Summary
Curious what ROAS is? I was too! (Actually I just had never heard of it, I only know bookkeeping acronyms). I had no idea until talking to Tellef Lundevall, owner of Accelerated Digital Media. ROAS turns out to be “Return On Ad Spend” and is essential if you’re running any sort of ad. Tellef shares how to find the right digital marketing approach (SEO, Facebook, Google etc.?), how to keep your mindset right as an entrepreneur, how to stand out from the competition and yes, how to get a sky-high ROAS. You can learn more about Tellef at https://accelerateddigitalmedia.com
Performance Digital Marketing offer various services:
- Maximize clients’ opportunity to find and convert online customers. Therefore, if a business has an online presence dealing with any sort of customer acquisition means or direct sales means online, they maximize those opportunities.
- Search engine marketing: covering Google, Bing, and Yahoo as well as social media marketing, like Facebook, Instagram, Linkedin, Pinterest, Twitter, snapchat.
- Website SEO (Search Engine Optimization), and website optimization services which ensures when a potential lead meets a client’s site, it’s in the right position to not miss any opportunity to acquire customers and sales.
If you are not a marketer or not familiar with digital marketing, what can you do?
It’s important for businesses to understand their financials and goals before diving into digital marketing. The reason for this is that digital marketing offers the advantage of measuring performance. While it’s not perfect, it’s pretty good. Depending on the business model, this can be a key factor in success.
Understanding ROAS (Return On Ad Spend)
When you’re a business exploring digital marketing, it’s important to take the time to understand the concept of “Return on Ad Spend” (ROAS). This metric can help you calculate how much you’re willing to spend on a product in order to generate sales and profit. For instance, if you have an eCommerce company, you should be aware of the margins of the products or product categories that you’re trying to market.
Some products operate at 50% margins, while others might be at 20% or even 5%. By understanding these numbers, you can get a better sense of what you need to spend in order to make a profit. It’s probably the easiest way to calculate the break-even point. If you are able to spend less or relatively less than that, then every dollar you make is profitability.
Where is the start point of an early entrepreneurial journey and tips and points?
When you get a positive result, you should remind yourself that you are only as good as your next lead, sale, month, and year. This is both humbling and motivating, as it encourages you to stay focused on the task at hand and make sure you’re doing all you can to generate the next opportunity. On the other hand, when you pour time and effort into a project and don’t get the result you wanted, remind yourself to focus on the things you can control. This is something that my high school basketball coach taught me and something I have tried to live by ever since. No matter the outcome, stay focused on doing all that you can and be proud of your efforts.
It’s great to hear that the client said yes to your sales pitch! However, in order to have the most optimal outcome, it is important to look at the details of your presentation. You can start by asking the client what their thoughts were on your deck, how you could have addressed their questions better, and how you could have improved your presentation overall. By doing this, you can gain valuable insights that can help you become a better presenter. Don’t let the highs of a successful pitch get you too high, and don’t let the lows of not doing as well as you’d like get you too low – instead, use feedback to help you become a more successful presenter.
Bad experience in business – Is it good to outsource your support team internationally?
Two years ago, Tellef attempted to create a model in which he could leverage the resources of Argentina, taking advantage of their higher level of education and more aligned values with their company. Although the margins were much better, the ultimate output they achieved was not as good as what they could have accomplished with the assistance of the Chicago team.
Balancing cost and quality is always a tricky proposition, but in this case, it would have been beneficial to select a team from the US to ensure a higher quality of work. By selecting a team from the US, you would have been able to access the best talent available.
What digital marketing companies can do to stand out from the crowd?
==> Find your sweet spot
First step is to identify who the competitors are, one with their pricing, one with the quality, another with their marketing strategy. Therefore, they should do it in a more creative way, then identify something that is unique. Can you have a unique selling point and do it better than other companies in the competition?
Getting your clients feedback and review
One reason that AMD is standing out is the references from clients. You need to have clients to have references, one important point is to reach out to clients to write reviews. Though this is not in the statement of work, but 9 times out of 10, they do it.