How It Works
Three simple steps to get accurate calculations
1
Enter Ad Costs
Input your current CPC and monthly budget.
2
Add Conversion Rates
Set landing page conversion and lead close rates.
3
Define Profit Per Job
Enter your average profit from each customer.
4
Review Profitability
See if your ads are profitable and what to optimize.
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Frequently Asked Questions
What is a good cost per lead for service businesses?
Varies by industry: HVAC $50-150, plumbing $30-80, landscaping $20-50, legal $100-400. Rule: CPL should be under 15-20% of average job profit. If job profit is $400, target CPL under $60-80.
How do I calculate max CPC?
Max CPC = Job Profit × Landing Conversion Rate × Close Rate. Example: $350 profit × 5% conversion × 25% close = $4.38 max CPC. Bid above this and you lose money on average.
What landing page conversion rate should I target?
Service businesses: 3-8% is typical. Under 3% needs optimization. 5%+ is good. 10%+ is excellent. Improve with: clear CTA, phone number prominent, reviews, fast load time, mobile optimization.
Why is my cost per lead so high?
Common causes: Low conversion rate (fix landing page), competitive keywords (try long-tail), poor ad relevance (improve quality score), wrong audience (refine targeting), weak offer (add urgency/discount).
What ROAS should I target for local services?
Target 300-500% ROAS (3-5x return). At 300%, $1 in ads = $3 in profit. Below 200% is risky after accounting for overhead. Top performers hit 500%+.
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Results are estimates for informational purposes only. Consult professionals for important decisions.