Marketing and ROI - without pricing distraction please

drift56

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May 28, 2012
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Looking for Direct and Specific info on Marketing mediums and ROI and No / Low cost ways of increasing new business

NOT Price BS.. like every other thread gets into

IF you clean in NY city id expect your price to be 10x the price of someone cleaning in small town Oklahoma because cost of living is 10x... I personally Clean in central valley calif and dont make enough $ at $33-39 room average... But my market is saturated and I am on these posts looking for ways to increase call/work volume in a market where my competition is subsidized by the welfare system... Half my customers say "oh great" and tip... the other half ask if i can do it for less... the price per area discussion is 100% useless here...

I have 3x the google reviews number and quality of all but one of the other O/Os...

How do I get GO from 35-45 jobs a Month to 90-120 jobs per month per van? (plus when im too old n fat to clean anymore id like to have 5+ vans running)

my best performers are
(obviously word of mouth)

Google reviews = Free
Magnets = $0.50 per job
Coupon book (with call to action/disc) $299 mo 15k houses @$50k+ year zips
EDDM; broke even n dropped it .. received 1 call 8 months later when post office got around to doing their job. (3k mailers $250)
FB was okay ROI for me but i stopped cause i hate FB.. anyone with a solid strategy (not payin 300 for video i can take udeme 20 hr course for $20)
Google ads seem that the dumbest person wins with bidding on $7-15 clicks and a 30% conversion ( since competitors are probably clicking 1/3 and im closing half my calls) $22-45 job just isnt profitable

HIGHEST ROI other then obvious free mediums?
 
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mrotto

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How do I get GO from 35-45 jobs a Month to 90-120 jobs per month per van? (plus when im too old n fat to clean anymore id like to have 5+ vans running)
been there, done that. Do you really want to go from 34-45 jobs to 90-120 jobs per month or do you want to make more (net) money?

Just doing more jobs doesnt mean you make more money.

And 5+ vans running? ask how many on this board have done it consistently for years and then ask them what it takes to do that. Your dream may not be what you really want.
 

Spazznout

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Feb 13, 2011
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Looking for Direct and Specific info on Marketing mediums and ROI and No / Low cost ways of increasing new business

NOT Price BS.. like every other thread gets into

IF you clean in NY city id expect your price to be 10x the price of someone cleaning in small town Oklahoma because cost of living is 10x... I personally Clean in central valley calif and dont make enough $ at $33-39 room average... But my market is saturated and I am on these posts looking for ways to increase call/work volume in a market where my competition is subsidized by the welfare system... Half my customers say "oh great" and tip... the other half ask if i can do it for less... the price per area discussion is 100% useless here...

I have 3x the google reviews number and quality of all but one of the other O/Os...

How do I get GO from 35-45 jobs a Month to 90-120 jobs per month per van? (plus when im too old n fat to clean anymore id like to have 5+ vans running)

my best performers are
(obviously word of mouth)

Google reviews = Free
Magnets = $0.50 per job
Coupon book (with call to action/disc) $299 mo 15k houses @$50k+ year zips
EDDM; broke even n dropped it .. received 1 call 8 months later when post office got around to doing their job. (3k mailers $250)
FB was okay ROI for me but i stopped cause i hate FB.. anyone with a solid strategy (not payin 300 for video i can take udeme 20 hr course for $20)
Google ads seem that the dumbest person wins with bidding on $7-15 clicks and a 30% conversion ( since competitors are probably clicking 1/3 and im closing half my calls) $22-45 job just isnt profitable

HIGHEST ROI other then obvious free mediums?
Step one. If you are really interested in growth. Its NOT cheap. Your are going to invest a lot of money. However with that investment comes a phone that is ringing off the hook. Out of curiosity, what do you think a company with 5 trucks spends on marketing on average??????? I'll give you a hint.........about 10-15% of gross sales goes into Marketing. So $750,000 gross sales for 5 trucks = a marketing budget of $75-100K dollars per year.

step 2...Admit you are a Carpet Cleaner and NOT a marketing pros. You will drive yourself crazy tying to do your own marketing. Hire it out and this will allow you to spend time developing your business, crew and customer experience.



Step 3 find a local full service marketing company.

Once you find a marketing company you are going to want them to develop you a solid Brand that reflects you and where you want to take your company.

This company should have Brand development team, creative team, digital team, marketing strategy, copywriters and focus groups.

They are NOT going to be cheap.

Cheap and good are not words you will find together in Marketing.


