The Numbers Don't Lie...
Preview
...they simply tell a different story depending on the math of the storyteller.
High Converting Landing Page (HCLP) - A brick-and-mortar store
Impressions - Refers to the people who see the store whether they enter or not.
Click - Refers to the people who see the store and enter. The potential customer may look around, leave, and buy nothing.
Conversions - Refers to the people who see the store, enter, and make a purchase.
The store spends $500/day on ads to entice people to come inside the store and make a purchase.
1. Let's look at the numbers.
In one month, the brick-and-mortar store received 24,000 impressions.
1,200 people entered the store. The clickthrough rate is 5%. 1,200/24,000 = .05
Of the 1,200 people that entered the store, 50% of them converted into a sale (600 people)
The ticket average for all customers who made a purchase was $100. The gross sales for the month were $60,000 (600 buyers x $100 average ticket price)
The total amount spent on ads for the month is $15,000.
Return On Ad Spend (ROAS) $60,000/$15,000 = 4 or 400%
The cost per lead is $12.50, $15,000/1,200
2. 24,000 people saw the store yet only 1,200 went in.
95% of the people who saw the store never entered. Why?
What's driving the clicks?
What items inside the store are driving the most sales?
Most likely, 20% of the items are responsible for 80% of the sales.
What are the demographics and psychographics of the people who entered the store and made a purchase?
Why did the people who came inside the store come in? What was the trigger?
Does the store have the right ad in front of the wrong audience?
Do they have a poorly written ad in front of the right audience?
Is it something about the store that is turning people off when they see it?
Is there some signage that the store could place on the store's exterior to make it more enticing?
What's the store's offer?
The store never has the opportunity to make a sale if people don't come inside.
3. 1,200 people entered the store but only half of them made a purchase.
Why did 50% come into the store and not buy?
Could the store use some strategies from one of Robert Cialdini's books to help increase conversions?
What's the ambiance like in the store? Is it inviting?
Who's the store's best salesperson? What is their ticket average?
What is the customer service experience?
Are the wares top quality and highly desirable like a Lululemon store?
4. Let's play with the numbers.
The number of people entering the store remains the same - 1,200.
The same amount of money is spent on ads - $15,000
Of the 1,200 people that entered the store was able to increase conversions by 10% from 50% to 60%. (720 people made a purchase)
The ticket average for all customers who made a purchase increased to $125. The gross sales for the month were $90,000 (720 buyers x $125 average ticket price)
The store received a $30,000 income injection in their business by increasing the conversion percentage as well as increasing the ticket average.
Return on Ad Spend (ROAS) $90,000/$15,000 = 6 or 600%
5. Let's play with the numbers one more time.
The number of impressions remains the same - 24,000
1,800 people entered the store. The clickthrough rate increased from 5% to 7.5%. 1,800/24,000 = .075
Of the 1,800 people that entered the store, 60% of them converted into a sale (1,080 people)
The ticket average for all customers who made a purchase was $125.
The gross sales for the month were $135,000 (1,080 buyers x $125 average ticket price)
The total amount spent on ads for the month is $15,000.
Return On Ad Spend (ROAS) $135,000/$15,000 = 9 or 900%
The Cost per lead decreased from $12.50 to $8.33, $15,000/1,800=$8.33
6. "Must-Haves"
An irresistible offer.
An offer that solves a need, a want, or a problem in the marketplace.
Must know your audience's needs better than they do.
Must spend hours doing proper keyword research.
There must be a message-to-market match.
Must have a high-converting landing page. No conversions = no sales.
Must know which keywords are responsible for the conversions.
Must be good at writing decent ad copy. You don't need to be a copywriter.
Must monitor and tweak campaigns as necessary.
Must split test the headlines, copy, and creatives.
Must keep the landing pages, ad copy, and creatives simple.
Must have only one call-to-action. CTA.
7. The numbers don't lie.
As you see from the examples above.
The ad spend remained the same.
The impressions remained the same.
With a little tweaking, the number of people entering the store increased.
With a little tweaking, the number of people who entered the store and made a purchase increased.
With a little tweaking, the average check price increased.
The Result - The ROAS went from 400% to 900% which is life-changing for any business.
8. The biggest problem for most online and offline businesses.
Most businesses/people see spending money on ads as an expense rather than an investment.
They don't understand that Buying Data is the quickest path to achieving the results they desire which is more return on their original investment.
This is the fastest way to "buy back time."
There is no need to grope around in the dark asking what other people think.
Instead, you can comb the minds and behaviors of the marketplace and get your data straight from the source.
BTW. This strategy works for any business in any niche both online and offline.
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