How John Scaled a Campaign With a $1500 Cost per Lead

John: 00:00:11

Would you have an upset client if this was your cost per lead,

John: 00:00:16

of course, $1,500 a lead?

John: 00:00:18

Well, the flourish person has to identify as how many new customers

John: 00:00:21

are happening by your channel.

John: 00:00:22

Cuz your channel versus an affiliate channel are gonna have

John: 00:00:24

repeat rates that are gonna be a hundred percent different book.

John: 00:00:26

So that's one thing that's interesting is when you look at your CAC, you could

John: 00:00:29

also look at your, CAC versus your channel LTB, and then a lot of times Facebook has

John: 00:00:33

low AOB and LTB, but Google has high AOB and LTB because you warm them up and they

John: 00:00:40

continually go through the brand campaign.

John: 00:00:41

But then how often dare you gonna be paying for those people?

John: 00:00:43

Again, reason why Google ads agencies fail.

John: 00:00:51

this even works with lead generation.

John: 00:00:53

I'll give you just a snapshot , and everyone be honest.

John: 00:00:56

I want people to put this in the chat.

John: 00:00:58

Seriously.

John: 00:00:58

Would you have an upset client if this was your cost per lead?

John: 00:01:03

Of course, $1,500 a lead mm-hmm this year, they made 650,000.

John: 00:01:08

So.

John: 00:01:09

I spend a hundred K nice.

John: 00:01:11

Why?

John: 00:01:12

Well, they have a partner lead that comes in, it's a partner lead partner lead their

John: 00:01:16

average deal size about four to 6,000.

John: 00:01:18

The owner's a good owner.

John: 00:01:19

He goes, perfect.

John: 00:01:20

We're gonna take that $4,000.

John: 00:01:21

Then we're gonna sell them a reoccurring preventative maintenance program.

John: 00:01:25

And then we're gonna serve them a maintenance program.

John: 00:01:28

And then we're gonna look at all other equipment that, hospital has not just

John: 00:01:32

like , the MRI machine that needed a.

John: 00:01:34

I'm gonna take that bolt sale at three bucks, I'm gonna turn it into

John: 00:01:37

a hundred thousand dollars per month.

John: 00:01:38

Customer.

John: 00:01:39

They're really good at that.

John: 00:01:40

So when they say what's the, we don't even talk about cost relief,

John: 00:01:43

we talk about just cash and cash out.

John: 00:01:45

Mer media efficiency ratio.

John: 00:01:46

If I spend a hundred K what do I get?

John: 00:01:48

600 K how long does that take a year?

John: 00:01:50

John start to spend more.

John: 00:01:52

So it's, what's really interesting is by looking at just the previous

John: 00:01:56

period because my ears was funny.

John: 00:01:58

My cost per conversion.

John: 00:02:00

It's $1,500.

John: 00:02:01

It's always 16% difference.

John: 00:02:03

He's like here's $20,000 more because we've met every week.

John: 00:02:07

I go through every single one's leads.

John: 00:02:09

What happened to that chat lead?

John: 00:02:10

What happened to that phone call?

John: 00:02:11

What happened to this qualified lead?

John: 00:02:13

Your person answered.

John: 00:02:14

It said it was too far out of location.

John: 00:02:16

I think that's a mistake.

John: 00:02:17

Or should I adjust my campaigns?

John: 00:02:18

No salesperson should have never said that.

John: 00:02:20

Perfect.

John: 00:02:20

I meet with them every Thursday, nine o'clock in the.

John: 00:02:22

I know this company way better than I can.

John: 00:02:24

if they say John, your cost really $1,600.

John: 00:02:26

I'm like, ha good one.

John: 00:02:27

I'll hang up on him.

John: 00:02:27

And they'll be like, ah, that's pretty funny.

John: 00:02:29

Like, no one cares.

John: 00:02:30

It's not the metric we're looking at.

John: 00:02:32

We're looking at everything else.

John: 00:02:35

everyone's like, Hey, John's campaigns always have really good.

John: 00:02:37

Like Roaz and really good.

John: 00:02:39

CPA.

John: 00:02:40

No, I have a ton of clients sort of realizes one 20%, but the, or

John: 00:02:42

the CPA $1,600, they still love us.

John: 00:02:45

They've been on for.

John: 00:02:46

Why because I dig so deep that I understand their

John: 00:02:49

bottle better than they do.

John: 00:02:50

And I tell 'em, Hey, here's where you're failing.

