Is Using Google Ads for Lead Gen a Stupid Business Idea?

[homeriscool]

Hey Guys, I'd like your thoughts.

I have a website that dominates the local search in it's niche.

Top spot for GMB and serps.

However, the competition for Google Ads is insane.

There's that many people spending money on ads that my GMB and serp ranking aren't getting a look in.

So I dipped my toe into Google ads and pulled in 10 phone calls in 1 day (all for my client)

He was made up.....but I wasn't.

I was making less money per call or email and spending more time on Google ads when I could of been doing other things.

Some days my ad spend has been hammered and resulted in no leads. (probably competitors)

My thoughts are is this really worth doing?

Or should I move away from this business model and do something else?

Anyone else do this?

 

[693840]

A friend of mine does lead gen on Facebook, for physical products high ticket like car sales companies. He is doing very well, maybe worth checking that platform out.

 

[homeriscool]

A friend of mine does lead gen on Facebook, for physical products high ticket like car sales companies. He is doing very well, maybe worth checking that platform out.

thanks....sounds interesting.

So that's your friends business model....lead gen.

Does spend on FB ads?

 

[Gogol]

Not an expert, but how much do you get if a lead converts? Also, what is your average conversion rate (not talking about g ads but in general)? And.. how much is per click?

It depends. I have worked for some companies where this would have made sense.

Also don't forget that you can always tweak things up and optimise your spendings.

 

[Willyfish]

I would recommand you to stick to it a little long and trying to optimise your ads as much as you can. Google ads can be very very powerful when you test and lower your cost per acquisition, and DON'T forget remarketing bro. it's cheap as fuck.

 

[homeriscool]

Not an expert, but how much do you get if a lead converts? Also, what is your average conversion rate (not talking about g ads but in general)? And.. how much is per click?

It depends. I have worked for some companies where this would have made sense.

Hi, charge per phone call & email.

I charge $15 per call in my niche that's pretty cheap.

But I don't earn that if I have to use Google ads to generate leads.

My earnings are probable more like $11 profit per lead.

I could throw more money at Google and just have it ringing all day but its sickening giving all that money to the big G

 

[homeriscool]

I would recommand you to stick to it a little long and trying to optimise your ads as much as you can. Google ads can be very very powerful when you test and lower your cost per acquisition, and DON'T forget remarketing bro. it's cheap as fuck.

How do I go about remarketing? I'm just learning ads because lets face it.....it's a goldmine of traffic.

I'm wondering if local SEO is dead (in my niche)

The traffic is there but all of the ads are scooping it up.

 

[Gogol]

Hi, charge per phone call & email.

I charge $15 per call in my niche that's pretty cheap.

But I don't earn that if I have to use Google ads to generate leads.

My earnings are probable more like $11 profit per lead.

I could throw more money at Google and just have it ringing all day but its sickening giving all that money to the big G

How much is the cost per click you spent on g ads? What is the average conversion in general?

I am not trying to ruin your business btw lol. Just trying to do maths.

 

[homeriscool]

How much is the cost per click you spent on g ads? What is the average conversion in general?

I am not trying to ruin your business btw lol. Just trying to do maths.

CPC is about $1.10

its averaging about 4 clicks to 1 phone call or email.

and my landing page is highly targeted.....

 

[Willyfish]

How do I go about remarketing? I'm just learning ads because lets face it.....it's a goldmine of traffic.

I'm wondering if local SEO is dead (in my niche)

The traffic is there but all of the ads are scooping it up.

It's a little complex you have to add a snippet and it's basically there to follow people who interacted with the website already.

Generally the good way of doing it, is to use display ads, as a remarketing. You know when you go on a site and after that it seems that they harass you everywhere on internet? this is remarketing

$



I didn't do the installation myself, someone else did but you can find a guide on internet.

Quick little tip... it's when you remarket that it is a good opportunity to add urgency, scarcity, discounts or whatever you have in your digital strategy, your users know you already so they are warmer

 

[Gogol]

CPC is about $1.10

its averaging about 4 clicks to 1 phone call or email.

and my landing page is highly targeted.....

Hmm I think thats already a good rate (judging by your conversion), but I am sure it could be better. Do all phone calls convert (i am sure it doesn't lol)? It should be profitable for sure. If I was you, I would give it some time, and cap the budget per day to something I am comfortable with. Then I would let the campaign run for atleast 15 days if not a month.

 

[homeriscool]

It's a little complex you have to add a snippet and it's basically there to follow people who interacted with the website already.

Generally the good way of doing it, is to use display ads, as a remarketing. You know when you go on a site and after that it seems that they harass you everywhere on internet? this is remarketing

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View attachment 169897

I didn't do the installation myself, someone else did but you can find a guide on internet.

Quick little tip... it's when you remarket that it is a good opportunity to add urgency, scarcity, discounts or whatever you have in your digital strategy, your users know you already so they are warmer

 

[xStewie]

Facebook is the leader for cheap lead gen. Yes, you can do google ads, but I would recommend putting the Facebook pixel also so you can do remarketing on Facebook (cheap as fuck) to those who didn’t convert, and you increase chances and conversions, just test it. You will have to add one pixel to the main page and the converted event whenever someone clicks call or inserts the email, then you just filter on Facebook, testing testing

 

[Willyfish]

Yeah I spent months to understand what I explained to you in 2 minutes haha

 

[homeriscool]

Hmm I think thats already a good rate (judging by your conversion), but I am sure it could be better. Do all phone calls convert (i am sure it doesn't lol)? It should be profitable for sure. If I was you, I would give it some time, and cap the budget per day to something I am comfortable with. Then I would let the campaign run for atleast 15 days if not a month.

Most do convert and if my client gets sales calls or cancellations I knock them off his bill.

Its a good business model but if competitors are clicking on my ads then it can end up cost YOU money.

So it's a little dicey......

You have to be able to afford to lose money by testing this and see if its worth it.

 

[Gogol]

Most do convert and if my client gets sales calls or cancellations I knock them off his bill.

Its a good business model but if competitors are clicking on my ads then it can end up cost YOU money.

So it's a little dicey......

You have to be able to afford to lose money by testing this and see if its worth it.

Yeah. Competition is the biggest fckin problem with ads sadly. That's why you should have a cap on daily spending. Otherwise, it may come back and bite you really bad.

 

[homeriscool]

Facebook is the leader for cheap lead gen. Yes, you can do google ads, but I would recommend putting the Facebook pixel also so you can do remarketing on Facebook (cheap as fuck) to those who didn’t convert, and you increase chances and conversions, just test it. You will have to add one pixel to the main page and the converted event whenever someone clicks call or inserts the email, then you just filter on Facebook, testing testing

Think I will try this....thanks

 

[Tommyman]

Do you redirect the calls to your client or are you getting on the sales calls and close on their behalf?

 

[homeriscool]

Do you redirect the calls to your client or are you getting on the sales calls and close on their behalf?

I redirect to my client.

 

[homeriscool]

Yeah. Competition is the biggest fckin problem with ads sadly. That's why you should have a cap on daily spending. Otherwise, it may come back and bite you really bad.

yes competition is the problem.

The competition click on your ads trying to spend your daily ad spend limit so your ads disappear and there's stay up.

I cant bring myself to do this to my competitors I just think it's bad business.

and there's no way of knowing who's doing it.

I spent $30 the other day as a test and got loads of clicks but no leads.

I'm sure it was competitors.