Quick answer
Google Ads has no minimum spend; you set your own daily budget. Most local businesses in India start with ₹15,000–₹30,000 a month. Cost per click usually ranges from ₹5–₹40 in low-competition categories, ₹20–₹150 for clinics, CA, legal and coaching, and ₹50–₹450+ for real estate, education, SaaS, loans and insurance. Google adds 18% GST on ad spend. If you hire an agency, add its management fee (iBACT Digital charges from ₹7,999 a month + GST). Example: a ₹30,000 budget at ₹30 per click and a 5% enquiry rate gives about 50 leads at about ₹600 each.
- Work out your own numbers with the Google Ads cost calculator.
- Want it managed? See our Google Ads service.
Get a free Google Ads plan with budget, expected clicks and cost per lead for your business.
How Google Ads pricing works
Google Ads is an auction. Every time someone searches, Google decides which ads to show and in what order. You don't pay to appear; on Search you usually pay only when someone clicks (cost per click, or CPC).
- Your budget: you set an average daily budget. On some days Google may spend up to twice that, but over a month you won't be charged more than about 30.4 times your daily budget.
- Your bid strategy: manual CPC, Maximise clicks, Maximise conversions, Target CPA and others decide how Google bids for you.
- Quality Score: Google rates how relevant your keywords, ads and landing page are. Higher quality usually means a lower cost per click for the same position.
- Competition: the more advertisers bidding on a keyword in your city, the higher the price.
- Timing and location: costs vary by city, time of day and season (festivals and admission seasons are often more expensive).
Cost per click in India by industry
| Competition level | Typical CPC | Example industries |
|---|---|---|
| Lower | ₹5–₹40 | E-commerce, travel, home services, restaurants, local retail |
| Medium | ₹20–₹150 | Clinics, legal and CA services, local B2B, coaching |
| Higher | ₹50–₹450+ | Real estate, education and study abroad, SaaS and IT, loans and insurance |
Rough Indian benchmarks; your costs depend on keywords, city, competition, Quality Score and landing page. Search ads in India often see click-through rates of about 4%–8%.
Cost per lead: what you can expect
Cost per lead depends on two numbers: your cost per click and the percentage of visitors who enquire (conversion rate). For example, ₹30 per click with 5% of visitors enquiring means ₹600 per lead.
| Business type | Typical CPC | Typical enquiry rate | Approx. cost per lead |
|---|---|---|---|
| Home services (repairs, pest control) | ₹15–₹40 | 8%–15% | ₹100–₹500 |
| Clinics and dental | ₹25–₹100 | 6%–12% | ₹250–₹1,500 |
| CA, legal and registrations | ₹20–₹120 | 5%–10% | ₹250–₹2,000 |
| Coaching and education | ₹30–₹150 | 4%–8% | ₹400–₹3,000 |
| Real estate | ₹50–₹300 | 2%–5% | ₹1,000–₹10,000+ |
| B2B and IT services | ₹60–₹400 | 2%–6% | ₹1,000–₹15,000+ |
Indicative ranges to help you plan, not guarantees. A focused landing page and fast follow-up can lower your cost per lead considerably.
Cost by campaign type
| Campaign | How you pay | Best for |
|---|---|---|
| Search | Per click | People actively searching for your service |
| Call ads and call assets | Per click or call | Urgent local services |
| Performance Max | Per click or conversion-based bidding across Search, YouTube, Display, Gmail and Maps | Businesses with good tracking and creative assets |
| Shopping | Per click | Online stores with a product feed |
| YouTube | Usually per view or per thousand impressions | Awareness and remarketing with video |
| Display and remarketing | Per click or per thousand impressions | Bringing back past website visitors |
Most small businesses should start with Search (plus call assets), because it captures people who are already looking. Add remarketing and Performance Max once conversion tracking is working.
Realistic monthly budgets
| Business | Suggested starting ad spend | Why |
|---|---|---|
| Local service in one city | ₹15,000–₹30,000 | Enough for steady daily clicks on core keywords |
| Clinic or multi-service local business | ₹25,000–₹60,000 | Several services and locations to cover |
| Coaching and education | ₹40,000–₹1,50,000 | Higher CPCs, especially before admission season |
| E-commerce store | ₹30,000+ | Shopping and Performance Max need data to learn |
| Real estate project | ₹75,000–₹3,00,000+ | High CPCs and long buying cycles |
| B2B and IT services | ₹50,000+ | Expensive keywords and longer sales cycles |
Start with a budget that can buy at least 20–30 clicks a day on your core keywords. Spreading a small budget across many keywords usually means none of them get enough clicks to learn.
Worked example: a ₹30,000 monthly budget
| Item | Amount |
|---|---|
| Ad spend (paid to Google) | ₹30,000 |
| GST on ad spend (18%) | ₹5,400 |
| Management fee: Starter plan ₹7,999 + 18% GST | ₹9,439 |
| Total monthly cost | ₹44,839 |
| Clicks at about ₹30 each | About 1,000 |
| Leads at a 5% enquiry rate | About 50 |
| Cost per lead (ad spend only) | About ₹600 |
If your business is GST-registered and you add your GSTIN to the Google Ads account, you can usually claim the GST as input tax credit, which lowers the real cost.
Google Ads cost calculator
Enter your numbers to see clicks, leads and your total monthly cost including GST and management.
What's included in the total cost
- Ad spend: paid directly to Google from your own account.
- 18% GST on ad spend: charged by Google in India; claimable as input tax credit if you're GST-registered.
- Management fee (if you use an agency): fixed monthly or a percentage of spend, plus GST.
- Landing page (one-time, optional): a focused page usually lowers cost per lead. See landing page design.
- Tracking setup: call, WhatsApp and form conversion tracking; included in our plans.
