What should you look for in a Google Ads agency?
Look for five things: you own the Google Ads account, conversion tracking is set up and tested before money is spent, reports show leads or sales and cost per result, fees are written down and easy to compare, and you can leave without penalty. Anything that fails these checks is a risk to your budget.
Those five points cover the most common reasons businesses end up switching agencies. An account owned by the agency, tracking that counts page views as conversions, or a 12-month contract signed in a hurry.
Ask every agency the same questions in writing, and compare the answers side by side. A good agency will answer plainly and quickly.
Who should own the Google Ads account?
You should. The Google Ads account should be in your business's name, billed to your card, with you holding Admin access. Google's Admin level is the one that can add or remove users and unlink manager accounts. Your agency only needs Standard access, which lets them edit campaigns, through their manager account.
If the agency owns the account, you can lose years of conversion data, keyword history and audiences when you leave. Google also requires agencies to use a separate account for each advertiser they manage, so there is no good reason for your ads to sit inside the agency's own account.
Google recommends having more than one Admin user, so access is not lost if one person becomes unavailable. Keep at least one Admin login inside your own business.
Source: Google Ads Help, About access levels in your Google Ads account; Google Ads policy, Third-party partner policy
Why does conversion tracking matter when choosing an agency?
Conversion tracking records the actions that matter, such as calls, form enquiries and purchases. Google says this data shows which keywords, ads and campaigns drive valuable activity, and its Smart Bidding strategies use it to set bids. Without accurate tracking, an agency is guessing, and automated bidding optimises toward the wrong thing.
Ask exactly what each agency will count as a conversion. A genuine phone call or a submitted enquiry form is useful. A visit to the contact page is not.
Ask to see a test: submit your own form and confirm it appears in the account. If an agency wants to launch campaigns before tracking is working, walk away.
Source: Google Ads Help, About conversion tracking
How much does Google Ads management cost, flat fee or percentage of spend?
Agencies usually charge a flat monthly fee, a percentage of ad spend, or a mix. A flat fee is easier to budget and does not reward the agency for spending more. A percentage can suit large accounts. MarketingOnWeb charges from $490 a month plus GST, with ad spend paid directly to Google.
Whichever model you choose, make sure your ad spend is paid straight to Google on your card, so you can see exactly what went to clicks and what went to management. Google's third-party policy says agencies should be honest and transparent about associated costs and expected results.
Be careful with setup fees that are large compared with the monthly fee, and with 'all-inclusive' bundles where you cannot see how much actually reaches Google.
Source: Google Ads policy, Third-party partner policy
Should you sign a lock-in contract with a PPC agency?
Usually no. A good agency keeps clients with results, not contracts. Month-to-month terms, or a short notice period, are fair. Since 9 November 2023, unfair terms in standard form contracts with small businesses (fewer than 100 employees or under $10 million turnover) are illegal and can attract penalties.
Read the exit terms before you sign: notice period, cancellation fees, who keeps the account, and what happens to landing pages and tracking the agency built. Ask for those answers in writing.
If a long contract is the only option, ask for a performance review point, such as 90 days, where you can leave without a fee.
Source: Australian Treasury ministerial release, Unfair contract terms banned today, 9 November 2023
Does Google Partner status mean an agency is good?
It means the agency meets Google's minimum bar, not that it will get you results. To earn the badge, a company needs an optimisation score of at least 70%, US$10,000 in ad spend across managed accounts over 90 days, and at least half its account strategists certified. Premier Partners are roughly the top 3% in a country.
Google describes optimisation score as an estimate of how well an account is set to perform, not a record of actual results. It is mostly about applying Google's recommendations, some of which raise spend.
Partner status is a reasonable filter. But a small specialist without the badge can still do excellent work. Ask for evidence: anonymised results, cost per lead trends and how they handled an account that was not working.
Source: Google Ads Help, How to become a Google Partner or Premier Partner; Google Ads Help, About optimisation score
What are the red flags when hiring a Google Ads agency?
Red flags include guaranteed rankings or results, refusing to give you Admin access, keeping the account in their name, vague reports with only clicks and impressions, no conversion tracking, long lock-in contracts, hidden ad spend margins, and pressure to sign quickly. Google's policy asks agencies to avoid unrealistic claims about expected results.
One more: an agency that never asks about your margins, average sale value or how you handle enquiries. Without those, nobody can work out what a lead is worth to you.
And if a business is too small to spend enough for meaningful data, an honest agency will say so rather than take the fee.
Source: Google Ads policy, Third-party partner policy