How Much Should a Small Business Spend on Google Ads in 2026?

Google Ads spend for small businesses varies enormously depending on industry, competition, and goals — but as a rough starting point, most small ecommerce stores need at least a few hundred pounds a month in ad spend before there’s enough data to properly optimise a campaign.

Why a minimum budget matters

Google Ads is an auction system that learns from data. Below a certain spend threshold, campaigns simply don’t generate enough clicks or conversions for Google’s algorithms — or you — to tell what’s actually working.

What affects your ideal budget

  • Your average order value and profit margin
  • How competitive your industry is on cost-per-click
  • Whether you’re running Search, Shopping, or Performance Max campaigns

The honest answer is: it depends on your numbers. That’s exactly what a free ad account audit is for — book yours here.