Local Market Monopoly Episode 7
How to Succeed with Facebook Ads for Local Businesses
Disclaimer: The transcription below is provided for your convenience. Please excuse any mistakes that the automated service made in translation.
Nehal Kazim: Everyone wants to make money, but there's levels of complexity to that. The way that works is you have to take someone who's never heard of you first engaged with your ad. Then from there, you have to get them to click on something. And then from there you get them to submit their contact information, and then it continues down your sales process, depending on what it is. And there's just friction points and that's normal.
Clarence Fisher: Oh yeah. Welcome back to the Local Market Monopoly podcast. My name is Clarence Fisher and I'm so glad you are here. Have you ever wondered what's the best way to use Facebook ads to get more leads and sales and grow your local business? Maybe you're wondering how do I know if they're working? What should you be looking for? Soon as you manage your campaigns in house or hire an agency? Well, Nehal Kazim from the he's the founder of ad pros stops by today to share strategies on how to do that. And much more. Hold on.
Clarence Fisher: Nehal, what's up, man? How are you?
Nehal Kazim: I'm great, man. Welcome to the show. I've been looking forward to this, like since you said yes. And I said that I would wash your jet. I've just been waiting. I wake up every morning thinking is Clarence going to miss me today? And, that was, Hey, so,
Clarence Fisher: You know, what's funny is when I said, Hey, I'll wash her jet. And then I had to be like, eh, I'll have your jet wash. I'm not going to be the guy for sure.
Nehal Kazim: Step one, outsource.
Clarence Fisher: Exactly. Thank you so much for taking the time out. I know, you know, you've been, I've seen that you've been on the road doing some pretty, some pretty heavy speaking with a digital marketer and those who don't know some like huge, they're not publishing, they're just platforms, the huge platforms in our market. But today, as I was thinking about Facebook ads, of course you are like the only name that comes up because we've worked together. And then on top of that, I mean, I don't know anyone that has so much experience, not only in the local, but actually like scaling somebody from or scaling these campaigns from just getting started to like, what's one of your biggest campaigns now that you're doing?
Nehal Kazim: Yeah. One of our bigger ones is about 300,000 a month in ad spend and they're doing about 700,000 a month in revenue. And about half of that is margin now. So
Clarence Fisher: Crazy. Crazy. So tell us a little bit about what you do.
Nehal Kazim: Yeah, so what I started doing was, you know, the, the market that you're speaking to when it comes to local marketing, that's where I really started. What I do now is primarily eCommerce companies where we work on a very scalable front end growth of companies. And for people who might not be familiar with the difference between front end growth and backend growth, the focus is how can you acquire a customer at the fastest rate possible to create momentum for your business, for whatever your front end product, your main product, that first, that people buy first. So that now you have thousands of people who are coming to your website every single day, you have leads, you have new customers every day. Then where all the profit comes is on the backend where you're doing product launches, where you're doing promotions, where you're just sending emails and letting them know that there is an offer. And what we've seen is that the focus on aggressive front-end growth leads to all the brought back and profitability that you want in work.
Clarence Fisher: Love it. So on a, you know, on a local front with local business, or like, how do they know? You know, they've heard Facebook ads, you know, you seem to be on Facebook and all that stuff. So like, how do they gauge if Facebook ads is really right for them?
Nehal Kazim: Yeah. I think it comes down to how Facebook plays a role system of your overall growth and the development of your business. Because I think there's so much focus on transactionally. If I spend a dollar, how much money did I get this month? If you're listening to podcasts, if you're in Facebook groups, you're just speaking to other people, everyone is telling you, here's how much money we're making with Facebook ads, or here are our results. But the reality is this is a long term approach and it compounds. And so we have situations where we're spending the same amount of money every single month, but in months, three and months for it actually becomes very like a lot more profitable just because we've been consistent with our advertising. And one of the challenges I've seen with media with local businesses is that there's a lot of inconsistency in how the money is spent because one day, one month you'll have a good month. And then the other month you won't. And so therefore let's spend less money this next month. So it's a lot of up and down when it comes to Facebook advertising and how much money is being spent instead of a consistent stable flow.
