Reasons why traditional advertising agencies are not efficient in obtaining ROI
Written by Esteban Di Chiara on Jan. 12th 2019
What is ROI? Return on investment is the profit you get from making an investment by, say, either hiring a digital marketing agency or doing it yourself through digital media. Let’s assume you decide to go with an agency promising you a certain ROI. That is the first red flag; so RUN from those agencies that promise results in this form. It’s very simple: you get a positive ROI when you convert sales; and unless the agency is picking up the phone in your office and running your business, they can promise squat. You see, 50% of the work is getting you the right leads (and this comes from the agency); but if you as business owner don’t put in the work it takes to convert those leads into paying customers, you simply don’t get a return on your marketing efforts.

Let’s go back for a second and dissect that 50% agency effort that gets you the right leads. Did you know that 95% of agencies fail to get results because 95% are comprised of someone who decided to open an ad agency because he or she once had some results with a Facebook campaign. Now, there are very good agencies out there, and they are pricey because they need to optimize their campaigns by split testing or increase ad spend by targeting broader audiences that translate in one very important result. This comes down to pressure on ROI. The more money you spend, the more expensive is the lead, which influences your return directly more than anything else.

The heart of the matter is targeting audiences, and the best agencies do everything they can to reach them? Online platforms like Facebook and Google charge by impression, meaning how many times they SHOW your ad to your audience; and believe it or not, it is not always the audience you or your agency chooses. Yep, you read that right. What many people don’t understand is that Facebook algorithms make decisions on their own, accounting for 90% or even higher of how they place your ad and to whom they choose to show it. If an ad agency is not optimizing your ad and showing it to right people, this will increase your cost per impression and, therefore, your cost per lead.

Here is where our software comes in and advertises only to relevant people. Why? Well, because it is looking at what you are selling and can optimize your ad spend better than anyone else. That translates to less pressure on your ROI; and if you convert efficiently, those leads will not only dominate your marketplace, but will also crush the competition, giving you the ability to grow your practice to reach your goal.

Esteban Di Chiara 

Esteban helps Personal Injury Attorneys grow their business. He is an expert at helping Attorneys get clients using the latest technology available with a proprietary data-driven marketing system. If you're interested in using in-market leads strategy to grow and scale your practice then definitely reach out and request a free breakthrough session today.
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