Calculating Your Marketing R.O.I – Understanding The Cost of a New Customer

When I speak to a business owner looking to run a marketing campaign, they generally know what they sell, for how much and in most cases what it costs to service/provide their offer or product.

The one question that stumps 90% of small business owners is “What is your acquisition cost?”

Sometimes I think the phone has disconnected due to the silence, other times I just hear “uhhhhhh”.

To make it simple for them I say to them:

“If you and I were in a room together and I said I have 100 clients waiting at the door with their credit cards ready, what would you pay to let each one through the door?”

The light bulb then goes off in their head, however many still don’t know that answer.

I then introduce them to my Marketing R.O.I Calculator to find out (see graphic below)


You’ll see on the graphic above, it all starts with what your average sale is & is it a recurring sale or a single sale?

If it’s a recurring sale, your allowance to acquire a new customer can generally be higher as you will make additional sales in months 2,3,4 etc.

The next step is to ask what your average profit is on a sale.

Then, to get a new customer, how many leads do you need? (How many interested people do you need to pitch your offer to convert into a paid sale)

Then from your marketing efforts, what is a lead costing you?

If you sell a product for $1,000 and profit $500, but you need 5 leads to sell that product and leads are costing you $30 per lead, your cost to acquire a new customer is $150 (5 leads at $30 per lead)

So, let’s go back to that imaginary room you and I were sitting in before, with 100 people waiting at the door and ask yourself.

If I make $500 profit from each sale and I can acquire a new customer for $150, how many times can I do that?

As many times as you can!


At LBD Marketing, we’ve helped thousands of businesses (big and small) generate high quality leads through Facebook & Instagram advertising.

We’d like to offer you the chance to chat with us for FREE!

Simply schedule a time in the panel below to see how we can help.

Read More


Local Area Marketing Using Facebook Ads

Local Area Marketing Using Facebook Ads

In an era where digital presence is more crucial than ever, local businesses are facing the ultimate challenge of staying visible and relevant. The brick and mortar establishments that form the backbone of our community and economy are at a crossroads, with the internet revolution reshaping market dynamics. This article dives into the evolving landscape of local area marketing, spotlighting Facebook ads as a powerful tool for local businesses to thrive.

Traditional Marketing Methods: A Quick Recap

Local businesses have historically leaned on a few key strategies to attract customers:

The Shift to Facebook

Why pivot to Facebook for local area marketing? The answer lies in the behaviour and preferences of your potential customer base.

As of today, the ubiquity of Facebook remains unchallenged, offering a vibrant space where a significant majority of consumers spend a considerable amount of time. For local businesses, Facebook represents the modern equivalent of a bustling marketplace or networking event, teeming with potential customers.


Spar Anna Bay

Let’s take the example of Spar Anna Bay and how they used Facebook Ads to drive impressive results. By providing the local community with a special offer, they were able to attract a significant number of leads.

In fact, Spar Anna Bay generated a whopping 298 leads, each including valuable information such as the lead’s name, email, and phone number. And the best part? They achieved this at a cost of only $2.18 per lead.

Case Study: 3 Key Steps to Success

Budget Considerations

The landscape of digital advertising continues to evolve, with costs and competition on a steady climb. However, a strategic Facebook advertising campaign remains a cost-effective option for local businesses. As of 2024, we advise a starting budget of around $600 per month, which equates to roughly $20 a day. This allocation is designed to provide a solid foundation for visibility and engagement, without necessitating a hefty financial commitment.

Ready to Explore Facebook Ads?

The terrain of local area marketing is continually shifting, urging local businesses to adapt and innovate. Facebook ads present a dynamic and effective avenue to connect with the local community, demonstrated by our Spar Anna Bay case study. Not only does this platform offer unparalleled targeting capabilities, but it also aligns with the modern consumer’s digital habits.

If you’re looking to harness the power of Facebook advertising for your local business in 2024, LBD Marketing is ready to guide you through every step of the process. 

Simply book a FREE Facebook Ads Consultation by filling in the form below.

Read More


Facebook Ads vs. Google Ads: What Is The Difference?

Facebook Ads vs. Google Ads: What Is The Difference?

In the digital advertising world, two giants dominate the market: Facebook and Google. Each platform offers unique opportunities and benefits for businesses looking to boost their online presence. However, despite the common aim of increasing visibility and sales, Facebook Ads and Google Ads have distinct differences that could make one more suitable than the other, depending on your marketing objectives. Let’s dive deeper into the main differences between these two powerhouses.

