How long it takes to see digital marketing results? Calculate Marketing ROI!

In this video we're going to discuss how long does it take to see a return on investment from a digital marketing company? And this is a question that we get all the time. And most businesses, they should ask this question is how are you going to track your performance and then what is the return on investment going to look like? Just high level, what a return on investment is, is if you spend $2,000, then how much money am I going to make from that? $2,000. And so a great return on investment is 10x return. If you spend $2,000, you make 20,000. If you spend $10,000, you make 100,000. An average is about two to five times. And you can look at this as percentages. So if it's a five times return, so you spend 2,000, you get 10,000, then really you spent 20% of that sale to get the lead. So 20% on lead generation, for example. And so a good time frame for return on investment. Most marketing companies that you work with are going to tell you give them at least six months, some even ask for a year because they have to start building the processes inside of your business. And this is the customer journey that we work on, which is the framework that we work on. What I can tell you is that I'm going to show you how we can track return on investment for our clients. We've seen some clients where within one month they are starting to see an increase in their lead attribution if they started with nothing. And so there's ways that we can look at this. What we tell our clients is that we would like to partner with you for at least six months because it takes us a long time to learn your business, which then we're able to market your business. And this is a big differentiator between a lot of marketing companies is that a lot of people just put you into cookie cutter frameworks of okay, well we're just going to do this or do that. We take a consultative approach, which is why we're a consulting company where we actually learn about the business so that way we can market it. Because how can you market something if you don't know anything about it? And so this is the framework that we work on and these are the levers that we can pull to show a return on investment. And there's two different ones. There's visibility and there's retargeting. So most people, when they look for a digital marketing company, they want to get new customers in their business and so they want to pay for some type of search engine optimization. They want to run ads of some sort, they want a social media presence, they want to get referrals from other people, they want to do all this stuff right. They want business, business relationships. And so all of these new customer channels have different time frames. So for example, search engine optimization, that takes a good six months to a year before you even see any type of return on investment. And it's because Google has an algorithm and they won't even index any of your content for a good 30 days before it even shows on Google search engine results page. So this is definitely a long term play, but when it gets rolling, the snowball will continue to roll for years to come. Ads, this is a return on investment that you could see within 30 days because you can run ads and you can easily say that this ad placement generated this income. Social media, again, this is more of a branding long term play. It's not necessarily you could run ads on social media, but that goes back into ads, business to business reach out. This is something that is, you can get a quick win if you can build a relationship. For example, let's say you're a motor mediation company and you're looking to partner with plumbers. We could help facilitate that partnership relationship. But then you would have to cultivate it and pull leads out of it. But, but the initial introduction, that could be worth a hundred thousand dollars, right? If they give you a bunch of work, that introduction could be done within a week or two. And so there's a bunch of different levels of levers that we can look at from new customers. This is why people give you such a broad range of a return on investment. And how quickly can we get a turnaround? And then the other side of it is retargeting, which is bringing returning customers back into your funnel. And, and a lot of times people don't think about this as a marketing channel, but it truly is. Using your database of people that you've worked with, or even maybe prospects that have never worked with you, that never even went through your conversion funnel and reaching out to those people proactively, whether it's through email, text message calls, voicemails, and rejuvenating them and bringing them back into your funnel. And again, a retargeting strategy, this can be done within two weeks, one month, where you have a monthly newsletter or a text campaign or something that's going out to people that's generating a revenue. We've seen retargeting strategies with 10x20x returns that we could start in a month or two. So there's a lot of ROI opportunities in the retargeting and returning customers channel. But as you can see, both of these lead back into the funnel. And the hard part that we have found with working with local service businesses is that they don't have attributions or tracking inside of their funnel. So leads are coming from all over the place. And whether it's their leads are not getting the proper lead source placed on them. Let's say your customer service representative gets a call, are they asking, hey, how did you hear about us? Maybe they were searching on Google, maybe they saw us on Facebook, maybe whatever the situation is. But is that getting properly placed inside of your CRM or wherever you're tracking this stuff? And so if you need help with that, I'll show you some of the things that we do. So I shared this with other videos, but this is a sample lead tracker that is just like very, very basic. If you don't have a CRM, which we would recommend getting something like Service Titan, Service Monster, Housecall Pro, you know, there's a bunch of them out there. But you could use something like this where you can keep track of all of your prospects and you could convert them, yes or no or still pending. And then you could place a lead source. So then at the end of the month you could go here and duplicate this and you would have another month over here like June or whatever the month is. And then you could place your lead sources so Google, Facebook, you know, whatever it came from. And you could start to pull an roi. And I made videos about ROI before, but the two ways that you look at it is your leads ROI and then your actual close business roi. And so how long does it take to see a return on investment when doing digital marketing? It depends on what exactly you're doing, but you could see a return on investment within the first 30 days depending on what strategy that company is doing for you. We take the approach that we want to do all of these strategies and start implementing them in your business because it allows us to gain traction on all these different levers and, and make sure that everything's functioning like an engine. You have everything working correctly. You don't just start with one cylinder and then put the other ones in. We want it to all work together. So if you like content like this, we post videos about growing local service businesses. Be sure to hit like and subscribe. We'll put some links down below. I'll put a link to this sample lead tracker as well. You can download it. It's free. You just click the button and it will download this Google sheet for you. So hope that helps. And be sure to hit like and subscribe. We'll see you next video.