How Much Should You Spend on Ads for Your Escape Room Business?

If you own an escape room business, you’ve likely wondered, “How much should I spend on ads to drive bookings?”

This is a common question for escape room owners looking to boost traffic, increase revenue, and make the most of their advertising budget.

At Birch River Design Group, we specialize in Google Ads for escape rooms and guarantee a 5x return on ad spend—or we’ll refund your fee and the money spent on ads.

In this guide, we’ll walk you through how to determine the right ad budget for your escape room business, tailored to your goals, audience, and capacity.

Start with Clear Goal

Before you determine your ad budget, define your goals. Ask yourself:

Are you trying to increase weekend bookings?
Do you want to boost weekday traffic during slower periods?

The more specific your goals, the easier it will be to allocate your ad spend effectively.

Considerations for Setting Your Ad Budget

There’s no universal formula for ad budgets, but there are a few key factors to consider:

1. Your Audience Size

If your escape room is located in a large, densely populated city, you’ll have a larger audience to target and can justify a higher ad spend. On the other hand, if you’re in a smaller town, you’ll need a more conservative budget due to the limited audience size.

2. Your Room Capacity

Smaller Capacity (1-3 rooms): If you have limited availability, converting ad clicks into bookings will be more challenging. Start with a smaller budget, around $25-$30 per day ($750-$900 per month).
Larger Capacity (4+ rooms): If you have more rooms and greater availability, you’ll likely see higher conversion rates. A good starting point is $50 per day ($1,500 per month).

Stick to Your Initial Budget for a Month

Once you’ve determined your starting budget, let it run for at least one month. This gives you time to collect valuable data on how your ads are performing. After the first month, review the metrics to make informed adjustments.

How to Evaluate Your Performance

Check Auction Insights

Google Ads provides a tool called Auction Insights. Here’s how to use it:

Log into your Google Ads account.
Click on Insights & Reports.
Select Auction Insights and set the date range to the last 30 days.

The Impression Share column shows how often your ads appear compared to your competitors.

If competitors have a higher impression share, there’s room to increase your budget.
If you’re dominating the competition by more than 10%, consider reducing your budget to avoid overspending.

Calculate Your Cost Per Booking

Proper conversion tracking is essential for measuring your ad effectiveness. With tools like Rezova or Bookio integrated into your Google Ads account, you can track bookings and revenue generated from ads.

Aim for a cost per booking of $30-$50.
Use this benchmark to evaluate your campaigns and refine them to reduce costs over time.

Account for Seasonality

Escape room bookings tend to fluctuate based on the time of year. Adjust your ad budget to align with:

Peak Seasons: Increase your spend during holidays and special events when demand is high.
Slower Periods: Dial back your budget during off-peak months to conserve resources.

Key Takeaways

Set a starting budget: $750-$900 per month for smaller markets or $1,500 per month for larger markets.
Track performance: Use Google Ads tools like Auction Insights and conversion tracking to measure success.
Adjust over time: After your first month, make small adjustments based on data.
Be mindful of seasonality: Adapt your budget to match demand throughout the year.

Ready to Boost Your Escape Room Bookings?

At Birch River Design Group, we’ve helped escape room businesses across the country achieve a 5x return on ad spend. With expertise in Google Ads and proven strategies, we’re here to help you maximize your ad dollars and fill your rooms.