Google Ads Benchmarks by Industry

Author's avatar Marketing UPDATED Oct 3, 2023 PUBLISHED Jun 21, 2023 13 minutes read

Table of contents

    Peter Caputa

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    We know; competing in the digital marketing arena can feel overwhelming and daunting. The sheer volume of data, diverse performance metrics, and the constantly changing nature of Google Ads make it difficult to gauge where your business stands. 

    Is your cost-per-click too high? Or perhaps your click-through rates aren’t matching up to your expectations? And where does your performance stand in relation to others in your industry?

    This is why we’ve taken a deep dive into our Google Ads industry benchmarks and came up with valuable insights across 15 distinct industries. We’ve synthesized the numbers into a comprehensive guide that sheds light on clicks, impressions, CPC, CTR, conversion rate, and cost in Google Ads, helping you better understand your place among your peers.

    Understanding how your business performs can help you optimize your own campaigns, make better decisions and align your expectations with industry standards. If you want to delve even deeper, you can join Databox Benchmark Groups for free and get access to additional metrics and insights.

    google ads benchmarks by industry, May 2023

    So let’s dig into the detailed breakdown of Google Ads benchmarks by industry.

    Clicks

    Across all industries, the median value of Google Ads clicks for May 2023 was 1.39K.

    google ads clicks by industry

    Let’s take a closer look at clicks across different industries:

    IndustryClicks
    Apparel & Footwear9.7K
    Automotive4.21K
    Construction377
    Consulting & Professional Services875
    eCommerce & Marketplaces6.88K
    Education1.39K
    Food4.06K
    Health Care896
    Health & Wellness2.74K
    Information Technology & Services1.62K
    Industrials & Manufacturing1.16K
    Real Estate1.92K
    SaaS1.5K
    Technology1.69K
    Travel & Leisure2.57K

    The number of clicks varies significantly across industries. Apparel & Footwear, along with eCommerce & Marketplaces, seem to be the most clickable industries, exceeding the median by a significant margin, possibly due to a more engaging online presence or a larger potential customer base. On the opposite end, Construction and Health Care are at the lower end of the spectrum. This could be due to the nature of these industries — customers tend to engage less frequently but with more intent, compared to more transactional sectors like retail.

    PRO TIP: A good strategy to increase the number of clicks starts with understanding your market. Begin by researching your organization and its competitors in-depth before choosing any keywords. As you gather this data, observe trends and adjust your bidding strategies accordingly. Finally, ensure you anticipate and account for future market growth and shifts. A well-tuned, responsive strategy is key to maintaining high click rates over time.

    Impressions

    Across all industries, the median value of Google Ads impressions for May 2023 was 39.76K.

    google ads impressions by industry

    Let’s take a closer look at impressions across different industries:

    IndustryImpressions
    Apparel & Footwear707.58K
    Automotive58.48K
    Construction6.76K
    Consulting & Professional Services26.8K
    eCommerce & Marketplaces148.26K
    Education27.91K
    Food126.71K
    Health Care22.33K
    Health & Wellness49.04K
    Information Technology & Services56.87K
    Industrials & Manufacturing51.33K
    Real Estate34.83K
    SaaS44.34K
    Technology57.27K
    Travel & Leisure61.33K

    Impressions greatly vary, with Apparel & Footwear sitting comfortably at the top, exceeding the median almost 20 times. The eCommerce & Marketplaces and Food industries follow at a distant second and third. One possible reason for this dominance is a higher investment in online advertising or a larger potential customer base, benefiting from a high volume of products and frequent customer interactions. On the other end of the spectrum, the Construction industry has a five times lower number of impressions than the median, reflecting a more niche audience.

    PRO TIP: Refining audience segmentation is a good way to increase Google Ads impressions. You can leverage demographic targeting along with interest-based categories since Google Ads allows you to target ads based on age, gender, parental status, and household income. Combine these with In-Market and Affinity audience categories to tailor your ads even more precisely to your ideal customer.

