How much does it cost to do digital marketing?
The price of hiring a digital marketing company like The SEO Contractor will vary between agencies due to several factors unique to each agency. It is essential for you, the business owner, to understand these factors as well as understand the work that you are paying. Understanding whom you are hiring and the work they are performing will allow you to make a comfortable investment with your online marketing.
When you proceed to hire a marketing company, look at the age of the company, the size, their experience, and the data they audit for your business. When I refer to information, I mean the research data that the marketing agency does for you individually. Any decent agency will be able to look at your current marketing situation and share a potential ROI with you. Let's dive more in-depth so that you can understand how much you should spend, and please note that these price points are subject to our opinions as an experienced agency.
Why does the age of a company matter for pricing?
Since 2011, our digital marketing company has witnessed almost ten years of pricing for this industry. We started from scratch with no investments or loans, and in the beginning, we had to charge dirt low prices. Many new businesses struggle this way and often have to do low to almost free pricing. Extremely low pricing could hurt your company because corners could be cut or worse; you will begin to undervalue the marketing as the companies price grows. If the price is ever too reasonable to be true, so will the delivered goods.
Over the years, our company has learned how much our services cost us to achieve the needed results. We have also witnessed other companies approach with pricing. Our goal is to stay competitive within the industry without gouging. We also make sure to price our services based on the time, cost, and value of the workload and results. We know if we go below value, we will not be able to deliver the amount sold. For instance, for monthly SEO, any price below $500 will be tough to move up in search engines quickly. Customers who invest $1500 minimum per month, almost always outperform those paying less.
How does the size of a company affect its prices?
Companies can handle pricing three ways, low, moderate, or high. They could be a large company with lots of employees and overhead, therefore have to inflate prices. They could also be a small company with an ego who raises their price. Companies may have low or high expenses and still price their services so low that they attract a large volume of customers. I have noticed through the years that large companies with low prices burn through customers consistently. Small companies with low prices may have a hard time staying in business with more workload and less money. Many business owners have come to The SEO Contractor after working with one or several other agencies who have let them down.
I have also witnessed as some companies grew their customer base; they have become cocky and overinflated their prices. I have seen these types of companies once deliver a good project and get relaxed on their services while increasing rates. Digital marketing services are never a guarantee because it always depends on your company and the full marketing you are doing. We suggest talking with the agency and listen to them explain the work they will perform, the reports they will deliver, and the value of their service. If everything adds up and makes sense for both your budget and ROI, then go for it. Be wary though of too low pricing with high-value promises, be aware that higher prices could be okay, as long as the value is there to drive you a high enough ROI.
How does experience relate to pricing?
In business, the experience is significant. You may be very talented at delivering your service, but running a business comes with far more needs. When dealing with a more experienced company, you will, in theory, get a more experienced service. In digital marketing, you want to choose an agency who has the experience to get results. Results for your marketing means new customers. The question then becomes, home much would you pay for new customers for your business? Every business has a different priced product with various expenses tied to them. Your company may only need a few new customers per month, while others need many. For instance, if your company only needs a few customers to make high profit and hundreds of people search for your service, then paying a few thousand to reach them is profitable.
As a business owner, you will need this information from your potential marketing vendor. The marketing agency will show you how many potential customers they can get you in front of, which will allow you to gauge your possible ROI. From assessing your potential ROI, you can know that your investment has a chance of being profitable. An experienced company will be able to get you the correct information to understand your venture, and an experienced digital marketer should be able to deliver the best results. It is always best to go with your gut feeling when vetting your marketing agency and their prices. Discuss all that we have mentioned above to make a comfortable decision. One thing every experienced marketer will tell you is to not give up within the first few months. Marketing is about testing, measuring, adjusting, and staying consistent. Those who stick the course with marketing tend to have a track record of growth, while those who have given up have a history of complaining.
Why should a company show you marketing research first?
Before you invest in digital marketing, you should be able to assess your investment and get a decent idea of your potential return. If you were to buy a billboard on the side of the road, you would first ask two questions. How many people drive by this billboard each day, week, and month. Also, how are these people driving by, and what are there interests? The same goes for digital marketing, and an agency can show you data. For instance, what volume of people are searching your industry in your area in Google? Also, how large is the audience on social media interested in topics related to your services? The last thing you would ask would be the price to reach these audiences. If a digital marketer can answer these questions with research data, you can make a sound investment. You will know your customer potential reach, the cost to reach them, and the potential return on investment.
Contact The SEO Contractor today to discuss your digital marketing with our company. We will deliver your research and answer all your marketing questions.