Clarence Fisher: I love that man. And that is so true, so much so that I don't know. I think it was a couple of years ago. We just decided that, you know, if during that intake call if we're talking and you're not ready to commit for at least 90 days, we really should not move forward. I mean, just because I think there is this thought of, I know Facebook's quick, same, ad-words quick, but there's just a stop at, Hey, I'm going to invest this now and I'm going to get it back, which, you know, you might, and we definitely want that to happen. But even with that, we have to optimize this stuff, you know?
Nehal Kazim: Yeah, absolutely. And this is like the same rule that we have in our company. So when you work with Facebook ads, there are so many opportunities to have breakout months and break out quarters or even break out years. And what happens is we've come into businesses. And one of the clients that I was sharing right before we started recording was that you know, we, not the account when they're managing $30,000 a month in advertising, this is a national account. And, uh, we're able to now scale them to a hundred thousand dollars a month in less than a quarter, just because numbers are working, their mindset is aggressive. And we can go into some of the nuances of how they're looking at, you know, the monopoly standpoint of like just dominating their market, then how to do that very, very quickly. They may be aggressive and they're looking to build and grow and scale in order to sell. And especially if that's the goal, it changes your whole perspective of how you make decisions on a short term and long term basis.
Clarence Fisher: Absolutely. So let's, let's kinda, let's move that way. So first, like what are the advantages of using Facebook ads for local businesses? Like some of the advantages, that a person might have in using it for that purpose of dominating their market?
Nehal Kazim: Yeah. So we speak about Facebook ads, it's Facebook and Instagram because I think it's important just locally. There are different markets that might have more people on Instagram. It's basically the same platform. And I think the biggest advantage is that that's where people are. You want to go where people simply are. And so if they're spending so much time on Facebook, on Instagram, it just makes sense to invest time there and, and be part of that conversation. That's probably the biggest reason. There's a reason where why like Facebook is having so many challenges from a legal standpoint and political standpoint and technical standpoint. And there are so many instability or art, but there are some million of media buyers who stick to the platform. And the reason is because it works. And the reason is because there are over a billion people on the platform almost every day. And so just because of that reason, it's just important to start there. Second is, you know, there's a lot of data that's integrated into Facebook. It's not going to track everything, especially with local businesses where you're not selling online. It's hard to complete that feedback loop, but what you are able to see is unlike most platforms and most forms of marketing, you can see the exact amount of people that you've reached. You can see the exact amount of people that have engaged and how that affects your, your business.
Clarence Fisher: That was great. I mean, it's fast as you know, everybody wants to be able to measure stuff. And I think people miss what you just said is that, I mean, you can drive offline sales as well with Facebook and, you know, especially like B2B. I think one of them, one of the myths that I hear a lot is that I know LinkedIn is big for B2B, but I think it was Dan Kennedy who a long time ago said, people are people like the CEO is a person, right? And so he's probably going to be on Facebook to a person that, that you need to reach. So, what's the advice that you would give someone who is brand new, starting out. I saw a stat, they hauled, it said that 82%, first of all, 62% of local businesses fail on Facebook. And like 82% of them have spent $50 or less.
Nehal Kazim: Right. Wow.
Clarence Fisher: So, and that was that's from Neil Patel who, you know, is like super duper research. And so what advice would you give someone who is saying, Hey, I want to use Facebook ads to literally dominate my market. How do I get started?
Nehal Kazim: Yeah. So there's two different like perspectives. You're I think one perspective is one perspective is just looking at the direct response, marketing of figuring out how do I spend a dollar and make a dollar or more in my advertising. And the reason that's important is that everyone wants to make money, but it's, there are levels of complexity to that. You know? And the way that works is you have to take someone who's never heard of you first engaged with your ad. Then from there, you have to get them to click on something. And then from there, you get them to submit their contact information. And then it continues down your sales process, depending on what it is. And there are just friction points and that's normal. And so there's like one approach, which is a direct response. And I like that approach because you get to dictate how much money you were making.
