Digital marketing has become a pay-to-play game for any business who wants to be recognized online. Well, running a Google Ads campaign has the potential to send you the right people who exactly wants what you have to offer.
MATT COFFY: So we have again our midweek special guest. I've got Erica on today. Erica runs a lot of our ads and we're talking today mainly about ad words, but we want to bring up one special campaign: Hormone Therapy. We get asked all the time: how do I get my hormone therapy running and a lot of male testosterone campaigns out there are poor performing. We get tons of people coming to us. It is a very, very interesting story we've got here. So let's talk about conversions. We know that hormone therapy is super, super hot right now in some areas of the country where people are being exposed to the ability for male regeneration of energy and enthusiasm, yada yada. Erica talked to me about this because we've talked to so many med spas on this and we finally see conversions happening with a good set of ads.
ERICA BREINING: Yes. So Matt we are running a hormone therapy conversion campaign for this client out of Seminole, Florida. We just started this campaign in September and we have come out of the gate with record-breaking cost per leads for hormone therapy. This campaign has spent $376 and has generated 29 results so far with a cost per lead of about $12.97 which looks really great.
MATT: Right. And these hormone therapy solutions are usually one of two things. There's pellet therapy, but there's also some other circumstances around the pellet therapy where there's also secondary solutions. But these are, you know, multi-thousand dollar opportunities because there's, you know, it's recurring... they do have to come back. There is a, you know, one time, but the reality here is that a $12 lead for hormone therapy is substantially lower than what we see, especially in the paid ad campaign from a Google Ad word standpoint. That's what we really want to talk about is that we're going to be looking at a lot of Google Adwords, but let's just take a quick look at their ad set before we move on to the ad words about what we see, which is working.
ERICA: Sure. So the client has a really great video creative which I think is, you know, one of the secrets to the success. You know, it's really like a cute video if you watch it through. It has great call to action. You know, we're using terminology like "Feel amazing again". So we've done a really good job of getting an emotional aspect into the ad without violating some of Facebook's rules, which can be challenging. So I think that was the first thing. And then the second thing is that, you know, we drive them into this really great funnel. This landing page I think is, it's definitely the second staff as to why we have such a great conversion. So I'll take you through.
MATT: And the thing is that we do and can run ad words for this, but the competition is so intense on ad words that the cost goes through the roof for the leads. But if you have good creative and Facebook and you target the right audience, you can pull people through with a good landing page and a good creative. And it's a really good and exciting time for this particular technology. And this is something that's well needed in the market. That's an addressable asset for a lot of the med spas and aesthetic shops that mainly cater to females. This is like a whole other winning combination of having both parties come into the office. So there's a lot of opportunity here. So let's get onto the next one, which is looking at some of the ad words campaigns. Going to focus a lot in ad words today because we understand that I think people are concerned that if they don't spend enough in ad words, that they can't get any action from ad words. And I think it's really not that true. We have some ad words campaigns that are not super low, but low spenders that are actually doing really well. And this is a perfect example. Talk to us about this one.
ERICA: Yeah, sure. So this is a Cool Sculpting campaign. You know, one of the most popular body contouring services out there that's extremely well known. This client for the month of August, they spent $2300 and we generated 33 leads, including some of the phone calls with the cost per lead of around $76. And the amazing thing is that the conversion rate is 15%, which is extremely high for an ad words campaign. Also, CPCs are only around $11. Historically, you know, we've seen branded CoolSculpting keywords go as high as $30, $40 you know cost per lead over $150. So with, you know, strong optimizations and, you know, also there is less competition, you know, after COVID we are really seeing some strong successes right now.
Yeah. And from a register standpoint, you're looking at it probably the $20,000 of register sales out of those 30 convergence at a very minimum, because if they're going to convert about 50% of those to procedures, and even if they just do one application, which is about 400 bucks, that's your initial set. But they'll usually come back and these CoolSculpting customers can end up doing 4 or 5, $6,000 worth of procedures. So I think from a 10:1 ratio from a return on marketing, you're really looking at that as a basic benchmark. So the real good profitability here, real good opportunities for clients to see that, you know, with a very minimal cost per conversion here, which you know, we've seen these cost per conversions being the $200 range. Right now, they're $70. That's just an amazing. It's like one third the cost that it typically seems to be. And again, obviously, there's a lot of variables depending on where they are and what the country and what product they have in the market. But this tends to really support a growing practice by building a lot of positive revenue immediately and getting the cash register to ring. So really good story. What's the next one.
ERICA: Let's see. So next, we have Botox campaign. This campaign has been running up quite a while for this client which includes... so she has 206 web forms plus 43 phone calls on $19,000. You know, this is an all-time. This is a really long-running, highly optimized campaign. Cost per conversion comes down to around $50 when we are adding in the phone calls. The really cool thing about the Botox campaigns is that we know how to get the certificate with Google to run the word Botox. Not many practices out there have it. And if you have this certificate, I can guarantee you, you will be ahead of your competition.
