ServiceSeeking.com.au will be running research experiments over the course of the year to measure the Return On Investment of different forms of marketing available for local businesses, and compare to the ROI of ServiceSeeking.com.au. We found a few businesses around Australia to be willing participants, and we’ll pay for their advertising costs and measure the […]
Please note that the price information in this article was based on data from 2015 and may now be outdated.
ServiceSeeking.com.au will be running research experiments over the course of the year to measure the return on investment of different forms of marketing available for local businesses and compare it to the ROI of ServiceSeeking.com.au. We found a few businesses around Australia to be willing participants, and we’ll pay for their advertising costs and measure the results.
We found a Handyman in Melbourne, a Gardener in Sydney, and a Plumber in Brisbane, none of whom use ServiceSeeking.com.au.
Local Paper Ad
We thought it was a good idea to start with the local paper as this is a common form of advertising, so we booked some Ads in the local couriers for our three businesses. Each Ad ran for four weeks and, on average, cost about $100 each. We tracked how many calls were made, how many of those calls were actually leads, and how many of those leads became jobs.
In the table below, you can see the number of leads they received; the jobs won, the hours worked on those jobs, the profit made after expenses and the hourly rate that converted to. Then, you can look at the cost of the Ad and see the Return On Investment.
As you can see, the performance of these Ads was not favourable for any of the businesses. Not only did they waste their time setting up the Ad, but they were pestered by calls from Marketing Agencies who saw their Ad in the paper.
On the other hand, if you win $1,000 worth of jobs on ServiceSeeking.com.au, you’ll only pay $100. Also, the Success Fee is capped at $330, so your Return On Investment will only increase for the larger value jobs that go through our website.
Clearly, we have found a winner with this experiment.
Stay tuned for the next ROI experiment: Google Advertising
Tim Veron,
ServiceSeeking.com.au
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