Home Forums Starting your journey Oh no? $2000 / month for online marketing?

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  • #993188
    markyj
    Member
    • Total posts: 12

    I’ve just packaged up my marketing services I’d like to offer local businesses.

    I’d like to offer this to 3 local clients that I think would benefit. But I don’t know how to go about offering this to them. Sounds like a lot per month to me!

    The total cost is $2000 / month for the software + my time. Do you think local businesses would be happy to pay this?

    They get in return:

    • Website development, and ongoing management / improvements
    • Hosting and domains
    • Web traffic – through article writing and submission
    • Social media management + ads
    • Google Adwords
    • 1x monthly newsletter
    • 1x weekly in person or phone 30 mins strategy session
    #1190189
    Johny
    Member
    • Total posts: 840

    If I was your local small business owner, my first question would be:-

    Why would I want to pay $2,000 / m for that?

    #1190190
    markyj
    Member
    • Total posts: 12

    Thanks Johny.

    My answer would be – so you don’t have to do all that, but reap the benefits of having an effective online presence.

    #1190191
    Johny
    Member
    • Total posts: 840

    I still wouldn’t buy based on that.

    Not trying to be nasty, just offering a point of view.

    You are trying to get me to spend $24,000 pa for:-

    a) something I wouldn’t bother to do anyway unless I knew I was getting something out of it.
    b) benefits of being online – what benefits?

    You are trying to sell me things I don’t care about. What I care about is making extra sales. If you can show me how I am going to make more sales I may then be more inclined to buy your service.

    One of the areas I work in is in sourcing promotional products, and in a way your industry is very similar in one regard – that outcomes can be difficult to define.

    Those who sell promotional products to a customer often sell them on the basis that a company needs to be seen more, and therefore having your logo on a product allows your company name to be seen. You will get industry sources saying such and such is a good product because it is seen often and therefore is good. But that is often where it stops, and being seen doesn’t necessarily equate to additional sales.

    If for example I bought 1,000 pens and handed them out, if I get no additional sales as a result, then my promotion has been a bust.

    Can you see the similarities?

    You are doing the same. Buy my package and there are benefits. What you are offering is a service and unless you can at least offer me some indication of the potential to earn more than $24,000+, then what is the value I get from it?

    #1190192
    bb1
    Participant
    • Total posts: 4,485
    markyj, post: 223179, member: 47081 wrote:
    I’ve just packaged up my marketing services I’d like to offer local businesses.

    I’d like to offer this to 3 local clients that I think would benefit. But I don’t know how to go about offering this to them. Sounds like a lot per month to me!

    The total cost is $2000 / month for the software + my time. Do you think local businesses would be happy to pay this?

    They get in return:

    • Website development, and ongoing management / improvements
    • Hosting and domains
    • Web traffic – through article writing and submission
    • Social media management + ads
    • Google Adwords
    • 1x monthly newsletter
    • 1x weekly in person or phone 30 mins strategy session

    That’s $24,00 a year. What guarantee’s are you attaching to that? I need to sell a lot of products and or services above an beyond what I currently do, just to pay your fee.

    You are pitching at a small business forum, and yes some can afford that, but I am not sure how many would be in that ball park.

    Have you considered packages which suit the market you are talking to.

    #1190193
    markyj
    Member
    • Total posts: 12
    bb1, post: 223192, member: 53375 wrote:
    That’s $24,00 a year. What guarantee’s are you attaching to that? I need to sell a lot of products and or services above an beyond what I currently do, just to pay your fee.

    You are pitching at a small business forum, and yes some can afford that, but I am not sure how many would be in that ball park.

    Have you considered packages which suit the market you are talking to.

    Sorry you feel that way – definitely not a pitch. I’m a small business owner too, sharing some inside stuff on my business. :)

    Ah, the old ROI question. Might have to create s separate thread for that ;)

    #1190194
    Gizmo
    Member
    • Total posts: 731

    I would take google adwords out and adjust your price.
    As that should be customized for each client.

    Now would I buy that?
    Maybe depends on the cost, but I think what you need to be selling how how much time you are freeing up for the person so they can focus on doing their job or making more sales.

    Do some research and questionnaires and try and put a monthly hours spent on those tasks by an average client you are targeting.

    Hope that helps.

    #1190195
    John Romaine
    Member
    • Total posts: 1,104
    markyj, post: 223179, member: 47081 wrote:
    The total cost is $2000 / month for the software + my time. Do you think local businesses would be happy to pay this?

    Sounds to me like you’re either being hopeful they might, or you’re simply guessing they will?

    I’ve had clients that have paid me $2,000 per month for consulting alone and they’ve been incredibly happy with the value they’ve received. Most that work with me come back time and time again, or send referrals.

    These certainly aren’t small business owners though.

    markyj, post: 223179, member: 47081 wrote:
    They get in return:

    • Website development, and ongoing management / improvements
    • Hosting and domains
    • Web traffic – through article writing and submission
    • Social media management + ads
    • Google Adwords
    • 1x monthly newsletter
    • 1x weekly in person or phone 30 mins strategy session

    There are a million other service providers out there offering the same for a lot less. Besides, (and with all due respect) none of this really means anything.

    Having said that, you could charge $2,000 per month just by providing a high quality Adwords service – you don’t need all that other ‘stuff’.

    As said above, you should be providing a strategy that provides a solid plan that works towards an ROI.

