How a Google Ads budget is really calculated
Google Ads is priced per click, so a budget is a number of clicks times what each costs, and the leads are those clicks times the share that convert. Turn that around and you have the planner: cost per lead is CPC divided by conversion rate, and the budget is the leads you need times that cost per lead. Everything else, daily budget, clicks per month, CAC and ROAS, follows from those two rates.
The two rates are also the two things you can look up. Your account's average CPC is in the campaign table; the landing page conversion rate is conversions divided by clicks. If you have no account yet, the industry presets are typical search values for lead generation, and they are deliberately conservative: a plan built on a 12 percent conversion rate that turns out to be 6 is a plan for half the leads.


