I get asked almost on a daily basis by clients for help with their marketing goals. I usually start out with a series of questions asking what they’re doing now and what they would like to achieve in the next year.
‘Wish and Hope’ Marketing
What I’ve found that has always surprised me in the past 17 years of working with clients and their marketing is that most company’s marketing goals are not aligned at all with their business goals. This means that most businesses just do what I call “Wish and Hope” marketing – they don’t do a whole lot for marketing and “wish and hope” that they’ll get new customers in their door.
As you and I know, this is the worst way to run a business. In my opinion, marketing and sales are the lifeblood of any business. Without proper marketing and sales – you will never achieve your business goals!
For instance, I have a client that at the beginning of the year wanted to double sales in 2015. Yet they were currently doing nothing at all to market their product. By nothing, I am referring to the usual stuff – SEO, Facebook Ads, Google Ads, Social Media Marketing, Remarketing, Newsletter list building, etc… nothing.
Of course, we established a plan for the entire year and worked backwards from their overall goal and determined what we needed to achieve in one year, in six months and in the first ninety days.
Here’s what the plan looked like:
I like to start with the overall goals and work backwards (from Stephen Covey’s 7 Habits of Highly Effective People – start with the end in mind). Here are this client’s goals broken down for the year:
2014 Sales: ~$200,000 in sales
2015 Goal: $400,000 in sales
Lifetime Value of their Customer: $500
Quarterly Sales Needed: $100,000 ($400,000 / 4 quarters)
Monthly Sales Needed: $33,333.33 ($400,000 / 12 months)
Monthly Customers Needed: 67
Prior Year’s Marketing Expenditure
The next thing we needed to determine was the prior year’s marketing expenditure. I poked and prodded to get all of the existing data so we could get a clear picture.
Online Marketing 2014
- Social Media – Posted sporadically, very little following; posts done by business owner; cost was $0
- SEO – Not currently doing SEO and not ranked for buyer keywords; cost was $0
- Google Ads – Tried Google Ads in early 2014, didn’t “get” anything from it; cost $100 + owner’s time.
- Facebook Ads – Not running FB Ads; cost was $0
- Newsletter – No newsletter
Offline Marketing 2014
- Radio – $800 per month, not sure if effective; cost was $9,600 total
- TV – $5,000 initial investment in commercial + $500/month; unsure if effective it was; cost $11,000 total
- Newspaper – Nothing
- Phone Book – Nothing
- Other – Nothing
Total Marketing Budget in 2014 – $20,600
Conversion Ratio (CVR)
In sales and marketing, conversion rates (CVR) are everything. Once you have a known CVR, it’s just a matter of finding the right medium from which to buy traffic. Let’s do the math here!
On-Site Conversion Rate (visitor to lead): 13% determined by dividing leads received by # of website visitors
Sales Conversion Rate: 50%
Once we have the monthly goal in hand, it’s just a simple matter of creating the marketing funnel. Marketing is all about funnels and getting people into those funnels. For this client, the funnel looked like this by working backwards knowing the following is needed monthly:
Sales Needed: 67
Leads Needed: 134 (67 sales divided by 50% Lead to Sales CVR)
Visitors Needed: 1,031 (134 leads divided by 13% on site CVR)
1 – SEO
This is going to garner the highest return rate, yet take the longest. So we started positioning the client’s website in front of people searching for his services. SEO takes the longest because in a typical SEO campaign, it might take from 6 to 12 months before ranking on the first page – where all the magic happens.
So we targeted the buyer keywords, created pages, and started building backlinks.
2 – Google Ads
- Get leads in while waiting for SEO to kick in. It is necessary to get leads right away.
- Ad work more quickly than SEO, so you can quickly see what works and apply that to SEO.
3 – Facebook Ads
Facebook is a wonderful thing. They have data about nearly every person on the planet. It’s really creepy for the non-marketing people – but it is really good for us marketers! So we created very targeted ads for this client’s targeted audience (home owners in a specific zip code) and ran ads directly to them.
4 – Remarketing Ads
There’s a new technology used by a very few businesses called Remarketing. Since we know that only 13% of the visitors to the above website convert into leads, we want to target the other 87% with ads that follow them around.
In the marketing world, it’s common knowledge that you need to have 7-10 touches before someone will make a buying decision.
There are two main platforms used to run ads – Facebook and the Google Ads network. This pretty much covers everywhere that a person might be online. We made it part of the plan to run Remarketing Ads to target the people who have visited the site and left without converting to a lead.
5 – Newsletter
Everyone knows that the best way to stay in touch with your existing and potential clients is via regular newsletters. Yet very few businesses actually do it. Why? Because it’s hard for a business owner to find time to sit down and write a newsletter. You’re busy doing what makes you money, whether that’s fixing appliances or managing employees, which means it’s nearly impossible to carve out time to consistently write a newsletter, even knowing that it’s the one thing that could possibly help your business the most.
That’s where Marketing Heroes steps in: we can be a client’s outsourced marketing department. We have writers and editors who can do this activity more quickly, efficiently, and – most important – consistently than you can.
We added a newsletter into our marketing strategy for 2015 for this client and created a one-year content plan.
OK – here’s the fun part, right? If you scrolled right down through all of the above, please head back up there and read it again to understand that marketing is all about funnels – getting people into your funnels is the #1 priority.
Following is an outline of this company’s result, less December 2015 which is still in progress.
Months 1 – 6:
|Month 1||Month 2||Month 3||Month 4||Month 5||Month 6|
Months 7 – 12:
|Month 7||Month 8||Month 9||Month 10||Month 11||Month 12|
Total Leads: 1,396
Total Number of Sales: 972
Total Dollars of Sales: $486,000
As you can see, we achieved our goals to double this client’s sales in less a year. Yea! I’m really excited to see how it will turn out at the beginning of the year for this client.
A Few Notes
- As you can see in Month 6, there was a big jump in both visitors, leads, and sales. This is because the SEO campaigns started really kicking in.
- Because the SEO really started working, the overall visitors jumped up as did the sales conversion rates. Sales CVR went from 65% to nearly 75%. I think this is because we were targeting buyer keywords.
Thanks for making it this far! This post turned into something a little longer than I anticipated; however, I hope you learned a bit of what is possible with proper marketing online.
Remember that marketing is all about numbers. Get the numbers right, increase your conversion rates, and you can have something really good happen!
Free Marketing Audit!
Speaking if which, as part of the Marketing Heroes month of giving, in the month of December I’m offering ten FREE marketing audits worth $295 each to the first ten businesses that book a time with me. NO strings attached and you can take the audit and apply it however you wish!