Is Hiring a Google Ad Agency Still Worth It?

Is Hiring a Google Ad Agency Still Worth It?

Yes, hiring a Google Ads agency can still be worth it, but it depends on your business size, budget, and goals. Here’s a quick breakdown:

  • Expertise: Agencies bring specialised skills, access to advanced tools, and knowledge of Google’s latest updates. They often deliver strong results, like improved conversion rates and reduced costs per acquisition.
  • Cost: Agencies typically charge £500–£4,000 per month, while hiring an in-house PPC manager costs around £42,500 annually. For smaller budgets, agencies may be more economical.
  • Control: In-house teams offer more direct control and flexibility, but agencies excel at scaling campaigns and managing complex strategies.
  • Performance: Agencies often reduce wasted ad spend and improve ROI, especially in competitive industries.

Who Should Choose What?

  • Small businesses: Agencies can be a cost-effective option to access expertise without hiring full-time staff.
  • Mid-sized businesses: Agencies help overcome stagnation or manage rapid growth.
  • Larger enterprises: A hybrid model (in-house + agency support) works well for complex campaigns.

Quick Tip: For businesses with simpler needs or lower ad spends, managing campaigns in-house might make sense. But for high-cost sectors or advanced strategies, agencies often deliver better results.

Should you manage your own Google Ads or hire an agency?

1. Hiring a Google Ad Agency

Working with a specialised Google Ads agency can greatly improve your PPC campaigns. Let’s break down how these agencies add value and where they might not be the best fit.

Expertise and Resources

Google Ads agencies bring a level of know-how that’s hard to match internally. With billions of searches happening every day, navigating this complex system requires a particular skill set.

These agencies handle everything from campaign setup and PPC management to optimisation and A/B testing. They stay on top of platform updates and best practices, offering expertise in areas like keyword targeting, product feed optimisation, and server-side tracking. Many are also using AI to create cutting-edge content and ad copy.

Through the Google Partners programme, agencies gain access to exclusive tools, training, and support. Justin Hayashi, Co-Founder and CEO of New Engen, highlights its value:

"One thing I really value is that the Google Partners program brings our agency helpful resources, such as advanced product trainings, insights reports, and product certifications that align with our vision for our staff and customers… Candidly, Google is one of the best partnerships we have."

The impact of this expertise is clear. For example, Plaza Japan, an online hobby store, saw a 342% increase in conversion rate, nearly 25% revenue growth, and a 78% reduction in cost per acquisition after teaming up with a Google Ads agency. Similarly, NHV Natural Pet Products achieved over 64% revenue growth, improved return on ad spend by 25%, and cut cost-per-click by 32%.

This level of expertise doesn’t just drive results – it also ensures your budget is spent wisely.

Cost Efficiency

Agencies are skilled at cutting down on wasted ad spend through daily campaign adjustments. They fine-tune bids, targeting, and creative elements to maximise ROI. Their process typically includes audits, strategy development, performance tracking, and detailed reporting, all aimed at reducing costs.

For context, 74% of businesses spend between £0.01 and £1 per click, while 85% pay £0.51 to £7 per 1,000 impressions. With 59% of businesses allocating £100 to £10,000 monthly on Google Ads, having professional management to optimise these budgets is essential.

While agencies charge £100 to £5,000 per month for PPC management, the returns often justify the expense. For instance, Spark Aligners experienced a 325% increase in leads, a 64% reduction in cost per acquisition, and a 118% boost in conversion rates through professional Google Ads management.

Control and Flexibility

Agencies operate with structured processes that might not allow for instant changes to campaigns. While this ensures consistency and avoids costly mistakes, it may not work for businesses that need frequent, immediate adjustments or have highly specific needs.

That said, experienced agencies know how to balance structure with flexibility. Virginia Dendi, CEO and Founder of Vivi Marketing, explains:

"Being a Google Partner gives us the power to be more proactive with our clients, who value it because they know we’re one step ahead of the competition."

For many businesses, the trade-off leans toward professional oversight rather than hands-on control. Agencies take care of day-to-day management and strategic direction, so you can focus on other priorities.

Transparency and Reporting

Transparency is a top priority for modern agencies, and they provide detailed reporting on campaign performance. Google’s Ads Transparency Centre, initially designed for political ads, now offers a searchable database of verified advertisers. This tool allows businesses to see competitor campaigns and ensures compliance with Google’s policies.

Agencies go beyond basic metrics, offering insights into performance across Google Search, Display Network, Gmail, and YouTube over 30-day periods. This level of detail helps businesses understand not only what’s happening but also why it’s happening and how to improve.