Nehal Kazim: What if you're actually close to your conversion events and what your return on investment, you can control your levers. You're not just going with the flow, so to speak. So that's the approach that will be taken with all of our clients and our campaigns. The other approach is that, especially if there's a long sales cycle for whatever your audience is selling, that's the approach is the monopoly approach. That approach is local domination from an attention standpoint. And this is something that a lot of people are talking about because it's not as, you can't track it, but there's a clear compounding effect that does happen. And that is with engagement ads and video ads to eventually get people, to raise their hand and make a transaction with you.
Clarence Fisher: I feel like we're going to reveal some of secret weapons here. I love it. You say a lot of people aren't talking about it and they, they are not, man. It's so easy to take a dream 100 list or, or whatever, and, you know, geo surrounded these folks and just put your content in front of them. But, and the direct response piece is, is awesome. I love that. So how would we go about, I guess, I mean, people can get the, I mean, you can Google all the how-tos or whatever. So the strategies, which is kind of what you focus on, like what's the, what's the easiest way to make those happen. So I guess if we pick, let's say direct response, what elements are do we need to have here?
Nehal Kazim: Yeah. So one thing, what I would first say is before we go into, like those moving parts, I think is important to understand a lot of people have probably tried Facebook ads and failed or felt that, that one of the accounts that I looked at, they were spending $60 a day and they just didn't know that they were actually successful. And that's such a big opportunity because what happens is if you're spending money and you think you're failing, or you hired a silver person, I mean, you think they're not performing and all these like different situations where you think it's not working, but it might be, that's the first thing I would look at because it's so hard to optimize something that you don't know what your numbers are, or if you don't know if it's working. And so whenever I'm going into businesses, I have to ask, is this working?
Nehal Kazim: And how do you know? And I stole that from Jay Abraham because he is really good at just analyzing these businesses. And what I'm looking at is how do you know if it's actually working. And so we can provide a sheet on our side, just for financial modeling, and that's basically plugging in your numbers for your sales process and seeing if your numbers are actually working and then what to do when it comes to the performance of your campaign and what the moving parts are. So the first thing is like, do you know if it's working? It's if it's not, how do you know? And then the next step is based on the steps that aren't working. What do you actually focus on? Because I think one of our strengths and one of the things that allow us to scale campaigns very quickly is figuring out everything we're going to ignore because you can't focus on everything. And so if you have a sales problem, better Facebook ads, aren't going to fix your sales problem. If you see if your sales team and your followup game and your offers are incredible, and they work on every single platform except Facebook now, you know, you have a Facebook problem and it's either the way that you're delivering your ads, either it's them, or the way you're targeting your ads or what you're seeing in your ads. There's a gap between what happens on the platform to the time that someone actually speaks to you.
Clarence Fisher: That is so good that I, I was going to ask you a little later about that, but I mean, its perfect time is like, my question, cause my question to you was, would be
Nehal Kazim: How, how do you know if you're winning or you're losing, you know, and that's, that's great. This is such an important question because for people who are doing, we're operating a business where they're actually living off of it, versus people who are building a business to sell the mindset on cash flow and growth and risk is so different. And so the person who is living off of the business and that's where most entrepreneurs like, you know, including myself, where my business is, my main source of income, like the core business, whereas in other markets, especially are part of a group or if you're building it to sell, or if you have multiple locations, that's the end goal. What you're optimizing for is it might not be cashflow. It might actually be your growth rate, or it might be your margin of the business, even though that has, that's not directly correlated to cashflow.
Nehal Kazim: It just depends on the numbers that are important to you. And so we have a client right now that he knows that when he hits a specific revenue number, what happens is this payment processing gets payment processing fees decreased by 20%, his cost of goods sold decreased by about 10, 15%. And then he has a lot of means of sales and other parts where he's able to negotiate future contracts. And so what we're seeing is that depending on how you're making your decision and what success is for you, that dictates a lot of your decisions. And I think the biggest trap here is seeing all these case studies and other marketers and maybe even other business owners saying, yeah, we, you know, we spend a dollar in Facebook and we get 10 back 20 back or whatever it, depending on how expensive your offer is, we've had offers that get 20, 30 X back, but it's a small number of ad money and ad spend like $500 a month. It's not like a crazy, crazy big number. And then also from the return on investment or return on ad spend, there's only so much of it that's profit. And so defining successes and not letting other people's headlines or a highlight reel of their life dictate your day to day operations is very important.
