How much does marketing cost for a contractor?
No flat percentage, no agency fluff — here's the real math. You budget backwards from one booked job, and the only number that ends up mattering is cost per booked job. Here's what each layer actually costs.
There is no magic percentage of revenue that works for everyone — you budget backwards from one booked job. In practice: the free layer (a dialed-in Google Business Profile plus real reviews) costs $0 and a few hours a month. Hands-on management from a local specialist or small agency commonly runs $500–$2,500/mo, depending on how competitive your market is. Ad spend is separate — $500–$1,500/mo is a sane one-metro test. Hey Aaron! Marketing publishes its price: $500/mo for a website, hosting, and the foundation, month-to-month.
Start with one number: what a booked job is worth
Here's the math I walk every contractor through, and it takes about ten seconds. Your average job value times your close rate tells you what a single lead is actually worth. Say your average job is $600 and you close one in three of the quotes you give — then each lead is worth about $200 in revenue before you've spent a dollar more. That number is the ceiling on what a lead can sanely cost you.
From there, only one metric matters: cost per booked job. Not clicks, not impressions, not “leads” the way a dashboard likes to count them — booked jobs, the kind you invoice. If a month of marketing costs you $500 and it turns into three booked jobs at $600 each, that's $1,800 of work for $500 and roughly a $167 cost per booked job. Those are round illustrative numbers to show the shape of it — your real call log and invoices are the only ones that count.
What each layer actually costs
“Marketing” isn't one line item. It's a stack of layers, and they're priced very differently. Here's the honest version of each:
| Layer | Typical monthly cost | The honest version |
|---|---|---|
| Free / DIY layer | $0 (your time) | Google Business Profile, reviews, and consistent listings. The biggest return in local marketing — do this first, with or without an agency. |
| Website + hosting foundation | $500/mo (Hey Aaron!) | A custom site, managed hosting, and the structure that makes you findable. You own the code, the domain, and the data from day one — no $5,000–$10,000 upfront build. |
| Agency / specialist management | ~$500 → $2,500/mo | Low end for a straightforward market, $1,500–$2,500 in competitive metros. Below about $500/mo, be skeptical anyone is doing real work. |
| Ad spend (Google / Local Services Ads) | $500–$1,500/mo | A sane one-metro test budget in most trades, and it's separate from the management fee. This is media you buy, not labor you hire. |
| Shared / bought leads | Per lead | Priced per lead and sold to several contractors at once — so you're racing to dial first. That's a structural problem, not a knock on any one vendor. |
| Directories / lead platforms with contracts | Varies, often locked in | Watch for long lock-ins before you've seen a single booked job. Judge them on booked jobs, not on the pitch. |
Put the stack together and a typical owner-operator starting out looks like this: the free layer ($0), a $500/mo foundation, and — when the foundation is proving out — a separate $500–$1,500/mo ad test in one metro. That's a real, defensible budget without a single invented benchmark. If you'd rather not rent every impression, Facebook Group Marketing puts that same money into organic local reach instead of the ad auction.
The 90-day test
Whatever you spend, judge it after about 90 days on that one number — cost per booked job. Ads give you a read in days; organic and local SEO take weeks to a few months to compound, so 90 days is long enough to be fair and short enough to protect your money.
And here's the tell: if a provider won't report back in booked jobs — only clicks, impressions, and “leads” by their own definition — that refusal is your answer about the provider. The work either shows up in jobs you invoiced or it doesn't.
Why I work month-to-month
Hey Aaron! Marketing is month-to-month, with no long contract — I re-earn your business every 30 days, and I take one client per trade per service area, so I'm never selling your competitor down the road the same thing I'm selling you. If a provider needs a twelve-month lock to keep you, it's worth asking why the work can't hold you on its own. You can see exactly what the $500/mo plan includes, or look at the full list of services you can turn on from there.
Straight Answers
What contractors ask about the cost.
How much should a contractor spend on marketing per month?+
Budget backwards from a booked job, not off a flat percentage. Most owner-operators run a free Google Business Profile and reviews layer ($0 in cash), a foundation around $500 per month, and a separate $500–$1,500 per month ad test in one metro. You scale up only when your cost per booked job holds.
Is $500 a month enough for contractor marketing?+
Yes, to start. $500 per month buys a real website, managed hosting, and the foundation that makes you findable in Google and on your Business Profile — enough to win organic and map calls in a lot of markets. In competitive metros you add ad spend on top once that foundation is proving out. $500 is the floor, not a ceiling.
How much do Google Ads cost for a plumber, HVAC company, or roofer?+
The ads themselves are a live auction, not a fixed price, so budget a test instead of chasing a per-click number. $500–$1,500 per month for one metro is a sane first test across most trades; roofing and other high-ticket trades sit at the higher end because clicks cost more there. The management fee is separate from the ad spend itself.
Should I buy shared leads or hire an agency?+
Shared leads are sold to several contractors at once, so you are racing to dial first and your close rate takes the hit. Owning your own presence — website, Google Business Profile, reviews, and ads under your own name — gives you leads that belong to you. Bought leads can fill a gap, but they are a rented pipeline, not an asset you keep.
How long before contractor marketing pays off?+
Ads can produce calls within days; organic and local SEO build over weeks to a few months. Judge the whole spend at about 90 days on one number: cost per booked job. Anything faster is usually paid media, and anything that still can't show booked jobs by then deserves a hard look.
Do I have to sign a long-term contract?+
No. Month-to-month marketing exists — Hey Aaron! Marketing is month-to-month with no long lock-in, re-earned every 30 days. If a provider needs a 12-month contract to keep you, ask what in the actual work can't hold you without it.
Want the math
for your shop?
Tell me your average job, your call volume, and your market, and I'll tell you straight what I'd spend and what I wouldn't. Check if your trade and area are still open.