Are display ads overrated? Display ads and pay-per-click (A.K.A. PPC) are useful at driving traffic but may not be converting leads once they get to your website. In this episode, Spencer talks about why content assets may be a better investment.
For reference, display ads are ads on Google and elsewhere you pay for each click on said ad, which links to your website. Content assets, on the other hand, are pieces of website content (such as blogs) that continuously drive traffic to your website once they are active.
Spencer gives an overview of how these facets of digital marketing work and draws a useful comparison between display ads and content assets from an investment standpoint.
Learn all about it here on Builder Funnel Radio.
- 0:40 Episode overview
- 1:36 NEW: Join the Builder Funnel Academy VIP list
- 2:58 How the topic of display ads came up
- 4:02 A few thoughts on "impressions"
- 5:51 Why your ad audience is less than perfect
- 7:27 How pay-per-click works
- 8:22 Why content assets are a better investment
- 10:47 Don't pay for every click
- 14:42 Being more critical of display ads
- 16:28 Spencer's takeaways
Full Episode Transcription
Note: this podcast was transcribed automatically and may contain minor grammatical errors and missed words.
Welcome to Builder Funnel Radio. Here you'll learn about how to grow your home building remodeling or contracting business. If you're not growing, you're moving backwards. So we want you to always be in growth mode. This podcast has really turned into a movement and community of people who want to grow personally and professionally. Here we bring you some of the best marketing sales and business minds in the industry so you can elevate your business.
Alright, let's dive into the show. Hey guys, welcome back to builder funnel radio. This is Episode 80 and another edition of the crow series. In this episode, I dive into something I'm very, very passionate about. We're gonna break down basically some different paid channels for traffic and the free channels for traffic. And I know a lot of you are probably investing in one or both of these areas. So I hope it gives you kind of a framework and a lens to think through if these are good channels and the right channels for you. We're getting a lot of questions around this topic and I'd love to keep those coming in. So go ahead and send those to radio at builder funnel comm we'll flag those down, we'll be able to respond to you. If you're especially after you listen to this episode. If you have specific questions around what you're doing for display or pay per click, or organic, we'd love to answer those for you. So stay tuned for Episode 80 on the growth series.
Hey guys, before we get into today's episode, I have some very exciting news. We're coming up on our 10 year anniversary here at builder funnel. And we've been hard at work on a new project. We're launching April 1, but you can get on the VIP list now to stay in the loop. So I'd encourage you to hit pause right now go over to builder funnel.com slash VIP builder funnel.com slash VIP. We're taking everything we've learned about digital marketing for the construction industry over the last 10 years, and we're making that available to you inside builder funnel Academy. Now the strategies, processes and tactics we'll be sharing in the academy have generated 10s of thousands of leads and over $100 million in sales for our clients. Again, if you want to stay in the loop, hit pause right now and go to builder funnel, comm slash VIP. Our goal with builder funnel Academy is to take all the trial and error the lessons learned and the victories we've had and deliver them directly to you so you can implement them in your business. Alright, that's all for now. If you didn't do it already, hit pause and go to builder funnel comm slash VIP. Get on the list. All right, let's dive into the show. Hey guys, welcome back to another edition of the growth series here on builder funnel radio. This is Episode 80. And today I wanted to dive into a topic centered around display ads and kind of pay per click marketing. And then contrasting that with content assets, things that you can build up on your website. And the reason I want to talk about I was actually on the phone with remodeler last week, he's out in the Midwest and was doing some display ads working with a company where they're basically saying, Hey, we're gonna put some ads, banner ads all around the web, we're going to display them on different websites. So you'll often see them on news sites, sometimes when you're on Facebook, but basically, they're just saying, Hey, we're gonna try to target your general area, your location, and then we're just gonna show some banner ads to that audience on various websites and they typically show you metrics around things like impressions. Now, I'm not anti impressions. Again, if you go back to Episode 72, I talked a lot about branding. So impressions are more connected to branding. But a lot of times when we're spending money on things like display ads, you go into it thinking that you're trying to drive traffic to the site you're trying to drive leads, and those will generate some clicks. But what I find is that most people that are clicking on banner ads, it's usually an accident, you know, you open up a website, you're browsing, you click on something, you're like, whoops, didn't mean to go there. And so I'm not a huge fan of display ads. And I've actually talked to a couple people in the last few months where they've been set up on some similar programs where, you know, you're spending a set amount of money could be hundreds a month could be thousands a month, and then the company will report and say you got, you know, 20,000 impressions this month and that's what you generated sometimes Have click numbers as well. But then that's where the numbers stop. And so all you know is that your