There are 307 million internet users in the United States, according to Statista’s 2022 report. That adds up to a lot of computers, laptops, smartphones, and tablets your products could be selling on. The pathway to those screens is digital marketing, but just like any business expense, it’s important to be realistic and scaleable in your approach. That said, is there really a “magic number” when it comes to digital ad spend? Yes and no – here’s what you need to know.
Determining Per-Customer Revenue
Start your digital ad campaign plans by using the information you have available to you: namely, roughly how much profit each customer represents. Imagine that, on average, your current customers each represent ~$100 in net sales a month. Now you have a ceiling for cost, and it’s up to you to determine what percentage of profit you want from that amount. Whatever is left on the other side of that division is an excellent starting point.
Factor in Cost Per Customer Gained
Forbes recommends starting your cost research by looking into CPC (cost-per-click) numbers on Google for your biggest keyword target. Find a word or phrase that best defines what you sell and use Google’s keyword planner tool to determine its projected cost. This will offer realistic spending goals-per-customer, which can then be compared with your revenue research to find a price target.
Trust in an Expert
Even with these numbers in hand, using that determined spend wisely isn’t always easy. That’s why, in order to get the best results from every digital ad dollar, it makes sense to partner with a firm that specializes in digital pay-per-click advertising. Not only will they be able to eliminate costly first-timer mistakes by leading the way, they’ll also be able to adjust and optimize your marketing approach as your business grows. This scalability will help your advertising approach move at the same speed as your business, ensuring you don’t accidentally leave behind valuable customers with an outgrown plan.
Why Are Digital Marketing Services Important?
While certain industries and products still rely on more traditional / analog forms of advertising, digital marketing is arguably the lifeblood of most modern business. Not only does a digital footprint establish, define, and entice your customer to engage and buy from you, it also ensures your competitors don’t bury you with their own efforts. It’s a way to be “always on” for your potential clientele – a billboard that can’t be driven past, a sign that never needs to be physically replaced or removed.
Digital marketing also helps you make the most out of your other marketing expenses, allowing you to showcase professional product photography, stellar SEO copywriting, and even viral mentions and press. An ongoing digital marketing presence a smart, efficient way to keep your company and your product line on the forefront of customer minds, as well as their discretionary income spend. If you’re ready to make the most out of your digital presence, contact Kick Digital Media today to get started on your business digital marketing campaign.