How Much Should You Spend on Your Auto Repair Shop Advertising Budget?

How Much Should Auto Repair Shops Spend on Advertising?

For many auto repair shop owners, advertising can feel like a mystery. How much is too much? Too little? And how do you make sure every dollar brings cars into your bays? The truth is, there’s no one-size-fits-all answer—but understanding key factors can help you make smart decisions and maximize ROI.

Why Advertising Matters for Auto Repair Shops

Running a successful auto repair shop isn’t just about fixing cars—it’s about getting customers to call or visit your shop. Even if your technicians are top-notch, if nobody knows you exist, your bays will stay empty.

Advertising helps:

• Attract new customers in your local area

• Keep your shop top-of-mind for repeat clients

• Promote special offers or seasonal services

But spending blindly can waste money. That’s why it’s important to approach advertising strategically.

Typical Advertising Budgets for Auto Repair Shops

Industry benchmarks suggest that small businesses—including auto repair shops—spend about 5-10% of their annual revenue on marketing. Here’s what that might look like:

Annual Revenue	Suggested Marketing Budget (5-10%)
$250,000	$12,500 – $25,000
$500,000	$25,000 – $50,000
$1,000,000	$50,000 – $100,000

Remember, these are guidelines. Your actual budget should reflect:

• Your goals (more new customers, more repeat business, higher ticket repairs)

• Your local competition

• Your current business growth stage

Where to Spend Your Advertising Dollars

Not all advertising channels are created equal. For auto repair shops, the most effective channels include:

1. Google Local Service Ads & Google Ads

   • People searching “auto repair near me” are ready to call.

   • Local Service Ads are pay-per-lead, so you only pay for potential customers.

2. Facebook & Instagram Ads

   • Great for targeting local drivers with special offers, seasonal reminders, or promotions.

3. SEO & Website Optimization

   • Organic search traffic can drive steady calls without ongoing ad spend.

   • Investing in your website and SEO is a long-term strategy with compounding returns.

4. Email & SMS Marketing

   • Keep your existing customers coming back with maintenance reminders and service specials

Tips to Make Every Dollar Count

• Track results: Use tracking numbers, Google Analytics, and ad reports to see what’s actually bringing in calls.

• Start small: Test one channel at a time before scaling spend.

• Focus locally: Most auto repair customers are nearby—don’t waste money on audiences outside your service area.

• Adjust based on ROI: If a campaign isn’t delivering calls, tweak or stop it.

There’s no perfect advertising budget for every auto repair shop—but a strategic approach that aligns with your revenue and goals will always outperform random spending. Investing in the right channels, tracking performance, and optimizing regularly is the key to turning ad dollars into more calls, more cars, and more revenue.

Need help figuring out the right advertising spend for your shop? At three23 Marketing, we specialize in helping auto repair shops plan and execute marketing that drives real results.