ads were seen by a whole bunch of people. And then some people clicked on those ads and made it to the website. But then after that you don't know if they called if they filled out a form if they just left immediately. And so unless you have some tracking in place, or you go into your Google Analytics, oftentimes, you're not able to judge that channel very effectively. Is it working for you, is it not? Now again, if we go back to impressions, I'm not anti branding, but a lot of times when you have display ads running, you're reaching out to a cold audience. And so it's gonna take a lot of time and a lot of consistency for that audience to get some repetitions where they've seen your ad a number of times, and then they actually click. The other part of it is that you don't actually know just because you picked zip codes and areas that you want these ads to display in You don't actually know if any of those people are in the market for what you're offering. So, if you're selling new homes, if you're selling remodeling, you don't know if any of those people are actually ready. And so a lot of times, most of that effort goes out to an audience that isn't really in the market for what you're trying to sell. So I'm not a huge fan of display ads in general. Now, that's different from doing maybe retargeting ads that can act as display ads are showing up as banners or graphics and different designs. But if you're doing retargeting, that means people have visited your website and you dropped. You know, basically you have some tracking code on the website that knows Okay, these people visited your website, you know their IP addresses, and then your ads will follow them around as they browse the web. So a lot of times you may have seen this happen to you if you've looked at you know, pair of golf shoes or You know, some clothing item, you've been on a website, and then all of a sudden, that item seems to be stalking you around the web. So that's called retargeting. And it can be done in a pretty effective way, as long as you understand, like, hey, this person visit the site. And now I'm trying to basically brand myself and stay in front of them. And so I do think that that method of using some display ads can be effective. And then you've got just the general category of pay per click. So could be on Google AdWords or Facebook, where you're basically saying, Hey, I'm paying every time somebody clicks on my ad. And so with Google, you might pay for the term kitchen remodeler in Denver. So anytime somebody types in that, or they're located in Denver, and they just type in kitchen remodel or kitchen remodeling company, then you're showing up at the top of the search results. As somebody clicks it, you pay for that click whether that person fills out a form or contacts you or Not you basically said, Hey, I drove this person to my website, Google's going to charge you for that. So that's pay per click, I think that can be an effective channel. And that typically is a way if you need quicker results quicker activity paid is going to be your fastest path to getting that traffic just because you can turn on the dollars and turn on the traffic. But I want to contrast that for you today with something that I call content assets. And that is, you know, blog content, website content could even be social media content, you know, that you've posted primarily to platforms like YouTube that are part of a search where people can find that content going forward. Could be something like podcast videos, written content. But when you create that content and you publish it to your website, it now lives there forever. So it turns into more of an investment than a cost and an expense. So I typically think of advertising when you're spending dollars for clicks in the example of pay per click retargeting display ads, you put money in, you get traffic, if you want more traffic, you put more money in. So it's a very much direct relationship. On the flip side, let's say you put money in to have some blog posts written, you put money in to create some videos. Now those assets, the blogs, the videos, they're on your website, they're on YouTube. Now, when people go to Google, they can find that content, you're not paying for all of those clicks, individually, you paid to create the content. And you may even pay to distribute it, say, boosted on Facebook. But you don't have to, you can pay to create the content. Now it's published on your website. And now from here on, basically to infinity, people can find that piece of content. And so for us, we've been blogging since about two, three Thousand 10. And we have blog posts on our website that people are still finding that we wrote years and years ago, but they're finding them today. And so we're getting that traffic. And so as you can imagine, it takes some time to build up that content library of blogs of website pages, resource pages, videos, podcasts, all these things act and serve as content assets. And so as you create content on different topics, like kitchen design trends, how long does it take to remodel? What does the process look like? All these questions that people are googling and trying to find the answers to, if you have the answers in the form of content, people will find that content and now they're on your website. And so I really wanted to just emphasize this because paid is a great channel, but I like to look at it as a channel that the ultimate goal is to kind of wean yourself off of it if possible, because you can start To get a larger and larger return on your investment over time, because you're not actually having to pay for every single click to get that traffic to your website, you can continue to compound that. So as you can imagine, if you have five blog posts, or 10, blog posts on your site, and they're all getting five or 10 visitors every single month, you know, you're getting