    CPC

    Across all industries, the median value of Google Ads CPC for May 2023 was $1.27.

    google ads CPC by industry

    Let’s take a closer look at CPC across different industries:

    IndustryCPC
    Apparel & Footwear$0.54
    Automotive$0.79
    Construction$2.16
    Consulting & Professional Services$1.76
    eCommerce & Marketplaces$0.38
    Education$2.91
    Food$0.57
    Health Care$3.08
    Health & Wellness$1.42
    Information Technology & Services$1.30
    Industrials & Manufacturing$1.32
    Real Estate$0.70
    SaaS$1.40
    Technology$1.30
    Travel & Leisure$0.73

    Health Care and Education industries exhibit the highest CPC, possibly reflecting the high value and competition for relevant keywords in these sectors. In contrast, eCommerce & Marketplaces and Apparel & Footwear show the lowest, potentially indicating better ad optimization in a competitive marketplace and a high volume of cheaper keywords relating to specific products.

    PRO TIP: While experimenting with keywords is usually the go-to way to improve Google Ads CPC, you can look beyond them and leverage Google’s geotargeting to focus on areas that yield higher click-through rates, customize your bids based on device performance, and establish a strategic ad schedule that aligns with peak conversion times. By incorporating these adjustments, you’re effectively streamlining your ad spending and boosting ROI, all while ensuring that your overall campaign performance remains strong.

    CTR

    Across all industries, the median value of Google Ads CTR for May 2023 was 3.94%.

    google ads CTR by industry

    Let’s take a closer look at CTR across different industries:

    IndustryCTR
    Apparel & Footwear1.69%
    Automotive5.77%
    Construction5.72%
    Consulting & Professional Services3.41%
    eCommerce & Marketplaces1.55%
    Education6.91%
    Food2.19%
    Health Care6.63%
    Health & WellnessMISSING
    Information Technology & Services3.59%
    Industrials & Manufacturing4.04%
    Real Estate7.23%
    SaaS3.68%
    Technology3.76%
    Travel & Leisure8.87%

    The Travel & Leisure, Real Estate, Education, and Health Care industries are leading in terms of CTR, possibly due to higher ad relevance or better optimization. Apparel & Footwear and eCommerce & Marketplaces have comparatively low CTRs, reflecting the competitive nature of these sectors.

    PRO TIP: You can improve your CTR by making good use of ad extensions, which incorporate more important details about your business directly into your Google Ads. Choose extensions that align with your business type and campaign objectives — for instance, location extensions for local businesses — to help your audience make quicker, more informed decisions. Setting up diverse ad extensions and adding descriptions to site link extensions will maximize your presence on Google.

    Conversion Rate

    Across all industries, the median value of Google Ads conversion rate for May 2023 was 3.42%.

    google ads conversion rate by industry

    Let’s take a closer look at conversion rates across different industries:

    IndustryConversion Rate
    Apparel & FootwearMISSING
    Automotive1.21%
    Construction6.15%
    Consulting & Professional Services3.7%
    eCommerce & MarketplacesMISSING
    Education5.15%
    Food3.34%
    Health Care5.51%
    Health & Wellness2.13%
    Information Technology & Services2.57%
    Industrials & Manufacturing2.76%
    Real Estate4.76%
    SaaS2.96%
    Technology3.49%
    Travel & LeisureMISSING

    Interestingly, the Construction industry exhibits the highest conversion rate, suggesting that once users click on their ads, they’re more likely to follow through. The Automotive and Health & Wellness industries may need to improve their ad relevancy or landing pages due to lower conversion rates.

    PRO TIP: A good way to boost your conversion rate is to do split testing. Test various ad variations, including design, copy, CTA positioning, and more, to identify what truly resonates with your audience. Continuous testing and incremental changes to your campaigns, rather than seeking a single dramatic shift, can gradually increase performance and result in a stronger return on investment.