How you pay Google in India
- Automatic payments: Google charges your card after you've spent a set amount or monthly.
- Manual payments (prepay): add money in advance, for example by UPI or net banking, and ads run until the balance is used.
- Options shown depend on your account; enable recurring and online payments on your card to avoid failed charges.
- Add your GSTIN and business details in billing settings so invoices are correct.
10 ways to lower your Google Ads cost
- Use phrase and exact match for your main keywords instead of broad match without controls.
- Add negative keywords like "free", "jobs", "salary", "course", "DIY", "meaning" and competitor names you don't want.
- Target the right locations: only the cities or pin-code areas you serve, with "presence" targeting.
- Schedule ads for hours when your team can take calls.
- Send traffic to a focused landing page that matches the keyword, not your home page.
- Add call, location and sitelink assets to improve click-through rate and Quality Score.
- Track conversions properly (calls, WhatsApp clicks, forms) so smart bidding optimises for leads.
- Separate campaigns by service so budgets go to your most profitable services.
- Review the search terms report weekly and remove irrelevant searches.
- Follow up leads within minutes: faster follow-up turns the same ad spend into more customers.
Already running Google Ads?
Get a free audit: we'll check wasted spend, keywords, tracking and landing pages, and send a short fix list.
DIY vs agency: what it costs
| Option | Cost | Good for | Watch out for |
|---|---|---|---|
| Do it yourself | No fee; your time | Very small budgets, learning | Broad match and missing negatives can waste budget quickly |
| Freelancer | Lower fixed fee | Simple Search campaigns | Limited time; tracking may be missing |
| Agency | Fixed fee or 10%–20% of spend | Steady leads, multiple campaigns, tracking and reporting | Check what's included and who owns the account |
Whoever manages it, the Google Ads account should be in your name, with the agency given access. Many of the same questions apply as for Meta agencies: see 10 questions to ask before hiring an ads agency.
Google Ads vs Meta Ads cost
Google Search clicks usually cost more than Facebook and Instagram clicks, but searchers are often closer to buying. Meta is often cheaper per lead but needs strong creatives and faster follow-up. Compare platforms on cost per customer, not cost per click. Read the full comparison: Facebook Ads vs Google Ads, and see Meta Ads cost in India.
Mistakes that waste Google Ads budget
- Broad match keywords with no negative keywords.
- Targeting all of India when you only serve one city.
- Sending clicks to the home page instead of a matching landing page.
- No conversion tracking, or tracking page views instead of real enquiries.
- Running Display Network inside a Search campaign by default.
- Ignoring the search terms report.
- Ads running at night when no one can answer the phone.
- Changing bids and budgets every day before campaigns have data.
Google Ads management by iBACT Digital
- Starter: ₹7,999/month + GST for ad spend up to ₹50,000. Search campaign, keyword research and negatives, call, WhatsApp and form tracking, weekly optimisation and a monthly report.
- Growth: ₹14,999/month + GST for ad spend up to ₹2,00,000. Adds Performance Max, remarketing, GA4 setup and a dedicated account manager.
- Scale: 10% of ad spend (minimum ₹24,999/month) + GST above ₹2,00,000. Adds Shopping, YouTube and Demand Gen.
- Ad budget paid directly to Google from your account; monthly plans with no lock-in.
See full details on our Google Ads service page.
Frequently asked questions
What is the minimum budget for Google Ads in India?
There's no minimum. You set your own daily budget. Most local businesses start with ₹15,000 to ₹30,000 a month so their main keywords get enough clicks.
How much does a click cost on Google Ads in India?
Roughly ₹5 to ₹40 in lower-competition categories, ₹20 to ₹150 for clinics, legal, CA and coaching, and ₹50 to ₹450 or more for real estate, education, SaaS, loans and insurance.
Is GST charged on Google Ads in India?
Yes, Google adds 18% GST on ad spend. If you're GST-registered and add your GSTIN to the account, you can usually claim it as input tax credit.
How many leads can I get from ₹30,000 on Google Ads?
At about ₹30 per click and a 5% enquiry rate, roughly 50 leads at about ₹600 each. Your numbers depend on industry, city and landing page.
How much do Google Ads agencies charge in India?
Commonly a fixed monthly fee or 10% to 20% of ad spend. iBACT Digital charges ₹7,999 a month for spend up to ₹50,000, ₹14,999 up to ₹2 lakh, and 10% (minimum ₹24,999) above that, plus GST.
Why is my cost per click so high?
Common reasons are competitive keywords, broad match, low Quality Score, a weak landing page and targeting too wide an area. Tighter keywords and a better landing page usually help.
Does Google charge more than my daily budget?
On some days Google may spend up to twice your average daily budget, but over a month you won't be charged more than about 30.4 times your daily budget.
Is Performance Max more expensive than Search?
Not necessarily. Performance Max can lower cost per conversion when tracking is good, but it's harder to control. Most small businesses should start with Search.
How long before Google Ads gives results?
Search ads can bring calls and enquiries within the first few days. Costs usually settle after 2 to 4 weeks of data and optimisation.
Can I run Google Ads without a website?
You can run call ads and use a Google Business Profile, but a fast landing page usually improves results and Quality Score.
Should I choose Google Ads or Meta Ads?
Choose Google if people search for your service when they need it, and Meta if you need to create demand with visual ads. Many businesses use both.
Does iBACT Digital require a contract?
No. Our Google Ads plans are monthly with no lock-in, though we recommend at least 3 months to see full results.
Get a free Google Ads plan or audit
Share a few details. We'll send a plan with budget, keywords and expected cost per lead, or audit your current account.
- From ₹7,999/month + GST
- Call, WhatsApp and form tracking
- No lock-in, account stays yours