So I am halfway there on the journey you want to take......

I have 3 crews now and will add a 4th later this year. We will be expanding to our second major city and open a second location in the spring of next year. By fall of 2021 I will have 8-9 crews between our 2 locations.....anticipated marketing spend for both locations will between $200,000-$220,000....with an expected gross sales of $1.7-$2 million.We are aiming for 38-40% gross profit operating margin.
 
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OxiFreshGuy

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There is a lot of truth to these words at same time I think a marketing and branding team is a bit overboard unless your goal is to have a 10+ truck company or start a franchise.

I actually did Manage a 12 truck company (started with 4 and grew to 12 in 3 years) so I have a bit of unusual experience.

As Mrotto said, it will consume your life. Maybe two out of 10 technicians will care about doing a good job. You'll be forced into having call reps etc. Techs will damage and lose equipment. Etc.

Spazz is right, we spent about 15-20% marketing costs.

Ironically though, we made more money when we had 6 trucks in terms of profit.

At 6 trucks the company produced about $750,000 in sales. Consider 20% marketing, 30% labor, 10% supplies, gas, repairs.

The other 40% is where it gets tricky. If you manage the company very well, 20% profit margin is possible. So $150,000 profit essentially.

Marketing is relatively simple but difficult to execute.

Internet, Reviews, Pay to Play websites are good avenues for rate of return.

Really the best investment I've found is hiring a GREAT SEO person. Yes it will cost $2-3,000 a month or MORE but they have the ability to drive in 5-10x that amount in sales. I pay my SEO person a bonus based on internet sales for that reason, she is paid more than I am!
 

Spazznout

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There is a lot of truth to these words at same time I think a marketing and branding team is a bit overboard unless your goal is to have a 10+ truck company or start a franchise.

I actually did Manage a 12 truck company (started with 4 and grew to 12 in 3 years) so I have a bit of unusual experience.

As Mrotto said, it will consume your life. Maybe two out of 10 technicians will care about doing a good job. You'll be forced into having call reps etc. Techs will damage and lose equipment. Etc.

Spazz is right, we spent about 15-20% marketing costs.

Ironically though, we made more money when we had 6 trucks in terms of profit.

At 6 trucks the company produced about $750,000 in sales. Consider 20% marketing, 30% labor, 10% supplies, gas, repairs.

The other 40% is where it gets tricky. If you manage the company very well, 20% profit margin is possible. So $150,000 profit essentially.

Marketing is relatively simple but difficult to execute.

Internet, Reviews, Pay to Play websites are good avenues for rate of return.

Really the best investment I've found is hiring a GREAT SEO person. Yes it will cost $2-3,000 a month or MORE but they have the ability to drive in 5-10x that amount in sales. I pay my SEO person a bonus based on internet sales for that reason, she is paid more than I am!
See, I do not have some of the problems your are describing.....All of my techs are good and care about first our customer and second the business.
If you delegate, instead of trying to do it all yourself, running a business is fun, challenging and rewarding...
This leaves you time to 1st NOT be overworked and stressed. Second to have the time to develop your staff and be a part of the team...not just a boss.
Systems are very important and will make your life easier. It is important to develop and implement them as they make for a more consistent customer experience and a happier staff as expectations are set and a happy owner as jobs are getting done correctly. The better your systems, the better your company and the more free time you will have as an owner.

Once you have systems in place it allows for a lot more personal free time.


As I type this is a perfect example. .....All 3 of my crews are out working all day. We have a total of 14 jobs. Mix of Air Ducts and Carpet. Our job average is in the high 300's. My Office manager is in the office manning the phones and working some leads we got overnight from our marketing channels.

I came back home and am drinking coffee, typing this post out and chillaxing.

My systems are all in place and working. I have great staff with our relationship based on mutual trust, respect, and common goals that benefit all of us financially and through our work product throughout our community.
 
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tguthrie

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There is a lot of truth to these words at same time I think a marketing and branding team is a bit overboard unless your goal is to have a 10+ truck company or start a franchise.

I actually did Manage a 12 truck company (started with 4 and grew to 12 in 3 years) so I have a bit of unusual experience.

As Mrotto said, it will consume your life. Maybe two out of 10 technicians will care about doing a good job. You'll be forced into having call reps etc. Techs will damage and lose equipment. Etc.

Spazz is right, we spent about 15-20% marketing costs.

Ironically though, we made more money when we had 6 trucks in terms of profit.