John: 00:02:52

That's the best.

John: 00:02:52

That means we have to have access to the CMS or CRM, CMS four e-comm CRM,

John: 00:02:57

four Legion without a CMS or CRM access.

John: 00:03:00

There's no way for us to actually see what's happening.

John: 00:03:02

Yeah.

John: 00:03:02

And if they can't, here's the funny part though.

John: 00:03:05

They didn't have a CRM for their medical supply.

John: 00:03:07

So what I did every Thursday as I.

John: 00:03:10

What happened to that call?

John: 00:03:11

Yeah, that would Ari.

John: 00:03:12

You know what that didn't go into a deal.

John: 00:03:14

I'll follow that.

John: 00:03:15

Awesome.

John: 00:03:15

We had two more good quality leads that are coming in.

John: 00:03:17

What happened?

John: 00:03:17

Those two?

John: 00:03:17

That was a dud.

John: 00:03:18

That one was a bad lead.

John: 00:03:19

That was, they were just an old lady looking for a rocker.

John: 00:03:22

I think it's good.

John: 00:03:22

Okay.

John: 00:03:23

Let me know what happens to that one.

John: 00:03:24

How, and we literally go through the leads every single week.

John: 00:03:28

Here going to the contacts here.

John: 00:03:30

You'll see that there's one frequently used when you hit all filters.

John: 00:03:33

Most used properties, original source is paid traffic.

John: 00:03:37

And then I go through cool.

John: 00:03:38

And it, it sucks too.

John: 00:03:39

We're spending so much money.

John: 00:03:40

I got today, yesterday, yesterday, and I do this all right, boom, right here.

John: 00:03:45

And then right here and every Thursday I hop in and say, okay, this person

John: 00:03:49

here, we're looking at what type of lead This is what is the monthly cost.

John: 00:03:53

This one came in from Cisco SMARTnet.

John: 00:03:55

Cool.

John: 00:03:55

Is there a deal?

John: 00:03:56

Yes, there is a deal associated.

John: 00:03:58

Perfect company was created.

John: 00:03:59

What's going on with this deal at zero what's the potential goals while

John: 00:04:02

we have no idea, get back to me.

John: 00:04:05

that's the level that we have.

John: 00:04:06

I know everything that comes in, I know the quality I've already made

John: 00:04:08

changes based on what I saw come in.

John: 00:04:10

I'm verifying does the quality of lead actual quality I'm

John: 00:04:12

asking 'em for an update.

John: 00:04:13

So every time they join a meeting, it's like, oh crap.

John: 00:04:15

John's gonna ask about what's going on.

John: 00:04:17

you've already made changes.

John: 00:04:18

It's never like, Hey, these leads suck.

John: 00:04:20

That's the conversation.

John: 00:04:21

We should never have our client managers, our client advocates be looking saying,

John: 00:04:25

are we delivering you bad leads?

John: 00:04:27

Are we delivering you?

John: 00:04:29

Good leads.

John: 00:04:29

What happened with this lead?

John: 00:04:31

Why is it your sales team following up?

John: 00:04:33

Why is the deal.

John: 00:04:34

That has an annual revenue of a million dollars blank with no activity.

John: 00:04:37

Do we email 'em doesn't look like it.

John: 00:04:40

They'll never complain to me.

John: 00:04:42

I'm not the problem right now.

John: 00:04:45

Again, if we don't have the structure, we need it.

John: 00:04:47

If we do not have the structure.

John: 00:04:49

The reason why we don't need it is because the client's super happy and

John: 00:04:52

is gonna give us a glowing review.

John: 00:04:54

This is not a glitch I'm interrupting the video you're watching because I

John: 00:04:57

need to remind you that I'm always looking for people to join our team.

John: 00:05:00

So if you're passionate about Google ads and you wanna work with the best

John: 00:05:03

Google ads agency on the planet, please go to so late.com/apply.

John: 00:05:06

Speaking of working with the best Google ads agency on the planet, if

John: 00:05:09

you're having trouble with Google ads and you want professional help.

John: 00:05:12

That's what we do.

John: 00:05:13

You can go to.

John: 00:05:13

So lake.com that's S O L eight.com to apply for your

John: 00:05:17

free no obligation action plan.

John: 00:05:19

And if I've given you any level of value at all, maybe think about giving me a

John: 00:05:22

thumbs up and try to do our channel.

John: 00:05:24

That's how we choose the YouTube algorithm.

John: 00:05:26

So they actually know that I know what I'm talking about.

