Oh my goodness I wish we knew about Google local service adds a long time ago! We just started next month and yes it is working! I am definitely recommend!
I completely understand what you’re saying about no guarantees you’ll get a return. That’s my biggest hang up right now. I have been paying down debt pretty aggressively but can’t help but feel I should be focused more on growing the business. $1,000 spent on paying down an 8% loan saves $80. $1,000 on local service ads might be $5-7k increased income. But it’s the unknown for me that keeps me from pulling the trigger…
You won't get over the hurdle until you pull the trigger. Track your numbers closely. Even if you don't see a positive ROI the first time, you will gather data and get batter at making money through advertising. Don't give up and you will be successful. Shit loads of people are doing this... You can too. TRACK YOUR NUMBERS CLOSELY
I turned mine on three days ago. I got 4 calls and closed 2. One person I am going back tomorrow. This one lead is grossing me $1050. I spent $40 bucks to get this one lead. I did a good job and she is recommending me to her mother and that job is going to be roughly $4500-5000 gross. Don't hesitate. You got this!
Do you mind sharing what type of business your friend has? If the 60% is net profits, that's amazing. I personally think that when figuring out how much you spend on advertising, it should be figured off gross profit, not net just because your net is what you take home not what you would want to spend on advertising 😉. Great video either way.
The service we were discussing is tree removal. As for the profit calculation, I go off of net profit because marketing is typically an overhead expense and doesn't come out for the gross profit calculation. When I talk to a business owner, i don't care so much about their gross profit... I care about their net profit. I've seen companies that make money on gross but don't make any money net. Marketing is an added expense in the beginning so I need to know what kind of net profit a business is running to be able to know how much they could or should invest in marketing.
Do you mind sharing what type of business your friend has? If the 60% is net profits, that's amazing. I personally think that when figuring out how much you spend on advertising, it should be figured off gross profit, not net just because your net is what you take home not what you would want to spend on advertising 😉. Great video either way.
Blown away that google charges that much. Is it because he’s in a saturated market? If your the only business showing up in a local market will google charge you less?
Google charges what people are willing to pay. They created the marketplace and people pay the prices. The people pay because they are able to make a profit... So, I wouldn't get hung up on the cost per lead. What matters is how much of a return you can get from investing in these leads. If you are very good at business, you'll be able to make more from a lead than your competitiors and turn around and spend more per lead than everyone else. This means you can get more leads than everyone else! At that point, you set the prices... Not Google.
Oh my goodness I wish we knew about Google local service adds a long time ago! We just started next month and yes it is working! I am definitely recommend!
Awesome!
One new customer a day is truly a huge deal to me
It is an extremely well-done video. Simple and informative.
I completely understand what you’re saying about no guarantees you’ll get a return. That’s my biggest hang up right now. I have been paying down debt pretty aggressively but can’t help but feel I should be focused more on growing the business. $1,000 spent on paying down an 8% loan saves $80. $1,000 on local service ads might be $5-7k increased income. But it’s the unknown for me that keeps me from pulling the trigger…
You won't get over the hurdle until you pull the trigger. Track your numbers closely. Even if you don't see a positive ROI the first time, you will gather data and get batter at making money through advertising. Don't give up and you will be successful. Shit loads of people are doing this... You can too. TRACK YOUR NUMBERS CLOSELY
I turned mine on three days ago. I got 4 calls and closed 2. One person I am going back tomorrow. This one lead is grossing me $1050. I spent $40 bucks to get this one lead. I did a good job and she is recommending me to her mother and that job is going to be roughly $4500-5000 gross. Don't hesitate. You got this!
Do you mind sharing what type of business your friend has? If the 60% is net profits, that's amazing. I personally think that when figuring out how much you spend on advertising, it should be figured off gross profit, not net just because your net is what you take home not what you would want to spend on advertising 😉. Great video either way.
Seems like it is land clearing or something of the sorts.
The service we were discussing is tree removal.
As for the profit calculation, I go off of net profit because marketing is typically an overhead expense and doesn't come out for the gross profit calculation.
When I talk to a business owner, i don't care so much about their gross profit... I care about their net profit. I've seen companies that make money on gross but don't make any money net. Marketing is an added expense in the beginning so I need to know what kind of net profit a business is running to be able to know how much they could or should invest in marketing.
Is this 60% profit before after overhead? I.E. Payroll, taxes etc..?
I'm not sure how he calculated that. I asked for net profit but every company does their numbers differently.
Do you mind sharing what type of business your friend has? If the 60% is net profits, that's amazing. I personally think that when figuring out how much you spend on advertising, it should be figured off gross profit, not net just because your net is what you take home not what you would want to spend on advertising 😉. Great video either way.
Google put an automated message before each call that killed LSA in my area. Conversions literally fell off overnight.
what area?
What was the message?
what did the message say and where are you located?
Is the is better than home advisor?
Yes
My conundrum is my average ticket is about $150-paying 40 for a shot at a job isn't feasible. Any advice?
Well, you can try to find jobs for less or try to make your average client worth more to you.
nice video by the way, neeed to more
Blown away that google charges that much. Is it because he’s in a saturated market? If your the only business showing up in a local market will google charge you less?
Google charges what people are willing to pay. They created the marketplace and people pay the prices. The people pay because they are able to make a profit... So, I wouldn't get hung up on the cost per lead. What matters is how much of a return you can get from investing in these leads. If you are very good at business, you'll be able to make more from a lead than your competitiors and turn around and spend more per lead than everyone else. This means you can get more leads than everyone else! At that point, you set the prices... Not Google.
google local service ads
Funny how some folks cant convert in their mind that 1200$ investment with essentially a guaranteed 6X return is a no brainer
Math is a foreign language for many. :)