Clarence Fisher: I love that. So like, what do you think are some of the biggest? Yeah. What are, what are some of the biggest myths that kind of you've run across when you dealt with local businesses?
Nehal Kazim: Yeah. We can talk about all the way from the top, which is the Facebook ads and Facebook delivery all the way down to the bottom of the sales process, which is the closing and attribution of where sales are coming from. So from a delivery standpoint, I think the biggest, like on Facebook, I think the biggest challenge is people just don't know what's working and is so much based off of gut instead of numbers. So what we do is pixels are very important. So if you're not using pixels and setting those up to track your conversions, I think that is step one. So a big myth is just around tracking and what's actually important. So how many leads Facebook is showing is the right number of leads. That's a big challenge we had when we're working in this space and we continue to have this knowledge across any market really.
Nehal Kazim: But the opportunity here is how can I reconcile what Facebook is showing versus real-life leads that I'm getting. And that's just, you know, we can talk about some of the ways to do that. But one is around the first is what Facebook is showing, how many leads I'm getting versus real life. Second is from a business owner standpoint, especially if you're not following up with the leads yourself, you don't know how quickly the leads are being followed up with. And that's a big opportunity because leads basically decay. And the first time I really understood this mindset changed a lot of how we were looking at leads and lead generation and conversion of those leads because every minute, every hour, that elite is not followed up with it's losing value. It's losing interest. It's already looking for the next potential person to fix their problems or worse.
Nehal Kazim: They're going to just stay at a state of status quo, doing nothing. And so every minute or hour, that you're enough following up with them. They're just less interested in going to be less receptive to your offer. So that's number two that I've seen. And then number three, is anyone actually using scripts because, you know, from a business owner standpoint, you're doing your best to teach them and the method or the belief is that I'm going to my team follow scripts and they follow them to a team, but have you heard recordings of those calls or have you just listened in when they are on those calls and we'd seen the gap between the expectation from the business owner versus the reality, the receptionists following up with those leads and then who gets attributed, at the end of the day, it's our responsibility or the person who's doing the Facebook ads that is responsible for the results, but there's, you can see where all the steps can eventually break.
Nehal Kazim: And then the last at the bottom of the funnel is really of this whole sales process is where did that sales come from? I can't tell if it's from Facebook or whatever, that means the still didn't come from Facebook. And so Facebook must not work. And so all of those four, those are just fours. Like there's a lot more of nuance ones and all of those compound into just Facebook perceived being no that doesn't work, but I think it's just important to first look in the mirror, including like me and you, you know, we, we give ourselves reality checks all the time of just where are we at now and what can we work on to improve where we're at right now?
Nehal Kazim: That was one of the things that I was thinking about before we got on here is one of the things that I love about you is that ever since I've known you, you have not only kept it real with other people, but you keep it real with yourself. Like, you know, like you're one of the few people I know that is like, I suck at that. I, you know, I either got to get better than that or somebody else has to do that.
Nehal Kazim: You know that's crazy, man, to that point, like I just hired a sale, like a system and process coach. I'm a huge fan of coaches. I have a lot of people who have helped me and they come in and out of my life, I need them as I come across them. And the thing is a lot of people think I'm very good at systems and processes. There's always so much more. And I think it's still one of my weaknesses, so there's always so much room to grow. And it just depends on what the biggest opportunity in your business is right now, depending on who's listening to this. And if it's Facebook ads consume everything, Clarence is talking about messaging, reach out to him and see ways to collaborate. Because the reality is that there are ways you can always figure things out yourself is just, are you willing to invest the time and willing to delay what you want X number of months or years? And that's the thing I have a lot more respect for at this point where I'm just looking to buy time and I'm happy to have people who are way smarter than I are way more experienced than me to help me accelerate that process.
