Generate The Number of Deals You Want.
I don’t know about you, but the first question I ask when I’m considering a new marketing channel is, "How to calculate my budget so I can generate the number of deals I want?"
We find that success in Pay Per Click advertising is similar to what is needed when using direct mail.
Investors that dip their toes in pay per click just as in direct mail don’t do well. If you only send 500 letters one time, the odds of doing a deal are pretty thin. The same is true for pay per click.
A Simple Exercise in Determining Cost
Answer these questions to get an idea of what to expect so that you can have fast and lasting success:
Now, let’s look at what we can expect to spend to generate a deal that could make us $25,000. If we go with 10 leads to get the deal and $200 per lead, we’re going to spend $2,000 (10 x $200) to get the deal that will make us $25,000. I don’t know about you, but I’d do that all day long!
Understanding this simple calculation can mean the difference between success and failure with Pay Per Click. Investors that get into Pay Per Click expecting to get by with a $500 budget per month are not likely to get much of anything but anxiety.