Verification processes ensure that agencies meet Google’s standards, operate legitimately, and deliver measurable results. This builds trust and keeps campaigns aligned with platform requirements.

When choosing an agency, look at their experience, case studies, and past results in your industry. Ask about their reporting practices, experience with various campaign types, and how they handle adjustments. The right agency can make a big difference – just ask 1Heart Caregiver Services, which saw 134% more leads, a 42% drop in cost per acquisition, and a 64% better conversion rate after partnering with a Google Ads agency.

2. Managing Google Ads In-House

Handling Google Ads campaigns internally requires a significant investment of both time and money. However, it gives you full control over your advertising efforts, allowing you to align campaigns closely with your business goals.

Expertise and Resources

Building an in-house team for Google Ads is no small task. It demands skills in areas like strategy development, bid adjustments, ad creation, performance analysis, and technical setup – all of which can be quite complex given the platform’s broad capabilities.

The financial side of things is equally demanding. For example, hiring a skilled Google Ads specialist can set you back anywhere from £52,000 to £89,000 annually, and that’s just their salary. Add in the costs of training and employee benefits, and the total investment climbs even higher.

On the plus side, an in-house team brings a deep understanding of your brand, company culture, and values. This can lead to campaigns that feel more genuine and aligned with your business. However, there’s a risk of becoming too inwardly focused, which might limit creativity and result in repetitive ads that fail to engage audiences over time.

These challenges in building expertise and maintaining creativity often translate into higher overall costs.

Cost Efficiency

Managing Google Ads internally isn’t just about salaries – it also involves training expenses and operational costs. As Will Williamson points out:

"If you’re running Google Ads yourself, that’s time out of your day. If you’re outsourcing it, there’s a cost involved in paying a freelancer or agency."

For businesses with smaller ad budgets – say, under £2,200 per month – keeping management in-house might save money. Agencies typically charge a minimum of around £750 per month for their services, which can eat into smaller budgets. That said, poor campaign management can lead to wasted ad spend, especially in industries like legal and finance, where the average cost per click is £7.27 and £5.28, respectively.

To truly measure your return on investment (ROI), it’s crucial to track meaningful actions like purchases, calls, or completed contact forms.

Control and Flexibility

One of the biggest advantages of an in-house team is the level of control it provides. You can oversee every aspect of your advertising strategy and make adjustments quickly based on company priorities. Having immediate access to internal data also streamlines decision-making and campaign tweaks.

However, scaling campaigns can be tricky for in-house teams. Markets shift, seasons change, and businesses grow at different paces. Scaling up might require hiring more staff, which takes time and resources, while scaling down during quieter periods can be equally challenging.

Transparency and Reporting

Transparency is another major benefit of managing Google Ads in-house. You get full visibility into how campaigns are performing and the decisions driving those results. That said, achieving this level of transparency requires investing in tracking systems and analytical tools. Regular tasks like reviewing search terms, adding negative keywords, and excluding unnecessary brand keywords are essential to keep campaigns efficient.

With the cost per click for Google Search campaigns rising by over 50% in some markets in 2024, effective management is more important than ever. Setting clear, measurable goals is a must. Without robust tracking and goal-setting, the transparency advantage can quickly lose its edge.

In-house management tends to work best for businesses with straightforward marketing needs and simpler campaigns. If your team isn’t ready to scale significantly or your ad spend is on the lower side, managing Google Ads internally can be a practical, budget-friendly choice.

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Pros and Cons Comparison

Deciding between hiring a Google Ad agency or managing campaigns in-house depends heavily on your priorities, budget, and available resources. Below, we break down the key factors to help guide your decision.

Cost considerations show a stark contrast. Agencies typically charge between £500 and £4,000 per month. On the other hand, employing an experienced in-house PPC manager in the UK comes with an average annual salary of £42,500. This means working with an agency could reduce management costs by over 60% compared to hiring a full-time employee.

Expertise is another major differentiator. Agencies bring certified PPC specialists armed with advanced tools, while in-house teams often rely on broader marketing knowledge and a deeper understanding of the brand.

When it comes to control and flexibility, in-house management offers direct oversight and the ability to make immediate adjustments. Agencies, however, excel at scalability, adapting campaigns quickly to match seasonal shifts or market trends. In contrast, in-house teams may face challenges reallocating resources or meeting sudden demands.

