How we generated $2.2 million in sales through SEO & Paid Advertising
In the past years, companies were able to use a single online channel like SEO or Paid Ads to drive growth for their business. Specifically, with SEO, the goal was to rank your site to show up #1 in Google and watch the traffic and leads pour in.
In 2019, the internet has changed and companies need to adapt in order to see meaningful results from their online marketing campaigns. When our client MojoTech, a custom software development company came to us with the goal of driving new leads through their website, we followed our own advice and create an omnichannel marketing plan that we could tie directly to the change in leads & revenue.
One of the first things we did with MojoTech was to create a market analysis to understand what strategies were working in their industry, and what tactics their competitors were using. One of the tools we used (shoutout to Ryan Stewart at WEBRIS) was a traffic forecast to identify the opportunity available using SEO as a potential channel for growth.
Additionally, we need to understand some business metrics so we can create our goals and understand the fundamental answer to the question “is what we are doing impacting the business?” The main metrics we identified prior to start are:
* How much does the average customer spend with your business? (Customer Lifetime Value)
* What are your gross margins when servicing customers?
* From the proposals that you send out, what is your close rate?
As an example, if a customer spends $10,000 over their lifetime with your business, and your gross margins are 80%, your true customer lifetime value is $8,000.
Now if for every 4 proposals you send out, you close 1 of them, then we predict that each new proposal you send out is worth $2,000 to your business.
Taking it one step further, if it takes 10 leads (whether that is via phone call, submitting a contact form, etc.) to send out one proposal, we now can attribute a value of $200 per new lead to your business.
Great, with that information, we know that if we can bring in new leads for less than $200 each, the campaign is profitable. Bringing in leads for $20 each would equate to a 10x ROI while bringing leads in at $50 each would equate to a 4x ROI.
Once we had our numbers set, we built out a high-level dashboard to track our results.
Our dashboard was meant to be a living document where we could test new channels and monitor the results on a bi-weekly basis. This framework allowed us to have an apples to apples comparison between experiments like:
* SEO vs Google PPC Ads
*Sponsorships vs Email Marketing
*Facebook Advertising vs Linkedin Advertising
Our KPI’s with MojoTech was #1 to drive quality leads online through their website, and #2 to increase their web traffic.
As you can see above, over a 12-month timeframe, we saw an increase of +93% in new users, and more importantly a +97% increase in new leads (501 vs 254 in the previous 12 months).
An increase in leads and traffic sounds great, but we really need to tie these numbers into real value for the business. So we went back and tied our leads to deals that MojoTech had closed, which ended up accounting for more than $2.2 Million in sales at an 8X Return on Investment.