Google Ads Metrics and Benchmarks for 10 Key Industries

Google Ads is a potent search engine marketing (SEM) method — and it’s also a daunting one. For every click, you’re typically paying at least a dollar. It can add up. But is it working?

That’s where average Google Ads metrics come into play. These benchmarks vary by industry and clearly show whether your SEM is on track or needs recalibrating.

“Businesses need to regularly review campaigns against common benchmarks,” says Michele Potts, sales director for Zoe Marketing & Communications, who has 20 years of SEM experience.

“It helps you find opportunities to improve performance and optimize your spend.”

In this blog, we’ve pinpointed 10 common industries and highlighted key metrics for each one, thanks to the latest from industry data leaders Databox and Store Growers:

• Cost per click (CPC) benchmarks
• Conversion rate (CR) benchmarks
• Cost per action (CPA) benchmarks
• Click-through rate (CTR) benchmarks
• Quality score (QS) guidelines

Based on your industry, you’ll get a clean snapshot of what to expect when your Google Ads results start rolling in. From there, you’ll feel empowered to make informed adjustments.

Cost-per-click (CPC) benchmarks

CPC is what you’ll pay for each click on your ad, which is why this SEM tactic is also known as pay-per-click or PPC. It’s crucial for figuring out your budget and cost-effectiveness.

Across the board, the average Google Ads cost-per-click for all industries is $1.27, according to Databox’s latest report.

A lower CPC stretches your money to get more clicks and potential conversions, which boosts your return on investment (ROI).

To improve — i.e., lower — your CPC, you may need to refine your target audience, improve your ad quality and choose the right bidding strategies.

Here are the average costs per click you can expect to pay for your Google Ads:

1. Automotive: $0.79

2. Consumer Services: about $2-$6+

3. Education: $2.91

4. Finance & Insurance: $3.44

5. Health & Medical: $3.08

6. Legal: $6.75

7. Real Estate: $0.70

8. Retail: around $0.54-$1.09

9. Technology: $3.80

10. Travel & Hospitality: $1.53

Conversion rate (CR) benchmarks

CR measures how many clicks on your ads result in a desired “conversion” or result, such as a sale or a sign-up. This Google Ads metric is crucial for determining how successful your campaign is in driving results.

Google Ads conversion rates average 3.75%, Store Growers notes — but these rates “vary wildly” by industry.

Here, a higher number is better. It shows a bigger portion of your audience is converting, which means your ads are relevant and targeted to the right people.

Again, for the same 10 industries, here are the average CRs you’ll likely see on Google Ads:

• Automotive: 6.03%

• Consumer Services: 6.64%

• Education: 3.39%

• Finance & Insurance: 5.10%

• Health & Medical: 3.36%

• Legal: 6.98%

• Real Estate: 2.47%

• Retail: about 2.81%

• Technology: 2.92%

• Travel & Hospitality: 3.55%

Cost-per-action (CPA) benchmarks

CPA is what you pay for each person who completes the action you want them to take — again, such as a purchase or registration. “Of course, lower CPAs are generally better,” Potts says, “and indicate a higher return on investment.”

All industries considered, the cost-per-action evens out to $48.96, Store Growers says. It may seem like a lot, but keep in mind how much your eventual customer will spend with you. The payoff is commonly 5:1 — so, for every $1 you invest in marketing, you’ll make $5.

These are the average CPAs to anticipate when using Google Ads:

• Automotive: $33.52

• Consumer Services: $90.70

• Education: $72.70

• Finance & Insurance: $81.93

• Health & Medical: $78.09

• Legal: $86.02

• Real Estate: $116.61

• Retail: about $45.27

• Technology: $133.52

• Travel & Hospitality: $44.73

Click-through rate (CTR) benchmarks

CTR is a bit of math: It’s the number of people who click your ad divided by the number who view it (i.e., impressions). It’s an essential measurement of how well your ads grab attention.

A good click-through rate across all industries is 3.94%, reports Databox.

The higher your CTR, the better the odds your ad content is strong and your targeting is effective. It’s also a signal to Google that your ads are relevant and high-quality, which can boost your position in the results. Here’s what it looks like by industry:

• Automotive: 5.77%
• Consumer Services: 2.41%
• Education: 6.91%
• Finance & Insurance: 2.91%
• Health & Medical: 6.63%
• Legal: 2.93%
• Real Estate: 7.23%
• Retail: about 1.69%
• Technology: 3.76%
• Travel & Hospitality: 8.87% 

Quality score (QS) guidelines

Last but not least, the QS is a Google Ads metric that tracks the quality and relevance of your ads and the keywords you’re targeting. It ranges from 1 to 10, with 10 being the best score.

“This is one of the things people overlook,” Potts says. “It will affect your CPC and ad position. A higher quality score means you pay less per click and get better ad placements. “Things that can affect a QS include CTR, the relevance of each keyword to its ad group, and landing page experience.”

A higher score is a significant credibility boost from Google, too. Generally:

• Above average is 7-10

• Average is 5-6

• Below average is 0-4

Next steps in achieving success with Google Ads

Running Google Ads can feel overwhelming, but clear performance benchmarks can help you stay grounded. Here, we covered five metrics — cost-per-click (CPC), conversion rate (CR), cost-per-action (CPA), click-through rate (CTR), and quality score (QS) — for 10 industries.

Looking for more help with your Google Ads metrics, or even designing and running campaigns? Talk to us. Potts and the team here at Zoe can explain what will work best for your unique industry niche. And to improve your current SEM, check out some helpful examples:

• 7 SEM ad copy best practices for text ads with examples
• 3 best practices for avoiding SEM ad fatigue with examples