Aspect Google Ad Agency In-House Management
Monthly Costs £500 – £4,000 (15–30% of ad spend) £42,500 annual salary
Expertise Level Certified specialists with extensive experience General marketing knowledge with brand familiarity
Tools Access Advanced, premium tools included Limited access; higher upfront costs
Scalability Highly scalable; quick adjustments Limited; may require hiring or resource shifts
Campaign Focus Entirely focused on PPC Divided attention across tasks
Control Less direct oversight Full control over decisions
Setup Time Immediate implementation Recruitment and training needed

Beyond costs and expertise, performance and risk are crucial considerations. Agencies often deliver better outcomes, with lower cost-per-click and conversion rates that can double those of in-house efforts. For example, accounts using advanced techniques like refined match types and negative keywords – areas where agencies excel – saw a 38% reduction in cost per lead. These advantages can make a significant difference in competitive industries.

Managing risk is another critical factor in PPC campaigns. Poor management can lead to overspending, especially in high-cost sectors such as legal (£7.27 per click) and finance (£5.28 per click). Dr Ian Peters from the Chartered Institute of Internal Auditors highlights this point:

"Outsourcing the service does not outsource the risk. Organisations may think they have thrown the risk ‘over the fence’, but this is absolutely not the case."

Lastly, budget size often dictates the best approach. Smaller budgets may make in-house management more practical, while larger ad spends justify the investment in agency expertise. Notably, 69% of UK IT companies plan to maintain or increase their outsourcing activity, reflecting growing trust in external support. With global outsourcing spending projected to hit £887 billion by 2025, the trend towards specialised services continues to gain momentum across industries.

Conclusion

Choosing between hiring a Google Ads agency or managing campaigns in-house depends on your business’s unique circumstances, including its size, resources, and marketing goals.

For startups and smaller businesses, outsourcing can be a practical solution. It provides access to PPC expertise without the expense of hiring a full-time team. This is particularly relevant when considering the outsourcing market’s projected growth from £658 billion in 2025 to £855 billion by 2030.

Mid-sized businesses often turn to agencies when they need fresh perspectives or help overcoming performance stagnation. Agencies can also be invaluable if you’re aiming for rapid growth or require specialised industry knowledge.

Larger enterprises frequently adopt a hybrid model. They may keep strategic decision-making in-house while outsourcing specific tasks or consulting with agencies for specialised expertise.

The evolution from small businesses to large enterprises highlights the need to tailor your PPC management approach to the complexity of your operations. If your campaigns are relatively straightforward and your in-house team has the necessary skills, managing them internally might be a good fit. However, more intricate campaigns – such as those involving multiple channels, entering new markets, or operating in high-cost sectors – are better handled with agency support.

Finally, revisit your cost analysis. Factor in everything – salaries, agency fees, tools, training, and even opportunity costs. Hybrid models, blending in-house management with external expertise, can often strike the right balance.

FAQs

Should I hire a Google Ads agency or build an in-house team?

Deciding whether to hire a Google Ads agency or build an in-house team boils down to your business priorities, budget, and available expertise.

In-house teams give you more control and ensure better alignment with your company’s operations and goals. However, they come with higher costs, including salaries, training, and the necessary tools. This route is often a good fit for businesses handling complex campaigns and equipped with the resources to manage them effectively.

On the flip side, agencies bring a team of specialists who stay up-to-date with the latest strategies and platform updates. They can often deliver efficient results while saving you the time and effort of managing campaigns directly. If you need flexibility, expert guidance, and support without the long-term expenses of maintaining a dedicated team, an agency might be the way to go.

Your decision should reflect your campaign goals, the complexity of your advertising needs, and whether your team has the capacity to keep up with Google Ads’ constant changes and best practices.

What should I consider to determine if hiring a Google Ads agency is cost-effective?

When thinking about whether hiring a Google Ads agency is the right move, take a close look at a few key factors: the complexity of your campaigns, the level of competition in your industry, and your advertising budget. Agencies bring specialised skills in areas like advanced targeting, conversion tracking, and performance analysis. These can make a big difference in getting the most out of your ad spend.

You’ll also want to evaluate if the agency’s strategies align with your business objectives. Outsourcing can save you time and resources, but it’s important to compare this against the cost of professional management. The goal is to ensure it fits within your budget while delivering value for the money you’re investing.

How do Google Ads agencies ensure transparency and accountability in their campaign management?

Google Ads agencies prioritise transparency and accountability by following strict advertising guidelines and offering clear, detailed reporting to their clients. These guidelines mandate the disclosure of ad funding sources and ensure campaigns are fully traceable, helping to build trust between advertisers and their audiences.

To keep clients informed, agencies rely on advanced tools to monitor campaign performance. They provide regular updates and in-depth reports, covering key metrics like conversions and budget allocation. This ensures every campaign stays on track with the agreed goals. By maintaining open communication and delivering tangible results, agencies not only instil confidence but also showcase their value to the businesses they work with.

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