At 6 trucks the company produced about $750,000 in sales. Consider 20% marketing, 30% labor, 10% supplies, gas, repairs.

The other 40% is where it gets tricky. If you manage the company very well, 20% profit margin is possible. So $150,000 profit essentially.

Marketing is relatively simple but difficult to execute.

Internet, Reviews, Pay to Play websites are good avenues for rate of return.

Really the best investment I've found is hiring a GREAT SEO person. Yes it will cost $2-3,000 a month or MORE but they have the ability to drive in 5-10x that amount in sales. I pay my SEO person a bonus based on internet sales for that reason, she is paid more than I am!
What do you mean by"pay to play website"?
 

Spazznout

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There is a lot of truth to these words at same time I think a marketing and branding team is a bit overboard unless your goal is to have a 10+ truck company or start a franchise.

I actually did Manage a 12 truck company (started with 4 and grew to 12 in 3 years) so I have a bit of unusual experience.

As Mrotto said, it will consume your life. Maybe two out of 10 technicians will care about doing a good job. You'll be forced into having call reps etc. Techs will damage and lose equipment. Etc.

Spazz is right, we spent about 15-20% marketing costs.

Ironically though, we made more money when we had 6 trucks in terms of profit.

At 6 trucks the company produced about $750,000 in sales. Consider 20% marketing, 30% labor, 10% supplies, gas, repairs.

The other 40% is where it gets tricky. If you manage the company very well, 20% profit margin is possible. So $150,000 profit essentially.

Marketing is relatively simple but difficult to execute.

Internet, Reviews, Pay to Play websites are good avenues for rate of return.

Really the best investment I've found is hiring a GREAT SEO person. Yes it will cost $2-3,000 a month or MORE but they have the ability to drive in 5-10x that amount in sales. I pay my SEO person a bonus based on internet sales for that reason, she is paid more than I am!
SEO is only one small part of an overall marketing strategy.

This is where we have to admit we are cleaners. Then hire a marketing team.

They act as a multiplier for the marketing dollars you do spend as they are pros at it. We are not. They know how to get the results via marketing we need to grow our bizz....we do not....Would you hire a marketing company to come clean your carpets???? Hell no thats silly...............So yeah, we are cleaners. NOT marketing pros that do it all day every day.
 

OxiFreshGuy

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I cant encompass everything in a post Spazz, and the systems I put into place ran very well as a 6-7 truck operation. Keep in mind I wasn't the owner, I was the manager.

That said, the owners were never around and simply expected the money to roll in. When they got upset we couldn't break $2.5 million in sales for a year I was "fired" for telling them it wasn't possible without me having another manager to help as I was overburdened.

The marketing they did was all SEO, Valpak, Money Mailer, Angie's List, Thumbtack, Direct Mail Campaigns. Most owners would be very happy with a million dollar business.
 

Spazznout

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I cant encompass everything in a post Spazz, and the systems I put into place ran very well as a 6-7 truck operation. Keep in mind I wasn't the owner, I was the manager.

That said, the owners were never around and simply expected the money to roll in. When they got upset we couldn't break $2.5 million in sales for a year I was "fired" for telling them it wasn't possible without me having another manager to help as I was overburdened.

The marketing they did was all SEO, Valpak, Money Mailer, Angie's List, Thumbtack, Direct Mail Campaigns. Most owners would be very happy with a million dollar business.
Do NOT take offense...just putting it out there that it does NOT have to be the way you described.....

You obviously had your hands tied by outside owners. That is a tough situation.
 

OxiFreshGuy

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Well no it doesnt have to be. And now that I am my own owner I am doing it very much the way you are describing, going to build methodically and high quality. My goal is to be a very efficient 5 truck operation.
 

ACP

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On top of the marketing avenues listed above... once you have excellent branding you need to immerse your company in your community.

Street parades, kids little leagues, home shows, churches, visit realty offices and drop off breakfast burritos etc.

Remember anyone can pay for branding, pay for SEO, pay for adwords. Getting yourself involved in your community (ideally the wealthier part of town) takes work
 

Spazznout

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On top of the marketing avenues listed above... once you have excellent branding you need to immerse your company in your community.

Street parades, kids little leagues, home shows, churches, visit realty offices and drop off breakfast burritos etc.

