High-Intent Keyword Bid Ceiling Calculator
Set disciplined bids on expensive, bottom-funnel keywords. Provide revenue per sale and your true click-to-sale rate to produce a maximum CPC that protects margin, along with breakeven pricing and the revenue each click delivers.
Validate conversion tracking accuracy and revenue attribution before adjusting bids.
Examples
- $1,250 revenue, 3.2% conversion, 20% margin, 45% lead-to-sale ⇒ Maximum CPC to hit margin target: $14.40 • Breakeven CPC (zero profit): $18.00 • Revenue generated per click: $18.00 • Effective conversion rate used: 1.44% • Margin preserved at max CPC: 20.00%
- $420 revenue, 1.6% conversion, default margin, no lead decay ⇒ Maximum CPC to hit margin target: $5.38 • Breakeven CPC (zero profit): $6.72 • Revenue generated per click: $6.72 • Effective conversion rate used: 1.60% • Margin preserved at max CPC: 20.00%
FAQ
How do I factor in ad platform fees or agency retainers?
Reduce the revenue per sale by the percentage of revenue eaten by fees before running the calculator so the output already accounts for those costs.
What if my conversion rate is click-to-lead, not sale?
Enter your click-to-lead rate in the conversion field and your lead-to-sale close rate in the optional input so the tool multiplies them for an effective conversion.
Can I set different margins for new versus returning customers?
Run separate scenarios with the appropriate revenue and margin assumptions for each customer cohort, then allocate budgets accordingly.
Additional Information
- If your CRM tracks revenue per lead, multiply that by your lead-to-sale rate before entering the figure.
- Use the breakeven CPC output when you want to maximize volume temporarily without regard to margin.
- Revisit bids when revenue per sale changes due to pricing, discounting, or lifetime value updates.