Estimate your required monthly ad spend based on revenue goals and historical performance.
Recommended Monthly Budget
$0.00
Estimated Sales
0
Required Monthly Clicks
0
Target ROAS (Return on Ad Spend)
0x
Cost Per Acquisition (CPA)
$0.00
Daily Budget Recommendation
$0.00
How to Determine Your PPC Budget
Planning a Pay-Per-Click (PPC) campaign on platforms like Google Ads or Meta Ads requires more than just picking a random number. To ensure profitability, you must work backward from your revenue goals using your historical or industry-benchmark metrics.
Key Metrics in PPC Budgeting
Average Order Value (AOV): The average amount of money a customer spends when they make a purchase. If you are a lead-generation business, use the "Value per Lead."
Conversion Rate (CR): The percentage of website visitors who complete a desired action (like a purchase or form fill). The global average is often between 2% and 4%.
Cost Per Click (CPC): How much you pay the ad platform every time someone clicks your ad. This varies wildly by industry, from $0.50 in fashion to $50.00+ in legal services.
ROAS (Return on Ad Spend): A ratio that tells you how much revenue you earn for every dollar spent on advertising.
The Math Behind the Calculator
To find your required budget, we use the following formula:
Imagine you want to generate $20,000 in revenue next month. Your product costs $200. You know your website converts traffic at 2%, and the average CPC in your niche is $1.50.
You need 100 sales ($20,000 / $200).
To get 100 sales at a 2% conversion rate, you need 5,000 clicks (100 / 0.02).
To get 5,000 clicks at $1.50 each, your monthly budget must be $7,500.
Your ROAS would be 2.67x ($20,000 / $7,500).
Tips for Optimizing Your PPC Spend
If the calculated budget is higher than you can afford, you have three levers to pull: increase your Conversion Rate (improve your landing page), increase your Average Order Value (upsells), or lower your CPC (improve your Quality Score or target less competitive keywords).
function calculatePpcBudget() {
var revGoal = parseFloat(document.getElementById("revGoal").value);
var avgSale = parseFloat(document.getElementById("avgSale").value);
var convRate = parseFloat(document.getElementById("convRate").value);
var avgCpc = parseFloat(document.getElementById("avgCpc").value);
// Error handling
if (isNaN(revGoal) || isNaN(avgSale) || isNaN(convRate) || isNaN(avgCpc) || avgSale <= 0 || convRate <= 0) {
alert("Please enter valid positive numbers for all fields.");
return;
}
// Calculation Logic
var requiredSales = revGoal / avgSale;
var requiredClicks = requiredSales / (convRate / 100);
var totalBudget = requiredClicks * avgCpc;
var roas = revGoal / totalBudget;
var cpa = totalBudget / requiredSales;
var dailyBudget = totalBudget / 30.4; // Average days in month
// Display Results
document.getElementById("resBudget").innerText = "$" + totalBudget.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("resSales").innerText = Math.ceil(requiredSales).toLocaleString();
document.getElementById("resClicks").innerText = Math.ceil(requiredClicks).toLocaleString();
document.getElementById("resRoas").innerText = roas.toFixed(2) + "x";
document.getElementById("resCpa").innerText = "$" + cpa.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
document.getElementById("resDaily").innerText = "$" + dailyBudget.toLocaleString(undefined, {minimumFractionDigits: 2, maximumFractionDigits: 2});
// Show result container
document.getElementById("ppc-calc-results").style.display = "block";
// Smooth scroll to results
document.getElementById("ppc-calc-results").scrollIntoView({ behavior: 'smooth', block: 'nearest' });
}