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How much should a local business spend on Google Ads?

A straight-talk guide to setting your first Google Ads budget as a Guelph or KW service business, without lighting money on fire.

By Brand Pulse Marketing

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One of the first questions every local business owner asks us is simple: “How much do I need to spend?” It’s the right question, and the honest answer is that it depends on three things.

1. What a customer is worth to you

A new client for a paralegal practice is worth far more than a single coffee order. The more a customer is worth over their lifetime, the more you can afford to spend to win one.

2. How competitive your keywords are

In some industries a click costs a dollar or two. In others, like law, a single click can cost more than $15. Your budget has to be realistic for the searches you’re targeting.

3. How well your follow-up works

This is the one most people miss. If half your leads never get a call back, half your budget is wasted. This is exactly where AI-assisted follow-up changes the math: every lead gets a fast, consistent response.

A simple starting point

For most local service businesses, a meaningful test starts around $1,000 to $2,000/month in ad spend. That’s enough to gather real data and start seeing a pattern in your cost-per-lead.

Want a number tailored to your business? Try our budget calculator or get a free game plan.

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