    Cost

    Across all industries, the median value of Google Ads cost for May 2023 was $2,266.7.

    google ads cost by industry

    Let’s take a closer look at costs across different industries:

    IndustryCost
    Apparel & Footwear$4,173.91
    Automotive$3,893.25
    Construction$914.81
    Consulting & Professional Services$1,926.76
    eCommerce & Marketplaces$5,530.63
    Education$3,670.88
    Food$4,173.91
    Health Care$2,108.37
    Health & Wellness$2,180.27
    Information Technology & Services$2,248.64
    Industrials & Manufacturing$2,032.47
    Real Estate$1,448.21
    SaaS$2,427.91
    Technology$2,464.29
    Travel & Leisure$1,803.39

    The eCommerce & Marketplaces industry has the highest cost, followed closely by Apparel & Footwear, both well over the median. This aligns with the high traffic and competitiveness of the online retail sector, which necessitates a higher ad volume. Construction, conversely, has the lowest cost, likely reflecting a more targeted approach with a narrower audience.

    PRO TIP: Deeper customization and granularity can lead to better-optimized costs in Google Ads and increased effectiveness. If you tailor bidding strategies to specific campaigns and types of content, you can maximize budget utilization and have a more cost-effective advertising strategy.

    Google Ads Benchmark Groups for All Industries

    The data presented in this article is sourced from Databox Benchmark Groups, which are organized by industry. These groups allow companies to anonymously share their performance data, helping everyone gain insights and improve their strategies to drive more traffic to their websites.

    To make this data even more valuable, we encourage you to join the relevant Benchmark Group for your industry or the group for all industries and contribute your own data. The more contributors we have, the more valuable the data becomes for everyone.

    Below is a list of Google Ads Industry Benchmark Groups we used to create this research report. Simply click on the link for your industry to review the group and join it.

    Be sure to explore Google Analytics benchmark reports as well.

    Elevate Your Google Ads Strategy with Databox Benchmark Groups

    Having a finger on the pulse of data can make the difference between an average ad campaign and an outstanding one. But this is just the beginning. The online landscape is constantly changing, making it vital to stay updated and keep evolving.

    That’s where joining a Benchmark Groups can make a difference. It’s not just about having access to a trove of insightful data; it’s about joining a dynamic community that thrives on the sharing of information, making everyone’s experience better.

    They can be your ultimate tool to answer those pressing questions: “How does our marketing fare against competitors?” “Are we maximizing our conversions?” “Do the costs justify the expense?” “Is our profit margin at par with the industry average?”

    If you join, you’ll get precise, relevant, and free insights into Google Ads benchmarks for your industry. It’s a platform where you can anonymously compare your metrics with groups of similar companies. No need to wonder how your CPC fares or whether your landing page conversion rate is up to scratch. The answers are just a few clicks away.

    And there’s more:

    • Instant insights: As soon as you join, you get up-to-the-minute data on how your company measures up against similar ones across your KPIs. It’s like having a 360° mirror reflecting every aspect of your business—from sales and marketing to finance and more.
    • Inform your strategy: Know where you shine and where you could do with some polish. Use this data to craft effective business strategies, allocate resources optimally, and spot growth opportunities before they become evident to your competitors.
    • Bolster credibility with clients: Show your clients tangible evidence of how they’re outperforming their competitors. And for your prospects, illustrate the potential of where they could be, backed by compelling visuals and data.
    • Enhance planning: Validate your gut feelings about performance metrics and glean insights for strategic planning. Benchmark data is not just good to have — it’s a critical part of your decision-making toolkit.

    The cherry on top? All Benchmark Groups users get free access to a Databox plan, even if you’re already a Databox customer.

    Are you ready to shift from the uncertainty of “What if” to the confidence of “Here’s how we compare?” Join our Databox Benchmark Groups today and take your marketing campaigns to the next level.

    Author's avatar
    Article by
    Nevena Rudan

    Marketing Research Analyst at Databox. Being an experienced Strategic and Creative Planner, with more than 15 years of practice, Nevena is passionately dedicated to untying the knots and entanglements of marketing, sales, and human behavior in order to deliver understandable, useful, and actionable insights for businesses.

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