some traffic. But then if you've been blogging for a year, two years, three years, and now you have 50, or 100, blog posts on your site, all of those blog posts are pulling in traffic every single month for you. Some are going to perform a lot better than others. But on the average, you might be getting, you know, five or 10 visits a month from all of those and now you might be getting 1000 visits a month to your website versus 100 visits. And again, all those clicks aren't costing you for every single click. So your budget may remain similar or only increase a little bit as you continue to build more content, but the amount of people come to this And the amount of leads that you're generating will go up exponentially over time. And so I'm a huge proponent of building assets, make your website, your best salesperson, have it have all the answers to questions that people have. If somebody gets to this website, and they're thinking about a remodel, they're thinking about building a new home, they can find everything they could possibly want. And now you've got something that again, I think of it as kind of like an investment portfolio where you keep adding to it and adding to it and then it starts to really compound and the growth starts to really accelerate versus if you just again, go the paid route, you are always having to put money in to get traffic back to you. So the numbers can still work for you on the paid side, but it's typically going to be a higher cost per lead a higher cost per acquisition of your customer. And so if you can slowly work your way off of that or just have paid a smaller percentage of your budget, and then the organic side, those kinds And assets, then you're going to be in a really good spot moving forward. And it's a super sustainable model for lead generation because Google could raise their click costs next year, or in three months, or in six months, or maybe a whole bunch of competitors come into the market, or they just start spending on paid as well. Now you're competing with them, Google will drive the cost up because they're more competitive for those clicks. And so now what you thought was generating the number of leads that you needed, maybe now you're getting half the leads or three quarters of the leads, because the cost has gone up. Whereas on the organic side, again, you're not paying for those clicks. So that's not even a consideration for you. I'm
calling all builders and remodelers. It's that time of year we're gathering data for our state of homebuilder and state of remodeler marketing reports. This will be the final fourth annual State of builder marketing report and the second annual State of remodeler marketing report. Now, in exchange for five minutes of your time, we're giving away a $200 gift card for the winner. But everyone is getting some sweet bonuses after the completion of the survey. And we're also making it super easy to participate this year. So just text survey 233777 and we'll send you the survey link right away. Again, we're doing a $200 prize for the winner. And everyone that completes the survey gets some bonuses. So just text survey 233777 and we'll send you the link. I just wanted to kind of talk through this topic today. Again, it's come up a couple of times in the last couple months and and the conversation I had last week with with this guy really. I just got to thinking about it. I'm going Gosh, a lot of people are probably just getting sucked into paying for display ads because that's what The company pitches and they say, yeah, we can get you in front of all these people, we can drive some activity. And again, I'm just not a huge fan of display ads. I think retargeting and a more of a pay per click campaign on Google or on Facebook can be effective. But I'm all in on building up your organic traffic through creating content content that's going to live on forever on your website. So anyway, guys, I hope this was a good episode for you. I hope it at least gives you a lens for looking through and evaluating certain options. And if you are one of those companies right now, where you're investing in display ads, I hope you at least go look at that in more detail. See if you can figure out some more metrics behind it ask a lot of questions of the company. And maybe it's time to make a change because most of the time when I'm looking at these display ads, they're driving a bunch of traffic, but they're not getting any leads on their website. So that tells me that traffic is basically not converting and a lot of those dollars, if not all of those dollars are just going down the tubes. So I recommend switching over to building up your content library and your content assets to start building for the future and and really building kind of a moat around your business. Because if you start to create all this content, then you're pushing your competitors down in Google, you're going to be the one getting a lot of the traffic and again, that traffic is free traffic, which is the best kind. Thanks again for tuning in guys. I appreciate it. I would really appreciate a review that really helps us spread the word. We're trying to get a bunch of people to go on iTunes and just leave a quick review. It helps us again, spread the word but it also gives us some good feedback on how we're doing, how we could improve and what you like about the show. So thanks again. We'll see you next week on builder funnel radio.
Thanks again for listening everybody. And as a quick reminder, text Radio 233777 for some free goodies as a thank you for listening to the show. And if you got some value from today's episode I just asked that you leave us a quick review on iTunes. It really helps us spread the word and grow this awesome community of people who are working to improve their lives and their businesses. Thanks again and we'll see you next time on builder funnel radio.