GOOGLE ADS FOR CONTRACTORS

How Much Should a Contractor Spend on Google Ads?

A straightforward framework to figure out the right Google Ads budget for your trade business — without guessing.

M

Michael McVeigh

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Blue Collar Bump · March 2026

Google AdsPaid SearchBudget
6 min read

$500–800

average value of a single HVAC service call

3–5x

return on ad spend achievable for local contractors

$500/mo

minimum effective starting budget for most trades

One of the first questions we get from contractors interested in running Google Ads is: “How much do I need to spend?”

The honest answer: it depends. But here’s a framework that will help you figure out the right number for your business.

Start With What a Customer Is Worth to You

Before you decide on a budget, you need to know your numbers:

For an HVAC company, a new customer might be worth $500-$800 on the first call — but $3,000-$5,000 over their lifetime. That changes how much you should be willing to spend to acquire them.

Rule of Thumb by Trade

Here’s what we typically see for competitive markets:

Smaller, less competitive markets can often get results at the lower end of these ranges. Major metros like Denver, Dallas, or Phoenix require more.

What You’re Actually Paying For

With Google Ads, you’re paying per click — not per lead. In competitive trade categories, clicks can cost $8–$25 each. If your landing page converts at 10%, you’re spending $80–$250 per lead. That math only works if your average job value is significantly higher — which for most trades, it is.

The Minimum That Actually Works

In our experience, budgets under $400/month rarely generate enough data for Google’s algorithm to optimize effectively. You’ll get occasional leads, but you won’t be able to learn what’s working. We generally recommend starting at $500–$700/month in ad spend and scaling up as you see results.

The Key: Track Every Lead

The biggest mistake contractors make with ads is not tracking where their calls come from. Without call tracking, you have no idea which ads are working. We set up call tracking for every client so you always know your cost per lead.

Ready to get started? See our pricing plans — we offer fully managed Google Ads as part of every Growth and Pro package, with transparent reporting and no long-term contracts.


Want to know what realistic results look like in your specific market and trade? Book a free consultation — we’ll give you honest numbers based on real data from your area.

FREE FOR COLORADO CONTRACTORS

Get a Free Marketing Audit

We’ll review your online presence and tell you exactly what to fix. No pitch, no pressure.

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Michael McVeigh - Blue Collar Bump

Michael McVeigh

Founder, Blue Collar Bump

Built by someone who’s worked alongside operators, scaled teams, and driven real revenue in the field. Blue Collar Bump exists because trade businesses need marketing that understands how jobs actually get won. Every strategy is built for contractors who are too busy working to chase leads.

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