Platform Structure and Ad Placement

Google Ads operates primarily as a search engine marketing platform. It displays ads to users who are actively searching for keywords related to your products or services, which can be an incredibly powerful tool for capturing high-intent traffic. Google Ads are typically text-based and can appear on Google’s search results pages (SERPs) or on websites within the Google Display Network.

Facebook Ads, on the other hand, are part of a social media advertising platform. They use detailed user data to show ads to people who may be interested in your product based on their demographic, interests, behavior, and more. Facebook Ads can appear in various formats, including image, video, carousel, and more, across Facebook, Instagram, Messenger, and the Audience Network.

Targeting Capabilities

The targeting capabilities of Facebook Ads and Google Ads highlight another significant difference.

Google Ads focuses on keyword targeting, reaching users based on the terms they are searching for. This method is ideal for capturing potential customers who have already expressed interest in your product or category.

Facebook Ads allows for more granular audience targeting. You can target users based on age, gender, location, interests, shopping behaviors, and much more. This makes Facebook Ads particularly effective for building brand awareness and targeting potential customers early in the buying cycle.

Ad Formats and Creativity

Creativity plays a diverse role in both platforms:

Facebook Ads provide a wide range of creative formats including photo, video, slideshow, carousel, and instant experiences. This variety allows advertisers to deliver more immersive and interactive ad experiences.

Google Ads has historically been more text-centric, especially in its search network. However, Google also offers display ads, video ads on YouTube, and shopping ads, allowing for some level of creative expression beyond just text.

Intent vs. Discovery

At the core of the difference between Google and Facebook Ads is the user’s intent versus discovery:

Google Ads largely captures user intent. People typing in queries have a specific action or information in mind, making them likely more ready to convert or purchase.

Facebook Ads excel at discovery. They introduce or remind users of a need or interest they might not be actively searching for, effectively generating demand.

Cost and ROI

Budget and return on investment (ROI) factors may vary significantly between both platforms, but here’s a general idea:

Google Ads can be more expensive in terms of cost-per-click (CPC) due to the high intent of its traffic, which often leads to higher conversion rates.

Facebook Ads often have a lower CPC, but achieving a conversion might require a more substantial investment in creating engaging content and targeting the right audience.

Same Business, Different Look - Case Study

As you will see below, the Google Ad and the Facebook ad have the same offer for the same company, but look completely different.

The Google Ad is more keyword driven, provides shorter copy and is non-visual. It targets people that have searched for a gym/fitness related term via Google Search,

The Facebook Ad is more offer driven and very visual. It targets people that haven’t asked to see the ad, but match the audience profile of the advertiser. This means it needs to POP to get their attention.

Screenshot 2024-04-23 at 3.27.25 PM

So which one should you choose?

Choosing between Facebook Ads and Google Ads boils down to understanding your marketing objectives, audience, and how far along they are in the customer journey.

For targeting high-intent users ready to make a purchase, Google Ads may be the way to go. For businesses looking to increase brand awareness or target users based on demographic and psychographic factors, Facebook Ads offer remarkable capabilities.

In many cases, a combination of both platforms can provide the best of both worlds, optimizing your overall digital marketing strategy for maximum impact. Dive into each platform’s strengths, and consider aligning your campaigns to leverage these unique features for your business’s benefit.

The good news is that LBD Marketing offers both Google Ads & Facebook Ads as a service.

To book in a FREE Strategy Call, fill in the form below.

Read More


Likes & Comments Are Nice… But Leads Pay The Bills

Likes & Comments Are Nice... But Leads Pay The Bills

Engaging with prospects daily, I encounter numerous individuals eager to leverage Facebook Ads for lead generation. Those who’ve attempted Facebook Marketing often share a common narrative of disappointment. Inquiring about their strategy, the response echoes uniformly: “We consistently posted content, gained likes and comments, but unfortunately, no tangible leads or sales emerged.”

I feel it’s vital to distinguish the two philosophical approaches to Facebook Marketing that currently circulate:

Option 1: Post & Hope

The era of fruitful organic reach on Facebook is long past. Since adjustments made by Facebook around 8 years ago, organic reach plummeted; and as of 2024, roughly 1.52%-2.58% of page followers see organic posts. Facebook’s solution? Encourage businesses to ‘boost’ their posts for a fee, granting visibility to those same followers businesses painstakingly cultivated—often it involved running paid campaigns solely for page ‘Likes.’ Yet, boosting superficially addresses the issue and doesn’t assure conversions—the ultimate goal.

Option 2: Purpose-Driven Facebook Ads for Lead Generation

For businesses committed to securing leads, I recommend that the second option is pursued with rigor. Here, it’s about crafting a compelling offer, driving prospects to a curated landing page, and capturing their details for subsequent follow-up. Especially for service-oriented enterprises, Facebook holds immense potential for customer acquisition. Nevertheless, the art of selling remains within the follow-up process.

