The Math Behind Profitable PPC Explained for Non Marketers

Most people think Google Ads success comes down to keywords ad copy or clever targeting. Those things matter, but profitable PPC is not creative first. It is math first.

If the math works, PPC works. If the math does not work, no amount of optimization will save it.

This article breaks down the core math behind profitable PPC in simple terms so you can tell quickly whether Google Ads can actually make you money.

The only four numbers that matter

Every profitable PPC campaign is driven by four numbers.

  1. Cost per click
    This is how much you pay every time someone clicks your ad.

  2. Conversion rate
    This is the percentage of people who click your ad and then call submit a form or book an appointment.

  3. Close rate
    This is the percentage of those leads that turn into paying customers.

  4. Revenue per sale
    This is how much money you make when a customer buys from you.

If these four numbers work together, PPC scales. If one breaks, profit disappears.

A simple example

Let’s say you pay $10 per click.

Out of 100 clicks you spend $1,000.

If 10 percent of those people contact you, that is 10 leads.

If you close 20 percent of those leads, that is 2 customers.

If each customer is worth $1,500 in revenue, you made $3,000.

You spent $1,000 to make $3,000.

That is profitable PPC.

Where most businesses get it wrong

Most businesses look at clicks or leads instead of the full equation.

They ask
Why is my cost per click high
Why am I not getting more leads

Those are surface questions.

The real question is
Does the total cost to acquire a customer stay below the value of that customer

If the answer is yes, PPC works even if clicks feel expensive.

Why cheaper clicks often lose money

This surprises most people.

Cheaper clicks usually come from lower intent searches. These are people browsing researching or killing time.

Higher intent searches cost more because they come from people ready to act.

Paying $15 for a click from someone who wants to buy is better than paying $5 for a click from someone who does not.

Profitable PPC is not about cheap traffic. It is about buying intent.

The real formula behind profitable PPC

Here is the math simplified.

Cost per acquisition
Cost per click divided by conversion rate divided by close rate

That number must be lower than your profit per sale.

If it is lower, you scale.

If it is higher, you fix the weakest part of the chain.

How BRIW approaches this math

At BRIW we do not optimize for clicks impressions or generic conversions.

We work backward from revenue.

We start with
How much a customer is worth
What you can afford to pay to acquire that customer
Which searches signal buying intent

Then we build campaigns that target those searches and ignore everything else.

This keeps spend concentrated where the math works.

Why this matters more than tactics

Most Google Ads accounts fail because they are built without math.

They rely on automation broad targeting and hope.

Profitable PPC is intentional.

It is controlled.
It is measured.
It is repeatable.

Once the math works, scaling is simple. You increase budget and the system produces more revenue.

If your PPC feels unpredictable

That is usually a math problem, not a platform problem.

Either
You are paying for the wrong clicks
Your site is not converting
Your leads are not being closed
Or you do not know your true customer value

Fix the math and PPC becomes one of the most predictable growth channels available.

At BRIW this is how we think about Google Ads.

Not as marketing.
As a revenue system driven by numbers.

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