Hello hello!
In the previous video, I walked you through the "advertising flowchart" that helps you diagnose your ad performance, and determine whether you should keep your ads running, or change them up.
Before moving forward with the training, I do have to give you a heads-up that the flow chart I walked you through is not perfect.
When it comes to advertising, there's nothing absolute.
To explain this, let me give you a few examples:
Example 1:
We've had businesses for whom $17 leads would be an expensive lead most times during the year. This is because most times throughout the year, their cost per lead stays around $6 - $12 per lead.
However, there are times during the year that for this business, their business slows down, and the cost per lead usually increases really high. During these periods, their cost per lead goes up to $20-$30 per lead. Sometimes their cost per lead goes up as high as $40 per lead. Sometimes, during this period, we managed to find ads that work well, and their cost per lead comest down to $15 - $17 per lead.
During this time of the year, $15 - $17 per lead is a great cost per lead, and it is a sign that the ads are performing well.
The lesson here is that sometimes the flowchart tells you that the ads aren't performing well and that you should change the campaigns, when they are performing well, and you should leave them alone.
Example 2:
Another example of this Flowchart not being perfect is small towns.
When it comes to advertising on Meta, the larger the audience that you can target, typically means that the cost per lead is cheaper.
This is not always the case, but often, businesses in smaller towns might have higher cost per lead than businesses in larger cities.
This happens for many reasons. The obvious reason is that, usually, if you live in a small town, the pool of people who would potentially be interested in your business is smaller than if your business is in a larger city.
Again, this is not always the case, but we've seen this happen.
What this means is that $15 leads might be considered expensive in a large city, but might be considered to be really cheap in a small town.
Some of our small-town clients regularly see $15-$20 leads, and that is normal to them.
As a side note, the leads in a smaller town will often be of more quality than the leads in the larger city. So, they still manage to make it work, even at the higher cost per leads.
So, depending on the time of the year, or the population size around your business, you might find that sometimes you'll need to ignore the flowchart.
Conclusion
Ultimately, you have to know your business. If the flowchart tells you to change something, but you know that for your area you are getting great results, then feel free to ignore the flowchart.
At the end of the day, you should focus on return on investment.
The thing that matters most is: "Are your ads helping you sign up more students, and making you money in the long term?"
If the answer is yes, keep the ads running!
Also, I say "in the long term" because if it costs you $100 to sign up a new student, and you make $100 when they first sign up, you initially don't make any money.
However, if that student stays with you and refers their friends, that's when you start making money!
With all this said, if your ads are not performing as well as you would like them to perform, in the next section we'll show you how to diagnose your campaigns to identify areas of improvement.
I'll see you there!