Transcript
Joe Troyer: Logistics we need to talk about and then we also need to talk about … So, logistics, like how we actually do it. The devil’s in the details. We want to flesh those out a little bit and we also want to talk about the sales pitch. You guys want this, right? You guys want me to teach you logistically how to do this so that you retain control. You get all the benefits of being a pay per call company, right? Get all the benefits of having this data benchmark and you know exactly how to pitch this. Guys, I’m leaving it literally all on the table for you guys today. This is it. This is fricking it, okay. This is my last 10 years in the business. Me taking everything that I’ve learned and literally cherry picking and giving you guys exactly what you need to do to build a huge pay per call company. Great. So we’ve gotten a lot of feedback. All right.
Joe Troyer: How many of you guys have sold yourself short on pay per call deals, right? You just didn’t know better. And so you went and sold the Roofer at $50 a lead and I just said 100. You went, wait, what? How many times has that situation happened? Quite a few, right? I am sure quite a few. In our mastermind it happened all the fricking time. It was normal to sell water damage when we first started at $100 a call. Throughout the mastermind that went to 150 to 200 to 250 to 300 to 350 to $425 a call. And people were buying.
Joe Troyer: You guys have to understand that you have to have a benchmark. So there was no benchmark. We were just picking a number that we picked out of the sky. Right? Like that was it. And that’s what everybody does. That’s not how you do it. You sell the test always. Not once. Not once in every location. Not once in every location in the niche. Right? Every fucking time. Okay. You have to sell that benchmark. The 30 days test. Okay. That is what you have to do that is sale number one. So that becomes your foot in the door offer. Okay? If the client does well with that, if they work out, if they pay on time, right? They pay Google. Their credit card goes through you like working with them. They’re not a fucking asshole. Right? You can stand them. You want to speak with them every month. They’re good people right then and only then you upsell them pay per call. Okay? So logistics, the way that we go about this is we own the account, the ad words account. Okay. This 30 day test that we do is on our ad words account guy. We do call only ads only.
Joe Troyer: Okay? Why? So this can help us pay less for a call. Okay? So that is definitely part of the reason. It’s not in every circumstance though. Some circumstances, we have campaigns that maybe they don’t do a ton of volume, but they do cost less. There is a CPA that’s lower than call only. So that’s not the full reason. Really, the reason is that we need zero landing pages. How many of you guys in here are fucking conversion rate optimization experts?
Joe Troyer: How many? I can tell you guys that I’m not. I suck at that shit. I really do. I can tell you guys what’s worked for me. Right? But at the end of the day, every time I go into a new niche and I go into a new vertical, you have a learning curve, right? And at the end of the day for local, let’s say that you have a 10 percent conversion rate on your landing page. That’s good, right? You guys will be happy with a 10 percent conversion rate, right? Give me some feedback in the chat.
Joe Troyer: Oh yeah, that’d be good. Okay. With call only, you’re only paying when somebody hits the call button. Now, that doesn’t mean that they don’t hang up right away. So you’re not going to have 100 percent conversion. Okay? But we could easily say that on like worst case scenario, that we’re going to have a 33 percent conversion. So when they hit that call button is when you get charged, right? One in three of those calls should be a qualified call. So do you guys want 10 percent conversion or three percent conversion? There’s still a lot of volume as well that you’re missing out if you only go after call only. Okay, but it’s the way to get calls coming and you don’t have to build out landing pages and it gets you calls quickly and it’ll be a decent CPA, which is good. You don’t want to give your customer like if you want to sell a roofer, you don’t want to show them a $300 CPA, right? You want to show them what’s appropriate Oh, it’s 150 bucks, right? It’s 125 bucks.
Joe Troyer: If you have to build out landing pages, it’s going to cost a whole lot more money than the way that we pitch this is we do the setup, we build out everything. We do the maintenance for the month, you as the customer, all that you have to do is cover the ad spend. We’re going to put our money where our mouth is. We’re working for free to prove to you that we’re good at our job.
Joe Troyer: Okay.
Joe Troyer: Yep. Andrew. So when we bring them on as a customer, we get their credit card information game. We put that into Google on behalf of the customer. So customer pays with a credit card. Awesome. So this is the logistics.