John: 00:05:28

If you have questions, comments, concerns, or confessions hit

John: 00:05:29

me below in the comments.

John: 00:05:30

And now back to your regularly scheduled program, John, I have a quick question.

John: 00:05:35

Have you used lifetime Lee app?

John: 00:05:40

they're using it.

John: 00:05:41

And in that we are not able to see the repeat purchase ratio.

John: 00:05:48

Like you showed us in by the numbers.

John: 00:05:50

Like you get a number and then you multiply average auto value and

John: 00:05:54

then you get the lifetime value.

John: 00:05:55

Right.

John: 00:05:56

But in lifetime lead, you get three months, six months,

John: 00:06:00

nine months, 12 months.

John: 00:06:02

Lifetime value.

John: 00:06:02

So we are not able to calculate the lifetime value of a customer.

John: 00:06:07

Okay.

John: 00:06:07

Yeah.

John: 00:06:08

Actually I was just searching cause I was like, I just heard that this

John: 00:06:10

morning, lifetime, and I'm reading back through, I was on my notes cause

John: 00:06:14

says we've been looking at life timely.

John: 00:06:16

That's what it is.

John: 00:06:17

So actually has it here

John: 00:06:19

like timely.

John: 00:06:20

Go to my dashboard.

John: 00:06:21

It's under lifetime value.

John: 00:06:23

And then it shows some, table, something like analytics shows for lifetime value.

John: 00:06:28

I,

John: 00:06:30

this thing's gonna be a big beast.

John: 00:06:32

Looks like sucking everything.

John: 00:06:35

I love Shopify.

John: 00:06:37

It's amazing.

John: 00:06:38

They just corned the market and everything eCommerce related.

John: 00:06:41

It's fantastic.

John: 00:06:44

I'm just looking at I know show like wicked reports.

John: 00:06:47

Like this is the whole reason why this is loading.

John: 00:06:49

Wicker reports to this.

John: 00:06:50

Hey John, your cost for leads.

John: 00:06:51

78 bucks.

John: 00:06:52

Facebook's is 51.

John: 00:06:54

For cost required new customers, 1 0 7 Facebook's 1 38.

John: 00:06:58

I'm like, so we have a cheaper C more expensive CPL.

John: 00:07:02

They have a cheaper CPL, more expensive C I'm like, what crack are you smoking?

John: 00:07:07

Like looking at reports like that.

John: 00:07:08

it's a neat commerce store.

John: 00:07:09

What's it cost for lead?

John: 00:07:11

I hate attribution tools are at lifetime.

John: 00:07:14

Have to look through this here.

John: 00:07:17

Oh yeah, this is exactly what nor B has analytics and Whoa, who's that guy go?

John: 00:07:24

If you wanted to if you do first month acquired, if you wanted do this

John: 00:07:27

thing, same exact thing inside N.

John: 00:07:29

39 43

John: 00:07:32

returning rates.

John: 00:07:32

10%.

John: 00:07:34

Yep.

John: 00:07:34

10%.

John: 00:07:34

Which means that it goes from three.

John: 00:07:37

So 43 to 47 in two months.

John: 00:07:39

Yep.

John: 00:07:40

Yeah, here's, here's one thing to think about too, is when you look at

John: 00:07:43

the analytics of the store, and it shows a 40% returning customer rate,

John: 00:07:50

it's 40% that happened this last 30 days from all customers previously.

John: 00:07:56

So this is gonna say 9% return.

John: 00:07:58

In during the selected timeframe of the month.

John: 00:08:00

So in the month, from last six months, yes.

John: 00:08:04

This customer here has a two year LTV on average, that goes out to 1 44.

John: 00:08:09

when you look at everything, which is really interesting.

John: 00:08:11

So this one is the small snapshot of attributed customers in that

John: 00:08:16

timeframe when they're first require.

John: 00:08:18

You look back at everything.

John: 00:08:19

That's why, if you look here, there's no way they could be

John: 00:08:21

making 1.6 million again, next month off of returning customers.

John: 00:08:25

Cuz not that many return.

John: 00:08:26

So kind of a cool thing though.

John: 00:08:28

I love this tool.

John: 00:08:28

There it is.

John: 00:08:29

This is what north BMA, very, very similar.

John: 00:08:31

And then you look at like customer value or with refunds orders, accumulative

John: 00:08:36

marginal, or you can take out the first day to see what is the added.

John: 00:08:39

And then total or averaged.

