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Pricing & choosing an agency

How much does paid campaign management cost? Prices and pricing models in 2026

By Pini Smolanski··5 min read
In short

Campaign management involves two payments: the media budget, paid directly to Google, Meta or TikTok, and the management fee to the agency. According to Israeli price guides from 2026, managing one platform usually costs ₪1,500–₪4,000 a month, Google and Meta together ₪4,000–₪9,000, and on large budgets it’s common to charge 10%–20% of the media budget. The more important question is how much profit you keep after both payments.

Two payments: media budget and management fee

When people talk about “how much campaign management costs”, they usually mix up two different things:

  • The media budget: the money paid directly to the platforms, Google, Meta, TikTok or Taboola, on your credit card. This is the money that buys the impressions and clicks.
  • The management fee: what you pay an agency or freelancer for planning, setup, ongoing checks and reports.

Make sure the media budget is paid directly from your account to the platform, and that the account is registered in your name. That way you see exactly how much was spent, and the account history stays with you even if you change agencies.

Three common pricing models

ModelHow it worksSuitsWatch out for
Fixed retainerA fixed monthly amount, based on the number of platforms and the scope of workSmall and medium media budgetsWhen the budget grows, the work grows but the price isn’t always updated
Percentage of media budgetA fixed percentage of monthly platform spendLarge budgetsThe agency has an incentive to raise the budget, even when that doesn’t pay off for you
HybridA base retainer, plus a percentage of media above a certain budget threshold (sometimes decreasing as the budget grows)Businesses planning to growKnow upfront at what budget the percentage kicks in

Some agencies also offer pay-for-performance, for example a fee per lead. It sounds safe, but the agency controls the definition of a “lead”, and it often leads to quantity at the expense of quality. If you choose this model, define in the contract what counts as a valid lead.

Price ranges in Israel in 2026

There’s no official price list, but price guides published in Israel in 2026 show similar ranges. Figures are before VAT and exclude the media budget:

What’s managedTypical monthly range
One platform (Google or Meta)₪1,500 to ₪4,000
Google and Meta together, including reports₪4,000 to ₪9,000
Percentage of media budget (large budgets)Usually 10% to 20%, often with a monthly minimum
Account setup and measurement (one-off)₪2,000 to ₪6,000 at some agencies

As the media budget grows, the percentage tends to drop: the work doesn’t grow as fast as the budget. On the other hand, on very small budgets the management fee can reach a third or more of the budget, and there it’s worth asking whether advertising can pay for itself at all.

What pushes the price up or down

  • Number of platforms. Each platform is a separate system, with its own measurement, audiences and ads.
  • Type of business. An online store has a product feed, a catalogue and dozens or hundreds of products. A lead-gen business needs lead quality tracked against the CRM. Both take more work than a simple campaign.
  • How often the account is worked on. There’s a big difference between someone who goes into the account every day and someone who checks every two weeks.
  • Who actually manages it. A senior manager costs more than a junior one, and also makes fewer expensive mistakes.
  • What’s included. Images and videos, landing pages and measurement setup are sometimes included and sometimes priced separately.

Costs you don’t always see in the quote

  • One-off setup fees.
  • Creative: ad design and video editing.
  • A landing page, if your current site doesn’t suit the campaign.
  • Paid tools, such as a reporting system or research tools.
  • A commitment period or exit fees.

Ask for a quote that itemizes all of these, so you can compare agencies on the same basis.

Six questions to ask before you sign

  1. Who will actually manage the account? The person in the meeting, or someone else on the team?
  2. How many times a week does someone go into the account? And what do they check each time?
  3. Whose name are the ad accounts in? The right answer: yours.
  4. How is success measured? By the platform’s report, or against your actual sales and CRM?
  5. What happens if you want to leave? Is there a commitment? Exit fees?
  6. What exactly is included in the price, and what is billed separately?

How to tell if the management fee pays off

The management fee is part of the cost of advertising, so it has to be calculated together with the media budget. (Illustrative numbers.) A business that invests ₪20,000 a month in media and pays a ₪4,000 management fee actually spends ₪24,000. If the campaigns brought 60 leads, the real cost per lead is ₪400, not the ₪333 the platform report shows.

You compare that number to your target: a customer who costs roughly 10% of the deal value. Here’s how to calculate it. In an online store you do the same calculation against break-even ROAS. If there’s still profit after the management fee, the spend is justified. A cheap agency that brings leads that don’t close costs more than a pricier agency that brings customers.

How it works with us

We work with businesses that invest ₪10,000 a month or more in media. The management fee is set by the scope of work and the number of platforms, and the price is agreed upfront in a written proposal. The media budget is paid directly to the platforms, and the accounts are always in your name. On the fit-check call we’ll work out together how much you can pay for a customer, and tell you honestly whether advertising can pay for itself in your business.

Want to know where you stand? We’ll check the numbers against your account, free of charge.

Get a fit check

Frequently asked questions

Does the management fee include the ad budget?

Usually not. The media budget is paid directly to Google, Meta or TikTok, and the management fee is paid to the agency separately. Check this in the quote.

Which is better, a fixed retainer or a percentage of budget?

On small and medium budgets a fixed retainer is more predictable and simpler. On large budgets a percentage of media is common, and ideally it should decrease as the budget grows. A hybrid model, a base retainer plus a percentage above a certain threshold, suits businesses planning to grow.

How much media budget do you need to start?

It depends on the industry and the cost per lead or sale. We work from ₪10,000 a month, because at that budget the platforms get enough conversions to learn, and the management fee is a reasonable share of the spend.

Sources

S.
Pini Smolanski

Founder of SMOLANSKI Media. 14 years in advertising management, 10 of them at Israel’s leading media and advertising agencies.

Related services: Campaigns for lead-gen businesses · Campaigns for online stores · Google campaign management · Facebook and Instagram campaign management