Embrace direct dialogue; don’t hesitate to request a contact number on your landing page, and take the initiative to call your prospects directly. An automated email sequence alone won’t suffice.

Evident Success: Case Studies

Let’s look at a few success stories as a testament to the effectiveness of a lead-focused Facebook Ads strategy:

Adventure Art Photography

Adventure Art Photography

Specializing in adventure photography, this business secured 949 leads at $6.48 per lead. They offer several photography travel expeditions as well as a camera settings lead magnet, and used Facebook’s precise targeting capabilities to reach an engaged audience.

Tradie Mate Pro

Demonstrating that Facebook Ads can thrive in the B2B arena, this business coach achieved over 2000 B2B leads at $6.79 per lead for a cost- and time-saving estimations lead magnet that resonated well with their targeted prospects.

Tradie Mate Pro
Boutique Style Homes

Boutique Style Homes

With an enticing promotional offer for tiny homes, they attained a click-through rate (CTR) of 4.47% and quality leads costing $7.12 each. This demonstrated the perfect alignment between their offering and market needs.

Want to duplicate these successes with Facebook lead generation Ads designed for your business? Schedule your complimentary Facebook Ad consultation here, or reach out to our friendly team at 02 8915 6229 for further insight.

Remember, while engagement metrics such as likes and comments provide a feel-good factor, it’s the leads—and what you do with them—that truly sustain and grow your business.

Read More


Introducing Messenger Bots – The 24/7 Sales Assistant

Introducing Messenger Bots:
The 24/7 Sales Assistant Your Business Needs Now

If you’re running a business, responsiveness can be the difference between closing a sale and losing a prospect to a competitor. But let’s face it, you can’t be awake and available 24/7 – or can you? 

….Enter Messenger Bots, your tireless sales assistant that works round the clock to engage leads, answer queries, and drive sales.

What Are Messenger Bots?

Messenger Bots are automated messaging software that simulate conversations with users on Facebook Messenger. They are designed to provide instantaneous interaction, delivering the right information at the moment it’s needed without delay.

They Never Sleep, So You Can

While you’re off the clock, Messenger Bots are just getting started. They provide immediate responses to customer inquiries, no matter the hour, significantly reducing response time – a critical factor in customer satisfaction and conversion rates.

A study by Salesforce indicated that 64% of consumers expect real-time interactions with companies. Messenger Bots make this expectation a reality.

What Does a Messenger Bot Look Like?

Using a software called Many Chat, we turn code like this:

image 1

Into a 24/7 Sales Assistant that automatically replies and converses with your leads.

image 2

A Messenger Bot can move beyond mere conversation. It can guide a user through a sales funnel, from learning about a product to making a purchase decision. Your bot can present product options, answer FAQs, and even process transactions, all within the chat interface.

Personalisation at Scale

The power of personalisation can’t be understated. Messenger Bots can use the data available through Facebook to deliver tailored suggestions and messages. Bots can initiate personalized interactions based on user behavior, resembling a top-tier salesperson who remembers every customer’s preferences and purchase history.

Reduced Overhead with Improved Efficiency

The cost savings are clear. With Messenger Bots handling routine inquiries, your human staff can focus on more complex tasks that require a personal touch. This efficiency not only saves on labor costs but also improves the customer experience by making information access virtually instant.

Key Benefits of Using Messenger Bots

  • 24/7 Availability: Your sales assistant is always on, ensuring no lead goes unattended.
  • Instantaneous Response: Instant replies mean higher customer satisfaction and trust.
  • Lead Qualification: Bots can ask pertinent questions to qualify leads before they reach your sales team.
  • Cost-effective: Cut costs on customer service without compromising quality.
  • Sales Processing: Handle transactions directly through Messenger, offering a seamless shopping experience.

Incorporating Messenger Bots is not just about keeping pace; it’s about taking the lead. Companies that adopt bots early are already seeing dramatic increases in conversion rates. A bot can answer over 80% of standard customer questions, according to an IBM report. Can you afford not to tap into that efficiency?

How to Get Started

Setting up a Messenger Bot doesn’t require a computer science degree. Platforms like ManyChat provide user-friendly tools to create your own bot without coding. However, it’s the strategy behind the bot that dictates success. Start with a clear understanding of what your customers are looking for when they contact you, and design your bot’s workflow to meet those needs efficiently.

Are you ready to set up your Messenger Bot and transform your customer engagement strategy?

Simply fill in the form below to schedule a call with our Marketing team!

Read More