Which advertising works best? What is your return investment on digital advertising? With innovations from Curbside Laundries, you can now measure to the dollar which digital advertisement campaigns are earning you the most money, attracting the most clients, and resulting in the most orders placed.
This episode is heavy on the visuals. Everything is explained on the audio podcast, but screenshots are available on youtube at: https://youtu.be/VoZ2qbitzUo
0:00 Intro 0:17 Wasting Advertising Money 0:55 Measuring Success 1:13 The Return on Advertising Spend Report 2:09 Targeting Specific Markets 2:20 Wash and Fold is a Retention Business 2:40 Advertising Results 3:42 Financial Returns Over Time 4:03 Choosing the Right Marketing Company 4:31 Bringing Back Past Clients 5:15 The Prospective Customer Marketing List 6:13 Give Yourself a Raise
I'm super excited to show you the return on advertising spend report. This report does something that software that no other software in the laundry industry or any other industry does for that matter. What this does is it measures the return on advertising spend, digital spend. So we have clients who are spending hundreds or thousands of dollars every single month on Google AdWords or Facebook Digital Ads and many other types of campaigns. And they have no idea how much money they're getting in return, how many new customers they're getting, how many customers are coming back, who used them in the past and forgot about them. They have no idea. We do know advertising works when done right, but it's really hard to know if you're doing it right, if you get no feedback and your marketing company probably says, oh, well your click through rate is this, or, Hey, congratulations, your click through rate went up by 2%. And it's like, what does that even mean? Well, we knew that since so many laundry owners, including ourselves, are spending a lot of money on Google AdWords, that it's important to measure the success. There's a simple rule in business that works, which is you keep doing what works and you stop doing what doesn't work well. If you get no feedback, you have no idea what's working or not. So what does this return on advertising spend report do? Well, it tells you the names and phone numbers of every single customer you get as a result of advertising. It also tells you how much money they spent, how many times they placed orders, how many times since their last order, which digital ad campaign they clicked on. So you know which digital ad campaign is working. We have a client making over a million dollars a year spending quite a bit of money advertising, but he is talking about quitting advertising to stop it all together 'cause he has no idea what's working and what's not working. So I told him, well , hold off. Wait until you get this report. It'll tell you how much money they spent. It'll tell you how many orders they placed. It'll tell you the name of the digital advertising campaign that brought them in the door because not all ads are the same. You want to know which ad was effective. That way you could stick with your effective ads and stop using your non-effective ads. You may find certain markets are receptive to the message, but other markets or zip codes are not receptive to wash and fold and pick up and delivery. So now you're gonna know exactly where to double down and where to stop wasting money in wash and fold and pick up and delivery. It is a retention business. So keep that in mind. So when you're advertising, you're not really advertising just to get that one order from that one customer. You are building relationships, you're bringing them into the fold and they're , the goal is for them to continue ordering from you. And that's what this report illustrates in one month of advertising. May, 2023, just about two and a half months ago, we brought in 12 new customers and we had six customers who stopped using our service, come back because we were advertising and between those 18 customers, they spent about $3,300, which was less than what we spent on advertising. So why would we spend all this money on advertising to lose money? Well, it turns out those same 18 customers over the course of two and a half months wound up spending over $5,200. It went up from $3,300 spend to $5,200 spend. Take a look at this one brand new customer that we brought in in May because of advertising. She's spent $1,112 so far this year, or I should say she spent $1,100 so far in two and a half months. How much is she going to spend over the course of one year? So when you're advertising, you're not just bringing them in to get one order, you're building relationships around those customers. So you need to do a good job. And this report will show you how much money those customers spent in one month. And you could even show , make it show how much money they spent in six months or one year. So you could see exactly how long it takes to make your return on investment. And you could budget accordingly. If you know it takes you three months to get your money back, you know not to spend all your money all at once because it's gonna take you a little bit of time to get that money back. And even more to the point, there's a lot of marketing companies who will get you almost zero return on advertising spend. And without this report, you might stick with them for a long, long time and , and you have no idea if what they're doing is working or whether it's your organic search results. This report will tell you to the dollar exactly how much money you're making. So you could stop speculating and you can make informed decisions with any other software solution. You're just throwing your money into the wind and you're hoping it lands in the right place. In addition, the return on advertising spend report tells you exactly which customer stopped using your service and came back as a result of clicking on an ad. You could take a look at our report from last month, and we had two customers who hadn't used our service for more than a year, and they didn't do a search for super suds , they did a search for a wash and fold or a laundry service, and they found us as a result of advertising. And take a look between both of 'em , they spent about $450, just two customers who stopped using our service and now they're back using super suds . If we didn't advertise, then they would've clicked on somebody else's advertisement. And I wonder how much money these customers are gonna spend over the course of one year or two years. So I'm glad to have 'em back. This is the prospective customer list. Now what is that? Those are people who created an account but didn't place an order, at least not yet. So these are great people to market to . And we added a new button to this report that says, only show prospective customers who clicked on an ad. So let me click that switch. And now all the people showing are people who actually clicked on an ad but haven't placed an order yet. So how powerful is that? Now you have a list of names, phone numbers, and email addresses that you could reach out to and bring them into the mix. And this is another way to make sure that your marketing company is doing a good job. So not only could you see how many new customers you're getting, how many customers are coming back to your laundry service, and also how many customers are creating accounts but haven't placed an order yet. And you might as well shake that tree, send them a text with a promo code or something to bring them into your business, because once they place one order, you got a better chance of having a regular repeat customer. Every single customer that you add to your Rolodex who's active in placing orders, it's like giving yourself an annual raise. So we're big fans of Google AdWords when done right, we're even bigger fans of organic search results, which is something we help our clients with. So a lot of our clients don't even advertise at all. You've seen the videos of them being very successful without ads. But if you are going to spend money on Google Ads, make sure it's working right. And the only way to do that is if you can measure the results.
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