    Look, I’ve been working in the online space servicing clients for a very long time, and have over 13 years experience, and I can assure you that firstly, no strategy call ever takes 30 minutes, and secondly, no small business owner is going to have a lazy $2,000 per month laying around to invest.

    You either change your pricing point or you change your target customer.

    #1190196
    Byron Trzeciak
    Member
    • Total posts: 422

    This is not meant to be rude Markyj but is this something you’re talking about for an established business or for a business that you’re currently defining and launching?

    I was given two pieces of advice when I started out that I’ve held very close to me:

    1. Know your process

    How long does it take to build a website?
    Will you host it and will you need to support the site if the hosting goes offline?
    Will you write the articles or will someone else? How long will it take to research and write or how much will it cost to pay someone to do it for you?
    How long will you need to review paid campaigns each week? Do you have enough time to test and trial better performing adverts and make adjustments for non performing campaigns?

    $2000 dollars per month sounds like alot of money but to do all of what you’ve said well and provide a return to the customer I think would be very unlikely.

    Know the exact process for each service, the time it takes and buffer for your worst case client scenario.

    2. Better to be great at something than average at everything

    Like others have mentioned you need to be offering significant value in order to charge the big coin. In order to create value and produce ROI you need to be doing something significantly well.

    If you spread yourself thin it means that you’ll be average at everything and a specialist at nothing. You might think it’s untrue but I guarantee you can’t keep up with someone that is solely focused on a single or handful of services only.

    Paid advertising is basically gambling if you don’t have the skills to manage a clients campaign. They’ll also be getting charged their adwords / facebook budget on top of this so realistically you’re looking for a 2.5 – 3k client per month. They exist of course but the more they pay the more you’ll need to convince them your worth it and you have proven results.

    #1190197
    bb1
    Participant
    • Total posts: 4,485
    markyj, post: 223196, member: 47081 wrote:
    Ah, the old ROI question. Might have to create s separate thread for that ;)

    No need for a separate thread on ROI, it belongs with your offering, a lot of service providers forget to mention ROI in their offering, but for your average potential client it is front and centre of their thought process. The first question I ask myself, and I am sure most other business owners ask is, Can I get my money back plus X percentage to make it a worthwhile investment.

    Just as an example I also sell online products, when I go to a wholesaler, I look at the offering, and my first thought is would my clients pay the price the wholesaler is charging me, plus a minimum of 100%, if the answer to that is no, I say NO.

    Even in my current business, when I go to a client they look at return on investment, in my case, will there property look up to the standard they want for the $’s I am asking. Its not a monetary ROI but its a tangible ROI in their eyes. Although having said that some look at the additional time they can spend at work, or sit in front of the TV. But it is still all a ROI in their eyes.

    For any most potential clients the ROI is number 1, 2 and 3 in the thinking process. Then throw in trust, experience, quality of the offering, etc.

    #1190198
    Stuart B
    Member
    • Total posts: 1,073

    They key here is you need to be able to demonstrate the value of that. If people don’t believe it’s worth $2k/mo then you won’t sell it.

    Maybe you should make some smaller package options so people can start small, gain some trust and then have the option to bump to a higher tier later when they’re comfortable and you’re getting good results.

    If you think it sounds expensive for a monthly fee, then they’re DEFINITELY going to think it’s expensive.

    #1190199
    Mischelle
    Member
    • Total posts: 805

    Hi,

    Stuart beat me to it :-) I would break down the package into smaller ones, and this will be easier for the small business owner to absorb and understand the benefits. I am a small business owner myself, and I could never afford that price and I don’t know a single SME that could afford $2000 a month, it is not sustainable for an SME.

    Break up the package examples:

    1 – Web Development & Hosting and Management $
    2 – Social media setup and tracking (self management after setup) $
    3 – Develop a full content marketing strategy that they can manage
    4 – Online presence fully managed $

    People will start with the web development, and maybe build from there . EG: a business may buy website and social media setup, then try to manage social media themselves for a while and then come back to you for support, you are then building a relationship with them.

    Also, the article writing is a bit of a concern for me, for articles to have high quality content, they should be written by someone in the field.

    I believe that a lot of small business owners do need help in this area and offering services is a great idea, so just re-think your packages and post back with changes :-) Hope this is helpful.

    #1190200
    PlanJapan
    Member
    • Total posts: 41

    No way. I just know no single person would be capable of performing all these services at a high level. For this money, I would expect an agency, staffed with people with different specialties.
    1. If I needed to build a website, I would find a web developer. I would expect it to be a one-off investment. Maintenance would have to be pretty cheap, and able to be done by anyone. I would probably want to look at hosting options myself, and would pay them directly.

    2. For Adwords, if I had the budget for that, I would go to an agency that specialises in it. It is a very complex product.

    3. SEO is a science onto itself. I love reading Quick Sprout blog, and recently there was an interesting checklist on what qualities to look out in a SEO specialist. “Writing and submitting articles” isn’t going to cut it. You would need to have an expert understanding of on page and off page SEO. Plus, the copywriting itself would need a considerable effort. It takes time to write quality content. I know, I used to run a successful niche blog. Each article took a day or two. I tried to write at a magazine level. The articles rated in the top 5 in Google. Are you trying to say you are a web developer, Adwords expert AND a great writer? I don’t believe it.

    In conclusion, find your niche and specialise in it. If it is building and maintaining websites, do the best websites around. Then advise the business on your preferred SEO and Adwords partners.

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