GUIDE / STRAIGHT ANSWER
How much is a Google Ads lead worth?
A lead is worth a share of the profit from the customers it is expected to create—not the full value of a sale.
The useful answer
If an average completed job leaves £800 after direct delivery costs and one in four genuine leads becomes a customer, a lead has an expected value of £200 before advertising cost. If Google costs £50 for that lead, the expected contribution is £150 before wider overhead and risk.
A practical answer from Graeme at Hypertrail Digital, based on 13 years in digital marketing.
The short answer
If an average completed job leaves £800 after direct delivery costs and one in four genuine leads becomes a customer, a lead has an expected value of £200 before advertising cost. If Google costs £50 for that lead, the expected contribution is £150 before wider overhead and risk.
What to check next
The right decision depends on a few commercial facts. Work through these before changing budget or buying another service.
- ✓Use profit after delivering the work
- ✓Use the real close rate for genuine leads
- ✓Subtract advertising cost per lead
- ✓Allow for overhead, cancellations and capacity
Apply it to your business
If you share what the business sells, where customers are and what is not working, I can look at the actual route and tell you the first thing I would improve.
Before money is spent
Three questions decide whether the route makes sense.
Common questions
Short, honest answers.
Is Google Ads suitable for every local business?+
No. There needs to be enough relevant search demand, sensible customer economics and a website or landing page capable of turning visits into enquiries.
Do you lock clients into a long contract?+
No long-term contract. The work should continue because it is useful and commercially sensible.
A useful first look. No obligation.
Where could your next worthwhile leads come from?
Tell me what you sell, where customers are and what is not working. I'll look at it personally and tell you the first thing I would improve.