MATT: Right. Because you can ruin the word Botox in your ads, but that's the minor part of this. The major part of this is that as you mentioned when you look at like say 10 medspas in your areas, only a handful will be able to sell Botox directly to the client on an ad word campaign. So that when someone types in Botox and they look at the ad copy, your ad copy has Botox in it. That person's eye goes right towards it. You convert higher. The trust figure's there. There's many, many, many challenges in getting medical certificates across many different aesthetics practices on different terms. It's not just Botox, but Botox is one of the hardest ones to get. M ake sure that you absolutely have the words in your copy so that the target for the person's eye is there. Now we know that a $50 cost per lead as well is a little pricey compared to our Facebook ads because usually at Facebook we're looking around $10.
MATT: So it's about five times higher. However, your conversion rate is really sky-high on getting these customers come through because they're searching directly for that term. They're coming into a landing page specifically for an offer. And we all know that you know, this is one of the most heavily traffic terms in aesthetics. The average customer could be 2 to $400 for the first session and have multiple sessions, usually four to six sessions. So just a $50 a lead that usually a 60 to 70% conversion in the store for a return on investment. You're looking at least four to five to one return on your money on this. So really good stuff. Really good stuff. Anything else on this?
ERICA: Oh. I think, you know, the thing that is important to know is that you know, although you know, the cost per lead at $50 may sound a little pie, you know, compared to Facebook, you know like you mentioned, this lead is that the bottom of the funnel, they're ready to do things... they're searching for Botox. So they're also a little more likely to do fillers and thread lifts and convert into a higher spending patient. So running the Google campaign is... I highly recommend, you know, if you want to have an edge over your local competition in this area.
MATT: Yeah. That combined with Facebook is kind of the best of both worlds. Cause then you're getting low cost, high quality, and combined between the two of them, you get a better yield for your dollar. All right. Let's take a look at one more.
ERICA: Okay. So this last one, this is an example of a more complex client. This is a franchise across, you know, six to seven locations. So we are running multiple campaigns and trying to optimize by location. And we have successfully, we are seeing conversion rates at 16% to 17% and some actually over 20% on the focus locations, which is you know, amazing for CoolSculpting. The overall cost per lead is only $46. So this campaign is really honed in and, you know, a huge success story for CoolSculpting.
MATT: Right. So I think what people have to understand if you're not familiar with conversion rates, you know, conversion rate is the person that sees the ad in Google. So they type in CoolSculpting near me, and then they click on the ad and they convert to a lead. And in most cases, conversion rates are typically around what, 3 to 5% at best.
ERICA: Yeah. Yeah. We would consider a really good campaign at 7 to 8. So anything above that is remarkable.
MATT: Right. I'm just saying like what we typically see is 3 to 5% when we take on a client and then we usually see good results around that 7 to 10, as you said, or 7 to 9 or 7 to 8. And then now we're seeing 20, you know, or 17 or 16 or 33, you know. Those numbers are just fantastic. And part of that I mean look, we're in a, somewhat of a scenario where I think there's a little spring back in some of these areas where they have not had the ability to get to these procedures before or maybe there's some pent up demand. But still, that is an amazing number for anybody. When I see a number like 20% or better, there's gotta be a really good profit margin there because that cost per lead is very, very low especially for, if you're talking about the cost per click, meaning the cost it does take for your person to get to a point where they can get that conversion.
MATT: That is going to be an amazingly low-cost lead especially for this time when we see so many different campaigns having challenges out there with trying to get clients in, and now we're showing really, really low cost per lead. And this is across so many different — we've got one, two, three, four, five, six, seven, eight different — locations, although one's not running. So you said seven. So I think that's really interesting to split that revenue or split that inbound lead, purchasing, or at least the purchasing of the ad sets. Split it so that you can get a good mix of different clients coming from different areas. Now, this is advanced stuff. And of course, when we work with a lot of single practices and you don't need to be this complex, we just need to sort of straightforward as we did on the first CoolSculpting example where we just went straight for a direct drive ad. Anything else on this?
ERICA: No. I'm extremely happy with this one. I think we're going to use this, you know, for our modeling other future franchises.
MATT: Yeah. And it does show the ability to diversify a lot of the activity when it comes down to, you know, using our ProfitEngines model where these are all going to separate locations with separate owners and separate strings of follow up mechanisms. So not only are we seeing the front-end with a low-cost input for the lead, but we're also having a good conversion ratio on the backend or we're sending up all the funnels in all the different scenarios for each location, each practice owner, each individual call center that's attracting someone to then get this into a paid cash event. Great stuff. I'm looking forward to seeing where we are in this next month. And we are again in September 2020. Erica, thank you so much for your time and see you the next month.
Great. Can't wait.