05/16/2024
Here is a screen shot of few of the ads we ran for one of our roofing clients.
This is going to be a longer read , will be packed with tons of value you can takeaway with you.
Here's a list of what you will learn after reading this post:
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The importance of understanding the basics of Facebook ads before investing money.
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Why crafting compelling offers and ad copy is crucial for reducing cost per lead (CPL).
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The significance of continuously testing different ad variations to find the most effective ones.
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Realistic expectations about ad budgets and results.
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The necessity of having a system to filter and follow up with leads quickly.
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Why itâs normal to receive a significant percentage of low-quality leads.
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The critical role of quick follow-up in converting leads to booking appointments.
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How budgeting and ad performance impact lead generation and client acquisition.
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The long-term benefits of a follow-up system for nurturing leads over time.
First things firstâdonât run ads if you donât know how they work. You might know how to create and run it but if you don't understand how it works its not going to work out at all . Itâs like driving a car without knowing how it works, you might know how to start a car but if you don't know how its suppose to sound, turn or work you shouldn't be driving . Youâll waste money and time. Trust me, learning the fundamentals and basics can save you a lot of headaches.
Once you have a grasp on how ads work on Meta, the next step is crafting the perfect ad. Think of it like fishingâif your bait isnât attractive, the fish wonât bite. Your offer and ad copy are crucial. A great offer paired with compelling ad copy can significantly lower your cost per lead (CPL).
But it doesnât stop there. The key to success with Facebook ads is constant testing. Try different photos, videos, and ad copies. When you find a winning combination, double down on it. Itâs all about finding what works and scaling it up.
For those who are constantly crying about not getting quality leads Hereâs the deal with leads: Be prepared for 30-50% of your leads to be useless. Thatâs the hard truth of Facebook ads. Not every lead will be a winner, and thatâs okay.And no matter how many leads you get they mean nothing without a system to filter and follow up within 5-10 minutes of them filling out the form. Delay, and you might as well kiss those leads goodbye.
When it comes to Meta (facebook/ig ) ads is; On average, 50% of your leads will be quality leadsâpeople genuinely interested in what youâre offering. These are the leads you need to focus on and convert into clients. If you donât have a system to filter the leads and to get to them within the 5 minutes of a form submission, youâre wasting opportunities. Quick follow-up is crucial for getting the most out of your campaign. Without this system in place you are most likely to loose money.
Lets take a look at one of the campaign from the Screenshot and use that as an example. I want you to use this example to understand why having a healthy budget is important when running ads. If you understand this you will be able to understand why your campaign might not be working.
Imagine starting with $10/day for a month and testing an ad that costs $114 per lead. Youâd spend $300 and get about three leads. Not great, right? This shows you canât expect miracles with a tiny budget.
I know a lot of us here aren't sure what to expect after you start running a campaign. Here's a break down of what a typical ads campaign for home service business owner looks like. Now keep in mind that these could vary depending on the type of business but is pretty similar with most Blue collar businesses.
To put this into perspective, letâs say you spend $3000 with a $30 CPL. That gives you 100 leads. Half of those (50) are real leads. From those, you can schedule about 10+ qualified appointments. Depending on your sales process, you might close 3+ clients immediately the very first month. Over time, with a good follow-up system, those numbers can grow even more. Now do the math and let that sink in. Let me remind you one more time that this only possible IF YOU HAVE A SYSTEM IN PLACE.
Now let me explain this further and put it into perspective:
3 clients for a roofing company: $15k+
3 clients for a window cleaning company: $2000+
3 clients for a cleaning company: $1000+
What does this tell us? It might seem like Facebook ads aren't for everyone and don't work for every business when we look at the data above. But that's not the case. Remember, the lower the selling price of a product, the faster and easier it is to sell. You also need to consider the lifetime value (LTV) of a customer. In a cleaning business, the lifetime value of a customer is about $1500 on average for residential cleaning. This means that while the initial data may not look impressive, over time, it can turn into a $4500 deal from those 3 clients. Additionally, there will likely be more closed deals in a cleaning company compared to a roofing company.
I know exactly what you are thinking at this point. We are not going to make money. Yes it looks decent on paper but we dont make much on those deals. I agree to disagree on this point. So how do you make money ?
- You make money by consistently following up and nurturing your clients through emails, social media and more. If a client wasnt ready the first month of the campaign they could be ready 6 months down the road. And when they are ready you need to be there for them.
- Remember, the real magic happens over time with a constant follow-up system and nurturing and retargeting.
- You must have a good sales system to get the most you can from customer by providing addons, upgrades and increase the average value of the transaction thats when you will start getting better returns.
- Example: If you offer to powerwash for a home owners driveway for $50 then your goal is never to just sell just that $50. Your goal should be to upsell your services where you can. like window cleaning, or cleaning their roof, patio, deck etc. This could easily rack up to $1000.
- It will most likely not work out if you don't change your approach when you go to sales meeting and compare it to a traditional referral lead. You might have 70% + Close ratio when you were relying on referrals. That is going to change when you are doing ads. You are likely to close 20-30% from those meetings and Its just how it is.
In conclusion, Facebook ads can be a goldmine for leads if you play your cards right. Understand the platform, craft compelling ads, test continuously, and have a solid follow-up system in place. You can go from 5 clients to 30 Clients per month in no time with the right budget and strategy in place.
If you need help running ads for your business or want me to build that system for you send me a DM to schedule a FREE consultation call.