ads, or want help setting up a campaign, feel free to contact us!

We’re more than happy to help you start maximizing your Internet marketing results.