The simplest way to assess the success of your business is by looking at the money you bring in vs. the cash you are spending to keep the operations going.
While it is excellent to increase revenue, considering expenses is just as crucial to maximizing profit margins. The best way to maximize profit margins is by strategizing ways to decrease marketing costs, overhead spending, and other costs required to stay in business.
As we are wrapping up 2021 and getting ready for 2022, now is the time to evaluate your marketing strategy. Follow these essential tips to optimize your campaign results:
Keeping Your Lead Flow Active During the Off-Season
While it is tempting to cut marketing costs by pausing your spending on generating lead volume during the off-season, there are key benefits to keeping your lead flow going that can actually help you stay ahead of your competitors.
By keeping your lead sources turned on, you can continue to build relationships with the homeowners that are reaching out and hit the ground running in January when they are ready to get their projects started. In other words, you can take advantage of all the leads that do come in during the off-season, while your competitors are slowing down.
How do you keep your pipeline filled during the off-season? The answer: invest a portion of your marketing budget into a reliable lead generation provider. Lead generation services are a viable component to growth strategies that can help you reach more homeowners in real-time and scale your business.
For example, at Modernize, we are seeing a growth in homeowner demand for home improvement projects – this means that homeowners are requesting contracting services now to start their projects in January into late spring. With homeowners actively looking for help on a project, you have the opportunity to maximize your investment in lead generation services and reduce your marketing costs at the same time.
Find a Plan that Works and Stick with It
The age-old saying applies: if it is not broken, don’t fix it! This principle applies to your marketing campaigns. Even though digital marketing is constantly evolving, do not underestimate the power of sticking with a currently working for your company.
Do you have a strategy or campaign that is consistently bringing in leads to your website? Then there is no need to change the whole marketing plan. Instead, keep the original schedule and make minor tweaks and adjustments as needed. When you stick with what is working, it decreases the risk of increased marketing costs to test new, unproven strategies.
Focus on Customer Retention
One marketing principle always remains true no matter the industry: it is cheaper to retain customers than find new customers. Most home improvement professionals will agree they get a better return for their time and money when focusing on existing customer relationships. These ongoing connections lead to repeat business and referrals – helping your business thrive.
One strategy to decrease marketing costs and increase revenue is to focus on improving customer service. This step boosts homeowner satisfaction, which improves your business branding and creates more opportunities in the future.
In addition, genuine relationships allow for unexpected projects in the future, including service add-ons, new projects, and referrals when a customer’s friend or family member needs your services.
Even if you connect with potential homeowners who fill out a form but are not ready to buy right away, continue fostering that relationship to increase the possibility of a deal in the future.
There is still value in maintaining relationships with existing and past homeowners, especially in a high-price point industry such as home improvement and renovations. Finally, staying connected means maximizing your marketing investment by getting the most value from the leads you receive.
Modernize Home Services is here to help! If you want to get a great return on your marketing investment, talk to us about available lead generation services for home improvement contractors.