John: 00:08:41

Do you know if this is total or averaged?

John: 00:08:42

This is accumulated.

John: 00:08:44

So

John: 00:08:45

this is cool.

John: 00:08:46

I'm definitely gonna play around with this thing for reminding me, cause I saw it in

John: 00:08:48

the slack this morning and I just haven't had a chance to take a look at it yet.

John: 00:08:51

How are you using this on.

John: 00:08:53

I don't know.

John: 00:08:54

So I was actually looking at customer behavior in that we have

John: 00:08:58

repurchase rate and repurchase rate.

John: 00:09:02

And they're also I'm getting like 30 days, 90 days, 180, 360.

John: 00:09:07

So I don't know which number should I take to calculate lifetime value.

John: 00:09:12

Well, for first has to identify as how many new customers are

John: 00:09:14

happening by your channel.

John: 00:09:15

Cuz your channel versus an affiliate channel are gonna have repeat

John: 00:09:17

rates that are gonna be a hundred percent different for each other.

John: 00:09:19

So that's one thing that's interesting is when you look at your C you can

John: 00:09:22

also look at your C versus your channel LTB, if that's possible inside of

John: 00:09:26

here, which I don't know if it is yet.

John: 00:09:27

But that's, and then a lot of times Facebook has.

John: 00:09:30

AOB and LTV, but Google has high AOB and LTV because you warm them up and they

John: 00:09:35

continually go through the brand campaign.

John: 00:09:37

But then how often are you gonna be paying for those people?

John: 00:09:39

Again, like we stopped pulling back on brand.

John: 00:09:41

I did this this morning with like, we had 45% more spend in our brand.

John: 00:09:45

We made one less sale physically, one less sale.

John: 00:09:48

So we're gonna stop doing so we wanna protect your brand.

John: 00:09:50

Where is Chuck and cash out the window?

John: 00:09:52

Am I am my C is higher now.

John: 00:09:54

Oh, that makes sense.

John: 00:09:55

And then now the CMO is sending me over a spreadsheet that I have to fill out

John: 00:09:58

so that he can see why and how, but again, it's just because everyone's

John: 00:10:03

looking at everything grouped together.

John: 00:10:06

Cool.

John: 00:10:06

I'm gonna check this out.

John: 00:10:07

Thank you for sharing this with me.

John: 00:10:09

This is really, really cool.

John: 00:10:10

I wish they had given us numerous of returning in a income statement.

John: 00:10:14

Cool.

John: 00:10:14

Anybody else have anything?

John: 00:10:15

Always John give a quick overview of why morphine's better than

John: 00:10:18

looking for Tyro and oh yeah.

John: 00:10:19

So the reason why it's better is Wiggen reports, Hiro, and other attribution

John: 00:10:23

tools use primarily UTM parameters.

John: 00:10:26

You, 10 parameters are only 60% accurate and most often favor the brand.

John: 00:10:30

And if they can't tie a view attribution, it just goes right back to Google.

John: 00:10:33

So record report shows Google better.

John: 00:10:35

Trip oil shows Google better.

John: 00:10:36

Hiro shows Google better, but then when you drop your spin on Facebook and all

John: 00:10:40

of a sudden the Google channel produces, it's like, how is that possible then?

John: 00:10:44

And then they say, well, that's actually we don't know, they'll

John: 00:10:47

tell you the exact same thing that everything else will tell you.

John: 00:10:49

Hey, the Roy has sucked on Facebook and it was great on

John: 00:10:51

Google and it's the same thing.

John: 00:10:54

Nor beam will say, Hey, your RO actually sucks on Google.

John: 00:10:57

Facebook was better.

John: 00:10:58

The only reason why Google was good is cuz Facebook was good.

John: 00:11:00

And then you can identify where, why and how, and then make those changes

John: 00:11:03

so that you know that even if you suck all the Facebook attribution

John: 00:11:05

that made Google good, where are you winning reallocate there.

John: 00:11:09

And now you have two challenges that grow out independently of each other,

John: 00:11:11

rather than Facebook or Google, just dying when Facebook dies.

John: 00:11:15

Can't tell many times we've been hired to say, yeah, our Facebook team was horrible.

John: 00:11:18

So I fired my Google agency.

John: 00:11:20

my God horrible reason to get hired, but that's just because they didn't

John: 00:11:24

know any better, why they tracked Roaz and Roaz dipped because why Facebook

John: 00:11:27

sucked and their brand campaign died.