How Much Should a Contractor Spend on Marketing?
Short answer: Don’t start with a percentage. Start with how many more jobs you want and what a booked job is worth to you, then work backward. A common rule of thumb for small businesses is a budget in the mid single digits of revenue, more if you’re growing fast, but the number that matters is what it costs you to book a job, and whether that job is worth more than it cost.
Work backward from jobs, not a percentage
- Pick the goal. How many more booked jobs a month do you want?
- Know your average job value. What’s a typical ticket? What’s a customer worth over a year, if they come back?
- Estimate cost per booked job. If you don’t know yet, start small for 60–90 days and measure.
- Multiply. More jobs × cost per job = your monthly marketing budget.
If a job is worth $1,200 in gross profit and it costs $150 in marketing to book one, that’s an easy decision. If you don’t know either number, the first dollar you spend should go toward finding out.
Where the first dollars should go
Spend in this order. Each layer makes the next one cheaper.
- Your Google Business Profile and reviews. Low cost, high return. This is what decides who shows up in the map results.
- A website that converts. Fast on phones, a page for each service, tap-to-call everywhere. Ads sent to a weak site are money burned.
- Paid ads. Google and Meta ads bring calls quickly, and you can turn them up or down by season.
- Content and social. Builds trust and long-term search traffic, once the basics are working.
Two numbers to get from any agency
- The management fee. What you pay the agency each month.
- The ad spend. What you pay Google or Meta directly. This is almost always separate, and it’s where most of the money in an ads budget goes.
If an agency won’t break these out, keep looking.
What it costs with Roughneck
We publish our prices. A website starts at a $299 setup fee and $59/month. Google Business Profile optimization and review management is $249/month. Ad management is $699/month for Google or $499/month for Meta (each with a $299 setup fee), or $1,000/month for both with a $499 setup fee, plus your ad spend. Website plans have a 3-month minimum, then go month-to-month.
See every plan on our pricing page, or start with the foundation: a website built for contractors.
Frequently asked questions
What percentage of revenue should a contractor spend on marketing?
A common rule of thumb for small businesses is somewhere in the mid single digits of revenue, with more when you’re trying to grow fast or enter a new market. Treat it as a starting point and adjust once you know your cost per booked job.
Is ad spend included in an agency's management fee?
Usually not. Most agencies charge a management fee, and the money paid to Google or Meta for the ads is separate. Ask any agency to spell out both numbers before you sign.
Should I cut marketing in the slow season?
Cut ad spend if demand truly drops, but keep the foundation running: reviews, your Google Business Profile and your website. That’s what makes the busy season start faster.