Part 1: Google ads for plumbers is here.
Hey, so I just want to show an audit of a plumbing campaign. This client came to me feeling like their previous agency wasn’t performing in terms of their ads and the results they were getting.
This client is based in Brisbane and is spending $600 a day. As you can see, for the month of March this year, they have 73 conversions and are averaging $120 per conversion. This client was saying they’re not happy with that. They wanted to get the cost per conversion down to $80 or less.
Now, I’ll give you my honest opinion about that. I don’t think these metrics are bad; I think they’re quite average. I don’t think they’re amazing or massively impressive, but they’re not bad either. I think for plumbers, this is $120 per phone call, not just the people that click—this is for people actually calling and trying to book a service.
When it comes to lowering cost per conversion, yes, I could change the conversion target. I could go in and say, “Okay, give me a cost per conversion of $100.” I would probably trend slowly toward that. If you’re looking to lower it, I would recommend a gradual approach. It’s definitely a delicate balance because if I go too aggressively and set a target of $60 or $80, then we could be out of the auction altogether.
The problem is that our ads might not run because someone else is simply willing to pay more. If I say, “Let’s pay $80 for cost per conversion,” our ads might only run 20% or even 10% of the time. That’s the thing about Google Ads that many people struggle to understand. They think it’s just about an agency clicking a few buttons, setting targets, and letting it go, but it’s really not that simple.
It comes down to who you’re bidding against and what they’re willing to pay. I can promise you that there are competitors willing to pay $200 or even $250 per conversion. Of course, everyone wants to get that lower, but some businesses can afford higher bids, especially for high-ticket services like blockages.
So, should you lower your cost per conversion to $89? You can try it, but you might see a drop in calls. If maximizing profit is your goal, then testing it out could be worth it. However, if you rely heavily on these calls to get work, I would tread carefully. The lowest I’d be comfortable lowering this would be maybe $10 per conversion. Small changes, tracking results, and seeing if we actually get more calls without dropping out of the auction altogether is key.
The other thing about this client is that they are solely relying on Google Ads. They have no commercial work, no builder work, and no real estate agent partnerships—no sources of ongoing work. They are also expensive. If you’re pricing your services like Mr. Emergency and Metro Plumbing, you’ll have to constantly chase new customers.
If you want to be more affordable, you’ll get more repeat work. There’s no guarantee, but I can prove from clients I work with that those who charge reasonably tend to get repeat customers. If you’re charging $750 to unblock a toilet, you will constantly be chasing new customers and struggling to get repeat business.
In this environment, yes, people will always need plumbers. You’re an essential service. But it’s a matter of chasing new customers versus building a repeat customer base.
The biggest thing I pointed out to this client was the lack of a Google My Business (GMB) listing. When I asked why, they said, “If we had one, we’d get nothing but bad reviews.” That was a huge red flag. I asked, “Why would you get bad reviews?” and they said, “Because we charge pretty high rates, and we think people will complain.”
There are two ways to handle this:
If you don’t have a GMB listing or if your listing has bad reviews, it will massively impact your business. I work with plumbers who understand the value of repeat work. They price themselves affordably and now have over 155-star reviews. When you Google their services, they show up at the top with excellent reviews.
People want a reliable, affordable plumber. Not everyone wants to pay top dollar for services. If you don’t have a GMB listing, you will have to spend a lot more on Google Ads year after year. Right now, the cost per conversion is $120, but in six months, it could be $130 or $140. In a year, it could be $150. If you’re spending $10,000 a month on ads, that could become $15,000 next year.
If you’re okay with rising ad costs and not having a strong online presence, that’s a choice. But this client also has no social media presence, which is another issue.
If you want to reduce ad costs, you need to have six marketing pillars as a trade business:
If you don’t build these pillars, you’ll either have to pay someone to do it for you or accept that your Google Ads costs will keep rising every year.
Google Ads works. The results are there. When this client said they weren’t happy, my first thought was, “Actually, these results are fine.” If you want to lower the cost of acquiring new customers, you need additional marketing efforts, not just ads.
Hopefully, that makes sense. I always try to be straight up and tell it like it is. If you have any questions, feel free to reach out. Google Ads works, but I’d recommend a starting budget of at least $100 a day. If you spend less, you’ll get fewer calls. I’ll link another video showing more details.
Alpha Omega Digital is a marketing agency based in Melbourne, Australia but also services clients from Sydney, Brisbane, Newcastle, Perth, Adelaide, Darwin and Hobart. Have a project in mind? Contact me here.
Alpha Omega Digital is a marketing agency based in Melbourne, Australia but also services clients from Sydney, Brisbane, Newcastle, Perth, Adelaide, Darwin and Hobart. Have a project in mind? Contact me here.
