Management fees
Keep them out of the budget field or the funnel maths is wrong; add them to the result afterwards when you judge the whole programme.
Free tool
Ad budget calculator
see what a budget buys before you commit it
A budget is not a plan until you know what it turns into. Set your cost per click and your two conversion rates, and the funnel shows you the clicks, the enquiries, the customers and whether the whole thing makes money.
Calculator
See what a budget turns into before you spend it
Change any rate and the whole funnel moves. The conversion rates are where the answer really lives.
The method
How this ad budget calculator works
The funnel is multiplied through, step by step.
Clicks = budget / cost per click.
Enquiries = clicks x landing page conversion rate
Cost per enquiry is then budget / enquiries.
Customers = enquiries x close rate
CAC is budget / customers.
Revenue = customers x average order value, and gross profit is that revenue x margin.
The verdict compares gross profit with the budget: anything above zero is money the campaign made after paying for itself.
Worth knowing
What this does not account for
Learning period
A new campaign is worse than its steady-state numbers for the first few weeks, and the cost per click usually rises as you scale beyond the cheapest audience.
Creative and landing page
Two campaigns with the same budget and the same cost per click can differ threefold in conversion rate. That variable dominates every other one here.
Repeat business
Only the first purchase is counted, so a subscription or a repeat-purchase business will look worse here than it is.
FAQ
Questions about this calculator
1Where do I find my cost per click?
Your ad platform reports it directly. If you have never run ads, the keyword planner in Google Ads will estimate it for your terms and location. Broad consumer terms can be well under a dollar; competitive B2B and legal terms run into double figures.
2What does this ad budget calculator assume about my landing page?
Only that the conversion rate you enter is the one it achieves. That single figure moves the result more than the budget does, which is why conversion rate optimisation is usually the cheaper lever - doubling the rate does the same work as doubling the spend, and costs less.
3What conversion rate should I assume?
If you have data, use it. If you do not, two to five per cent is a common range for a focused landing page, and anything above eight is unusual. Assume the low end when you are deciding whether to spend money.
4The result says I lose money. Should I not advertise?
It means the current combination does not work, which is a different thing. Try the same budget with a higher conversion rate or a higher order value and you will see which lever actually changes the outcome. Usually it is the landing page, not the budget.
5Does it work for Meta and LinkedIn too?
Yes. The funnel is platform-agnostic - only the cost per click and the conversion rate change. Enter the figures that platform reports and the rest follows.
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