Google AdWords is the best marketing tool ever invented………..period!
The economics of Google Advertising for Window Covering Retailers
The reason Google earned $110 billion in 2017 is simple: Google AdWords.
I could spend the next 10 minutes explaining the theories of Pay per Click (PPC) advertising and bore you or I could show you how it works and how you can make money using it.
None of what I’m about to share with you will mean anything to you if you don’t know your numbers. When I say knowing your numbers, I’m referring to the basic cost of running your business. I’ll use some basic numbers from my own Shutter Nation retail operation for demonstration purposes.
Lead Cost is determined by my advertising budget divided by the number of leads. I include phone calls, website inquiries, and text messages.
If I spend $1000 a month on AdWords and I get 20 leads, then my lead cost is $50. If 10 of those 20 leads turn into jobs then my Job Cost is now $100. If my average shutter job is $3500 with a 50% net margin then I just earned $17,500 Net Profit.
Since I measure blind and shutter jobs separately this allows me to know my numbers at a deeper level.
My Average Blind Job is $1200 with a 50% margin. 75% of my sales are shutters and 25% are blinds.
Now let’s take the $17,500 net profit number and subtract expenses. My installer is $3 sq ft for shutters. He earned $4200. I install my own blinds.
My general overhead is $1500 per month. Plus the cost of adwords.
- $17500 Income
- -$4200 Installer
- -$1500 Overhead
- -$1000 Adwords
- X12 months
- $129,600 per year income.
None of this would have been possible if it weren’t for Google AdWords. The key to this formula is the $1000 per month I spend on adwords. One job a month pay the AdWords bill.
Now how do I know adwords attracts the right customers?
I apply the Sales Funnel principal to all adwords. This means I am willing to spend more for a client who is ready to buy and less for a client who is just looking for ideas.
I’ve spent years building data with AdWords and I apply that knowledge to all my clients’ accounts. This is one of the reasons my clients do so well with AdWords.
Since I also operate most of my clients’ websites/SEO I can hyper target new customers. If I see my website is showing organically in Newport Beach for plantation shutters and not so well next door in Laguna Beach, I can spend more AdWords dollars in Laguna Beach to get more customers there. This is a HUGE advantage for my clients.
AdWords allows me to hyper target potential clients by product or location or both. An example would be someone searching for stained shutters or Norman Woodlore Shutters. I can set AdWords to only show my ad to people who are searching for these keywords. It’s amazingly accurate.
Because adwords produces so much data, I prepare reports every 14 days for all my clients so they can see exactly how many people saw their ads and how many clicked on their ads. I can even track a client down to calling me. This is called Conversion Tracking.
Have you ever been on Amazon and you were looking at a product and then you leave. A few minutes later you’re on a news site or sports site and see an ad for the thing you were just looking at? This is called Retargeting or reMarketing. Its set up through AdWords. I’ll set this up for you.
Finding hidden opportunities:
I study the search terms people use to find me and my clients. It’s this data that allows me to spot hidden opportunities for my clients. I’ve found many additional revenue sources for my clients simply because I studied the data.
If a customer in my market (I tell Google where to show my ads) is searching for Norman Woodlore Shutters, then I know they are a buyer who is educated and knows the brand they want. I’m willing to pay more for this customer because they are at the bottom of a sales funnel. Contrast that to a person who is searching for window covering ideas, they are at the top of the sales funnel and I’ll bid much less for their click.
AdWords allows me to bid based on the keywords. I can also bid based on the device they are on. I know from historical data that I have better calls for mobile customers and higher conversion for desktop searchers. So I adjust the bid accordingly.
AdWords gets better with time if you know what you’re doing with the AdWords system. The system is very complex and the data is massive. It takes trained experts to get the most of the system. This is why I came up with a 10 Step AdWords Plan.
All New for 2018: 10 Step AdWords Lead Magnet Program
The ExSeed Marketing 10 Step Lead Magnet AdWords Program
- Comparative Analysis to Others Retailers
- Campaign Set Up
- Negative Keywords.
- Data Analysis and Implementation
- Conversion Tracking Set Up
- Bid Management
- Set Up Retargeting. Built Display Ads
- 14 Day Reporting. Emailed Directly To You
- Ad Management and Testing
- Geo Targeting To The Best Areas In Your Market
If you’re looking for a way to remove the ups and downs in your business, then give me a call. AdWords may be the answer.