Remember anyone can pay for branding, pay for SEO, pay for adwords. Getting yourself involved in your community (ideally the wealthier part of town) takes work
This is why a marketing team is so valuable. Not only do they build your strategy they make sure that your messaging stays consistent across all marketing channels. They help you decide which avenues within the community will give you the most exposure at the right time or event and that your message is targeted for this group of spectator/members of the community....ie which parades to sponsor for the most effective spread of your brand message and when you do how do you present your brand to achieve your goals at these events. .This is how marketing firms act as multipliers for your advertising dollars.
 
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Kipp

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You have ROI based on 1st service from marketing and then you have ROI from lifetime of customer.

Best way to grow is to make sure you retain and maximize the return on the customers you've already spent money on getting

Email follow ups, warranty programs, spotter bottle programs, reminder mailers, pre-scheduling next service...are some ways to capitalize on this.
 

Kipp

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As far as Google pay per click marketing I highly recommend using a service like Wordstream. It can double or triple your ROI on this median pretty easily.

If you aren't super knowledgeable on pay per click marketing utilize their consulting service with it for a few months to get your account dialed in.
 

BrianTmark

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Hi. I stumbled across this website while doing a google search for clipper magazine info. There was a discussion about that here, then I saw this thread and thought I would give some opinions if that is alright.

I do digital marketing, so I found the convo on this thread interesting. The guys that said to hire a big marketing team to handle everything are right - if you can afford it. Doing it yourself is really tough. While anyone can throw an ad up on facebook or google, it will probably be as effective as me cleaning my carpet with a shop vac and a bottle of tide.

I don't want to overstep bounds in here. I just discovered this forum yesterday and I know some forums hate strangers popping in and being annoying.

This seems like a pretty savvy group as far as marketing goes. I have a few tips and tricks anyone can do for themselves for free to help boost their visibility. Some of you likely already do this, but I am surprised at how many don't. Obviously I can offer a lot more of my services as well, but again, not trying to invade your personal space here.

Let me know and I can throw some quick info in here that will help any business owner.
 

The English Derek

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Jun 24, 2018
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Derek Field
Looking for Direct and Specific info on Marketing mediums and ROI and No / Low cost ways of increasing new business

NOT Price BS.. like every other thread gets into

IF you clean in NY city id expect your price to be 10x the price of someone cleaning in small town Oklahoma because cost of living is 10x... I personally Clean in central valley calif and dont make enough $ at $33-39 room average... But my market is saturated and I am on these posts looking for ways to increase call/work volume in a market where my competition is subsidized by the welfare system... Half my customers say "oh great" and tip... the other half ask if i can do it for less... the price per area discussion is 100% useless here...

I have 3x the google reviews number and quality of all but one of the other O/Os...

How do I get GO from 35-45 jobs a Month to 90-120 jobs per month per van? (plus when im too old n fat to clean anymore id like to have 5+ vans running)

my best performers are
(obviously word of mouth)

Google reviews = Free
Magnets = $0.50 per job
Coupon book (with call to action/disc) $299 mo 15k houses @$50k+ year zips
EDDM; broke even n dropped it .. received 1 call 8 months later when post office got around to doing their job. (3k mailers $250)
FB was okay ROI for me but i stopped cause i hate FB.. anyone with a solid strategy (not payin 300 for video i can take udeme 20 hr course for $20)
Google ads seem that the dumbest person wins with bidding on $7-15 clicks and a 30% conversion ( since competitors are probably clicking 1/3 and im closing half my calls) $22-45 job just isnt profitable

HIGHEST ROI other then obvious free mediums?

This may not be a direct answer to your question, but it is the starting point for any effective increase in business.

Do you know what your ideal customer looks like?

Targeting your marketing is more important than what you actually do - if you dont know what your best customer Looks like you are just firing and hoping to get some of them with a shotgun. This is the first step that any good marketing company would go through with you - they cannot give you the answer to this! They look for you to give them the answer and then figure out how to get in front of those people.

So, what kind of cleaning do they want, where do they live, where do they work?
 

pgcleaner

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1. Google Local Service Ads (Google Guaranteed).

2. 'Call only' Google Ads. That way one click equals one phone call. You don't have to worry about people bouncing off your landing page.

3. Google my Business (Local SEO). These are essentially free clicks. There is a formula to triple the inbound calls from your GMB Maps listing over time.

4. Cold calling property managers and landlords. There is an app called DigLead you can get on your phone. It will scrape Google or Yelp, and spit out an Excel spread sheet with a thousand local realtors, property managers, landlords, etc. Just start going down the list and calling.

These are how I do it. Nine months in. $10k a month in revenue by month three. 6 to one return On Ad spend.