What you actually need to spend
The #1 question we get from trade business owners on the first call: "How much should I be spending on marketing?"
The honest answer: it depends on your revenue, your market, your growth goals, and your current marketing maturity. But "it depends" isn't useful. Here are the real numbers we see across our client base in Texas.
By company revenue size
Under $1M annual revenue → $2,000-$4,000/month
At this size, you're building the foundation. Don't try to run paid ads, content marketing, social media, and email simultaneously. You'll spread thin and nothing will work.
Where to focus:
- Google Business Profile optimization ($500-$1,000 one-time + ongoing reviews)
- Local SEO foundation — service pages, city pages, basic schema markup
- Review generation system — automated post-job ask via your CRM
- Maybe LSAs if your service is high-frequency (plumbing, HVAC repair)
Skip: Google Ads (you don't have the conversion data yet to make it efficient), social media management, content marketing.
$1M-$3M annual revenue → $4,000-$8,000/month
You've got the foundation. Time to add paid acquisition and start scaling.
Where to focus:
- Everything from the previous tier, maintained
- Google Search ads with proper landing pages and call tracking ($1,500-$3,000/month management + $2,000-$5,000/month ad spend)
- Google Local Service Ads if available in your category and market
- Content marketing — start publishing 1-2 substantial pieces per month
- Website optimization if your current site is converting under 5%
$3M-$10M annual revenue → $8,000-$15,000/month
This is where most of our active clients sit. You're running a full marketing system: SEO, PPC, LSAs, content, automation, and reporting.
Where to focus:
- All previous, optimized
- Marketing automation (review requests, missed-call text-back, lead nurture sequences)
- Video content for social and YouTube
- GEO / AI SEO as a growth lever — most competitors aren't doing this yet
- Multi-channel attribution to understand what's actually driving booked jobs
$10M+ annual revenue → $15,000-$30,000+/month
Multi-location, multi-service, or multi-state. Different problems, different scale.
Where to focus:
- Sophisticated multi-location SEO (each location needs its own GBP, service pages, review strategy)
- OTT and connected TV for brand awareness
- YouTube pre-roll targeting in-market homeowners
- Direct mail integration for high-ticket services
- Advanced attribution — likely a multi-touch model with Marketo/HubSpot or similar
By service type
If you're piecing together a budget yourself, here's what individual services typically cost:
| Service | Monthly cost | What's included |
|---|---|---|
| SEO | $1,500-$5,000 | Strategy, content, technical, link building |
| Google Ads management | $1,000-$3,000 + ad spend | Account management, optimization, reporting (ad spend separate) |
| LSA management | $500-$1,500 + ad spend | Daily monitoring, dispute management |
| Website maintenance | $500-$1,500 | Updates, security, speed, minor changes |
| Website rebuild | $5,000-$25,000 one-time | Design, build, launch |
| Social media management | $1,000-$3,000 | Content creation, posting, community management |
| Content marketing | $1,500-$4,000 | 2-4 blog posts/month, optimized for SEO + GEO |
| GEO / AI SEO | $1,500-$4,000 | Schema, AI-optimized content, monitoring |
| Email marketing | $500-$1,500 | Setup, sequences, monthly campaigns |
| Call tracking + CRM | $200-$800 | Tools (CallRail, ServiceTitan integration) |
Note: ad spend is separate from management fees. A "$2,000/month Google Ads" engagement usually means $1,500 in ad spend + $500 management, OR $1,000 in spend + $1,000 management — clarify which.
The 5-10% rule
In our experience working with trade businesses across Texas, the successful ones spend 5-10% of annual revenue on marketing.
- Below 5%: you're probably losing market share to competitors who are investing
- 5-7%: maintaining position, slow growth
- 7-10%: meaningful growth
- 10-12%: aggressive growth, taking market share
- Above 12%: either you're in a hyper-competitive market, you're scaling fast, or you're working with the wrong agency
Apply this to your revenue:
- $1.5M revenue × 7% = $105,000/year = $8,750/month
- $5M revenue × 8% = $400,000/year = $33,000/month
- $10M revenue × 9% = $900,000/year = $75,000/month
What NOT to spend money on
A few things we consistently see waste budget:
- Print Yellow Pages ads. In 2026. Yes, this still happens. Don't.
- Cheap overseas SEO ($300/month "we'll rank you in Google" services). They build spam links that get you penalized. Lost time + cleanup costs.
- Boosting Facebook posts. The Facebook algorithm punishes boosted content. Spend on Meta Ads through Ads Manager, not the Boost button.
- HomeAdvisor / Angi / Modernize as your primary channel. Marketplace leads cost $40-$120 each, are sold to 3-5 of your competitors simultaneously, and have terrible close rates. They're fine as a supplement, never as the foundation.
- A new website every 2 years. Once you have a fast, conversion-optimized site, maintain it. You don't need a rebuild — you need ongoing optimization.
What ROI to actually expect
Realistic expectations for a well-managed marketing engagement:
- Month 1-2: Setup, baseline measurement. Few new leads from new initiatives. Don't panic.
- Month 3-4: Initial campaigns running. First wins from quick fixes (GBP optimization, landing page improvements). Leads start trending up.
- Month 6: Compound effects starting. SEO content beginning to rank. Reviews accumulating. Should be 25-50% more qualified leads vs. baseline.
- Month 12: Mature system. Booked jobs measurably up. Cost per acquired job down 20-40%. Revenue impact clearly visible.
If you're 6 months in and seeing no measurable change in booked jobs, the agency or strategy is wrong. Get a second opinion (see our piece on firing your marketing agency).
The bottom line
For a healthy trade business doing $1M-$10M, expect to invest 6-9% of revenue in marketing. Less than that is leaving growth on the table. More than that needs to be tied to a clear growth thesis.
If you want us to look at your current spend and tell you honestly whether it's the right level for your revenue and goals, book a free audit. We'll review what you're spending where, what's working, and what we'd shift.
For more on building the marketing system this budget plugs into, see our full services overview.