Advertising Budget

Discussion in 'Business Operations' started by jequigle, Oct 9, 2012.

  1. jequigle

    jequigle LawnSite Member
    Messages: 236

    I did a search and could not come up with anything. I am going into my 3rd year and am looking to spend some money on advertising. I am looking to do some postcards and probably will be spending around $3,000 to $5,000. I already have a website which pops up as the first one when searching my town.

    Question is, How much do you all spend on advertising each year?
  2. ptjackson

    ptjackson LawnSite Member
    Messages: 211

    Were you going to use the "every door" campaign, or presort bulk option? Lots of people have done direct mail so as long as you knowing the success rate helps a lot. Trying to Acquire new customers is always a challenge. I had a guy tell me his costs were between $25-$40 in advertising for every new customer.
  3. Premier GreenScape

    Premier GreenScape LawnSite Member
    Messages: 33

    I want to know what the guy who's average cost is $25-40 per customer. Even though I am low cost on acquisition right now, I would gladly spend that for maintenance clients.
  4. jequigle

    jequigle LawnSite Member
    Messages: 236

    I have a few options and I know return on postcards is usually 2%-3%. I can either do 10,000 postcards with saturating a carrier route or I could get a list with targeted or specific search demographic which increases the price. Last year I did the postcards myself, made up the mailing list from areas I knew I wanted to get into and then paid for postage and postcards and after it was all said and done I was in for about $.50/ postcards which I found was very high. Was going to try something different this year to get the cost do and to increase the amount of postcards I send out.
  5. Mowmoney2013

    Mowmoney2013 LawnSite Member
    Messages: 8

    Advertising is not a cost but an investment! Try YP which is part of at&t. They're direct mail program has heavy filters to increase results plus postcards very professional. Think of it this way, if u send postcard on carrier route with post office your sending those to apt complex renters, maybe home renters ( which isn't always ideal) and all kinds of demographics/ages. They can send them to homeowners making certain income, certain age, and realize they of all people would have most accurate records.

    They have Internet advertising, and I'm here to say print display ads work, I'm used them and seen the results. They even have tracking on des to prove it!
  6. nealster

    nealster LawnSite Member
    Messages: 20

    Most marketers/advertising agents/sales people will tell you you advertising budget should be 4% of your gross sales each year. It is an investment not an expense, unless you are not picking up new clients. Each location is different, what works well in one area may not be good in your area, so be careful. Direct mail is the most cost effective, becuase you can narrow down the criteria for the type of client you want to reach. But just becuase the direct mail is reaching the prospective client doesn't mean they are taking the time to read it or look at it. So what ever adterising you use has to grab thier attention immediately, this may involve being in the top 5 or 10 positions in the handouts, which might cost more money.

    I have always relied on growing my business via referrals from existing clients. It is a slow and sometimes tedious process but it puts you in contact with the types of people you are already doing buisness with. Let your existing clients know you are wanting to pick up new clients. Your clients want you to succeed and grow. It would also be wise to join a property management group in your area. This puts you in front of area property managers, front and center, and gives you the opportunity to market your business to the decision makers in the commercial property arena. You may not get the premier property right off the bat, but it gets you in the door and all it will cost you is a membership fee and some time after work socializing.

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