Results
Client Overview
In January we took over their Facebook and Google ad campaigns. We focused on one location for this HVAC company and bringing in leads for their sales team. They needed leads (and fast) to help them get through the shoulder season – they were playing catch up from October & November.
Industry:
HVAC
Services Provided:
Google Ads management
Landing Page Design
Challenge
Our client operates in the HVAC industry within two states and specializes in mini splits but wants to expand their service offering.
The client came to Morgan Frame after a run of advertising with less-than-stellar results. Between October and November, they’d spent $25,126.44 on Google Ads that brought in 3 leads (conversions doesn’t equal leads), and $6,379.89 on Facebook Ads that brought in 17 leads. The majority of their projects were coming from Home Advisor – which they weren’t happy with.
Hi, I’m Matt Orlic
Founder of Qure Skincare & Inspire Brands
Working with Jure from Morgan Frame as our Google Ads media buyer has been transformative for Inspire Brands. He expertly managed our Google Ads accounts and implemented a strategic growth system tailored to our brand portfolio. His expertise in Google Ads management has significantly elevated our digital marketing performance.
Challenges
Google Dashboard
Facebook Dashboard
Going through the account, there wasn’t much for us to work with, so we started from scratch. Our main direction, and the advice we’ll give to you is:
Focus On Your Highest LTV Customers
Weirdly, we get a lot of resistance from prospective clients about this.
But to us, it’s simple math.
No matter what business you’re in, you have customers that are worth more (revenue-wise) than others – and HVAC is no different. We’ll build and include a LTV calculator soon to show you.
I used to run an HVAC company, and from the 25M worth of sales data I have from that company, ductless & boiler install customers tend to be worth the most. Luckily, this client specialized in ductless, so that’s where we focused our efforts.
With their previous advertising, they were focusing on all the services they offered. That’s a mistake.
If you don’t have a dialed-in advertising for each of your services, it’s a good idea to focus your time and energy on the customers with the highest long term value first, then expand to your other services once you get great at bringing in those types of customers.
Let’s go through the strategy by platform we were using to advertise for leads.
The Strategy
In our start-up meeting, we decided together based on their customer LTV, booking, closing, and ad budget what their target CPL was going to be. It’s the same thing we do with all of our clients. You can’t have a target with nothing to aim at, and our first priority was getting their lead cost down to our client’s target CPL.
But first things’ first, an account audit!
Campaign Structure
One of the biggest pieces to the puzzle when setting up your Google Ads. It might not sound like much, but how you structure your campaigns will play immensely into the results you’ll get from your ads. As it stood:
At first glance, the keyword structure looks like it makes sense. There were clearly delineated campaigns for estimates and repair. But once we dug deeper into the highest spend campaign, we saw:
How We Fixed It
We knew this client specialized in installing ductless systems, so that’s what we focused the majority of the spend on. The campaign structure looked like this:
All the campaigns were clearly built around a certain product & service. We mainly focused on driving installation estimates because:
- It’s the biggest “needle mover.” In September, we managed $2,906.65 in Google ad spend for a client and they made $89,658 in sales. You don’t get those kinds of numbers running service calls.
- You have to have great CSRs on the phones that know how to set appointments. And you have to have great techs that can turn a small repair into a larger ticket sale.
Among everything we did putting the campaigns together, there were two things that really brought everything home:
We built custom landing pages for almost every ad group. And we made sure that keywords inside of ad groups were bound tight to each others’ intent so every ad that showed made sense.
We wanted to have perfect congruence between our keywords, our ads, and our landing pages. Out of the 100’s of keywords inside the campaigns, there weren’t any ad groups that had over 12 keywords in them.
Keyword Sculpting
If you noticed during our audit of this account, there were a TON of search terms that were being bid on that weren’t relevant to the ads. And that’s true for 95% of accounts we look through – and we’ve done over 200 of these audits for HVAC companies.
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Results
- $3,697.83 (January) + $1,434.04 (April 18th – 30th) = $5,131.87 in ad spend
- 42 (January) + 36 (April 18th – 30th) = 78 leads
- $22,478.59 (January) + $28,490.76 (April 18th – 30th) = $50,969.35 in lead value
- 6.07x ROAS (January) + 19.86x ROAS (April 18th – 30th) = 9.93x ROAS
And just so you know (and so we look better), their actual sales were 2-4x (closer to 4) their returned lead value.
From February to April, the company they partnered with spent $11,635.41, brought in 36 leads, and brought in a total of $28,476 in lead value.
Our question to them was would you rather have $70,743.29 (based on the initial ROAS from January), or $28,476 (their lead value)? Yes, their retainer is $600 per month, but it’s costing $42,267 (minimum) in lost revenue.
Usually within 90 days, we’ve been able to bring most of the campaigns we work on above 12x ROAS (on average) and get them to be a well-oiled lead machine. But, our client decided our retainer was a bit pricey (at the time) and they sought out a different company.
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Let’s Grow It!
Drop us a line and let’s get create new value.
