PPC for startups - when to start and what to expect
Paid search is often positioned as an instant demand channel for startups. The reality is more nuanced. Getting meaningful results from paid search as a new business requires understanding what the channel can and cannot do at early stage.
Founders and early-stage marketers are frequently told that paid search provides immediate demand. That is true in a narrow sense - you can start getting clicks quickly. Whether those clicks convert into paying customers at a cost that makes commercial sense is a different question, and one that depends on factors that many startups have not fully addressed before they start spending.
When paid search makes sense for a startup
Paid search makes sense when search demand for your product or service category exists. If people are actively searching for what you offer, paid search can capture that intent. Check Google Keyword Planner for your core service or product category - if there is meaningful monthly search volume with CPCs your economics can support, paid search is worth testing.
It also makes sense when you have a clear, specific value proposition that can be communicated in a headline. Google Ads rewards clarity. "The only UK accountancy software built for sole traders" converts better than "accountancy software". If your offering is still too broadly defined or you have not yet identified which audience segment responds best, paid search will tell you the answer - but at a cost.
What to expect in the first 90 days
Month one is discovery. You will learn which keywords actually drive clicks, which match types produce relevant queries, and what your conversion rate is from paid traffic. These numbers will almost certainly be disappointing compared to projections. That is normal. Month one performance is rarely representative of eventual performance. Do not make structural decisions - kill the campaign, change the product - based on month one data.
Month two is iteration. You have search term data showing what people actually searched for before clicking. You have conversion rate data showing which pages and messaging convert. You can start making evidence-based optimisations. Month three is the first meaningful baseline. By now you have enough data to establish whether paid search can work for this business at this economics level. Three months is the minimum evaluation period.
The budget question
There is a minimum viable budget for paid search. If your target CPC is 3 pounds and your realistic conversion rate is 5 percent, you need 60 pounds of spend to generate one conversion. To get statistically meaningful data on performance, you need at least 20 to 30 conversions - that is 1,200 to 1,800 pounds. Below this level you cannot make confident decisions about whether the channel is working. Knowing this before you start helps you plan the initial test budget appropriately rather than running out of data before reaching conclusions.
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