Google Ads
Google Ads can be one of the best ways to get customers — or one of the fastest ways to burn through money. The difference is almost always in how you set them up. Here’s what to know before you start.
How Google Ads actually work
Google Ads are pay-per-click ads that appear at the top of Google search results. When someone searches for something that matches your keywords, your ad can appear. You only pay when someone clicks it.
The appeal for small businesses is intent. Someone typing “emergency plumber Wellington” is not just browsing — they need a plumber right now. That’s a very different kind of audience to someone scrolling Facebook. For high-intent, ready-to-buy searches, Google Ads is hard to beat.
What does it cost in NZ?
Costs vary enormously depending on your industry and location. Competitive industries like insurance, legal, and finance have very high cost-per-click — sometimes $10–$30 per click. Trades in regional NZ can be much lower. A sensible starting budget for most NZ small businesses is $30–$50 per day, or around $1,000–$1,500 per month.
One thing Kiwis often miss: Google charges 15% GST on all ad spend. So a $50/day budget actually costs you $57.50. If you’re GST-registered you can claim it back, but factor it into your budgeting from day one.
The biggest mistake NZ businesses make
Most audited NZ Google Ads accounts waste 30–45% of their spend on searches that have nothing to do with the business. This happens because of broad match keywords — Google matches your ad to searches it thinks are “related”, and it often gets it very wrong.
The fix is negative keywords — a list of search terms you don’t want your ad to appear for. Setting up a solid negative keyword list before you launch saves money from day one. Review your search terms report every week in the early weeks to see what’s triggering your ads and add anything irrelevant to your negative list.
Start with Search, not everything at once
Google offers many campaign types — Search, Display, Performance Max, Shopping, YouTube, and more. For most NZ small businesses starting out, Search campaigns are the right choice. They put your ad in front of people actively searching for what you offer. It’s the cleanest, most controllable format.
Once Search is working and you understand what’s converting, you can explore other formats. Don’t try to do everything at once on a limited budget.
Set up conversion tracking before you spend a dollar
Conversion tracking tells Google when someone who clicked your ad actually did something valuable — filled in a form, called you, made a purchase. Without it, you’re flying blind. You can’t tell which keywords are working, which ads are working, or whether the whole thing is worth it.
Google’s conversion tracking setup guide walks you through it. If you use WordPress, there are plugins that make it straightforward. This is non-negotiable — don’t skip it.
Should you manage it yourself or use an agency?
At budgets under $1,500/month, agency management fees often eat too much of your ad budget to make it worthwhile. If you’re willing to put in the time to learn, managing it yourself at this scale is often the smarter move. Google’s own Skillshop courses are free and genuinely useful.
Once your monthly spend is higher — $3,000 or more — a good agency or specialist usually pays for itself. Ask for case studies, ask how they report, and make sure you retain ownership of your account if you ever leave.
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