Joe Troyer: So every time you go into a niche, folks, you’re going to do this build out, okay? But once you do this build out once, you can basically copy and paste the entire campaign structure, ads and everything into a brand new account. When you go and you sell your next deal. So when you do your optimizations, when you build out a negative keyword list, when you’re running the account, right? It’s gonna get better. You can just keep using that same set of ads and campaigns structure over and over and over for each and every client that you bring on to do a 30 day test. So really you only pay for that setup one time. So let’s say that you don’t like ad words. You don’t like Google ads, you don’t want to. You don’t want to do fulfillment. And that’s why you’ve been buying all these shiny fricking objects.
Joe Troyer: No problem. You don’t have to here, okay, you need to find somebody to do Google ads for you though. Okay? So you’re going to have them do it for this first customer. Let’s say you go into roofing, you go into to roofing, you sell a customer a 30 day test, right? Which is easy. They’re just paying for ad spend or not paying you anything, right? Then you’re going to pay for the setup of the pay per call or call only campaigns via Google ads. Okay. There are zero, zero landing pages, so you don’t have to pay for that.
Joe Troyer: Makes sense. Give me a one if everybody’s on the same page. So maybe you’ll pay 500 bucks for the first one to be set up like really fricking well. Then when you go in a new location, all that, you’re going to do some bulk changes. I’m going to change out the geos and the targeting and the locations, right? I’m going to change out the phone number. I’m going to change out the website URL. All that stuff can be done in bulk and you can literally write out a process for a VA to do it in literally 15 minutes. It’s literally that simple.
Joe Troyer: So once they’re onboarded, are you still paying the spend with their credit card or yours? Great question, Lonnie. So once the 30 days is up, we’ve calculated the cost per lead. We’ve pitched them the new deal, right? They’ve accepted. Usually what we’re doing is we’re just locking the customer and at the rate. So if we come back and the rate is 125 per qualified call, we’re going to lock them in at $125. Okay. The way that we’re able to do that and still make margin is over time guys, our ads are going to get better and better. Our click throughs going to get better and better. Right? And we’re going to be able to bring down that cost. And so right out of the gate probably, we probably have a 20 percent, 30 percent margin right away just because of the optimizations that we’ve done leading up to that 30 day point, right? The CPA that we’re showing them is the aggregate for the 30 days not the CPA for the last week. Okay, so once they become a client, once they become a client, you’re going to move the billing to your credit card.
Joe Troyer: So that brings up an important point which is billing. Okay? Whenever you sell pay per call, whenever you sell pay per call, you should always be getting a retainer paid in advance. So you should be working like an attorney. When you go see an attorney, he’s not going to bill you hourly. He’s going to say, my starting retainer is $2,500. I bill at $150 an hour. When your retainer is depleted and there’s no money left after me billing you at my $150 an hour, I’m going to charge you at, I’m going to refill their retainer at $2,500. Right? We do the exact same thing.
Joe Troyer: Why? We do this so that we’re never in the rears, meaning our clients will never owe us money. We always have that retainer that we’re pulling from. Okay? I have seen way too many people get caught with their pants down and extend their client credit, credit, credit, and it just keeps extending, extending, extending, and it gets away from you as the entrepreneur because you’re not a bill collector and before you know it, you’re screwed. How do I know? It’s happened? I had a client walk on me for about 30 grand. Okay. Where basically they would pay for all their calls every week except for like two of them. Well, two a week, three a week, four a week, and just kept steadily growing and overtime, right? Them constantly being in the rears, they owed us roughly $30,000.
Joe Troyer: Okay. So you always, always, always bill with a retainer in advance once you actually sell them on the pay per call deal. Aaron Garcia said he’s still worried about local service ads. Cost per lead. Why does every local business owner that you know have local service ads? No.
Joe Troyer: Do most of them even know about it? No. And if they do, frankly, Aaron, what you want is you want the person that’s spending money everywhere and all that they want. Aaron Garcia is more. That is your best customer. I have a customer that spends money everywhere, okay, more money than you could even imagine on advertising for a local service business. It’s fucking disgusting how much money they spend. He’s my best customer. You know why? Because he knows his fucking numbers. There’s a benchmark. He knows how much it costs to generate a lead. He doesn’t care what the hell I do. As long as I hit the benchmark. As long as I hit his benchmark, he’s happier than a pig literally rolling in shit. That is your best fricking customer. So don’t be concerned about LSA.