Clarence Fisher: Man, I do the same thing. And when I stopped, I think it was Russell Brunson. I think that had recently said stop. And he got it from somebody else, but find the who, not the how. Right, right. Start looking at, who can help you do this either faster or, because I think as business owners, I mean, we were just like, alright, you know, how do I do this? You know, I know I can go try to dig into it and figure it out. But you know,
Nehal Kazim: I think it's just very seductive to be in that state because we've done it so many times. You know, there's a problem. We fix it. We're professional problem solvers, but there are some problems. Like I think the way that I've been looking at this recently is that I have stubborn goals and everyone has goals that are just stubborn. Like for some reason, you've been able to accomplish a lot of different goals around this one goal, but the main goal isn't accomplished. And so for most people, if you ask them, what's the one thing that you hadn't been able to accomplish in the last year to three years that you've been focused on, but you haven't been able to, don't tell you without hesitation, if they're honest with themselves. And so for me, I have a couple, and just from a personal standpoint, like gaining weight was, was a challenge I had.
Nehal Kazim: So I got the right person to help me. And I've gained about 20 pounds, 25 pounds this year also because I've made that a priority and I got the right accountability to do that. And I still have 15 more to go, but that's what I'm, I'm working on it. And so there are people who can help you. I think it's the hardest part of that for me, has been just checking yourself, putting your ego to the side, and actually asking for help and knowing that it doesn't make you weak or it's actually a sign of strength.
Clarence Fisher: Absolutely man. And I've got 15 for you whenever you want it.
Nehal Kazim: So funny.
Clarence Fisher: So if you're a, alright, so you're, you're a local business owner, what are the fears that you have in tackling this whole Facebook thing?
Nehal Kazim: Yeah, I think the first thing is how do I know? Like I think the first thing is just like, what is actually going on? And there's usually a lot of fear with anything in your life that you don't know or you can't track, or you're just confused about, you know, when, when there's a gap between that, the natural thing is just like put it off like a, I don't know, I don't, I don't get it. Like we don't need it, pause it. And that's been the reaction we've seen. And you know, the challenge is how can you take emotions out of that decision making process through that discipline? And it's very hard. And so the first thing is like what's actually going on with our Facebook ads, whether you're spending $10 a day, $30 a day, or if you're even spending, because people look at Facebook ads and they're like, well, I'm spending money because you can control it so easily.
Nehal Kazim: If you look at other marketing and advertising channels that you're doing, you might be doing postcards, you might be doing magazines, you might be doing TV or radio or any other kind of like partnerships. Those are the lumpsums. You can't control the inputs or the outputs you can just control, sorry you can't control the process or the output. You can just control the input, which is your money. And then after that, it just either you get it back or you don't where Facebook is a lot different where you can control, you know, the actual inputs, but you can kind of control the process as well. And eventually you can see what the output is and adjust as you go. And the reason I bring that up is because when you're in, when you're doing Facebook advertising versus other platforms, you have a lot more control than you think.
Nehal Kazim: And at that point there's so much you don't control, but the things you could do control like the copywriting, your ads, like the creatives, like the videos that you use in your ads or the offers that you come up with, or how quickly you follow up with a lead or how much you're doing your best to actually sell them ethically. All of that is in your goal. And if you're doing your best and it's not working, then it's a time to really reflect, to figure out if Facebook ads isn't right, or you're doing something really wrong, whatever the case is. But usually what I've seen is that people aren't looking at the information or the data that's inside of Facebook, they're not trying to investigate and figure out what the opportunity is. And then they just quit so early. So I think a really good place to start is just first to figure out where are the things that without judging, without being aggressive with your team, or if you're doing it being hard on yourself, just where are things at right now, the good, the bad and the ugly. And then from there, you're able to figure out, okay, here are all the things I'm not going to work on. I'm only going to work on improving my images or videos that I'm using as well as my copy. Everything else will happen after that.
Speaker 1: I agree. I agree. And I've, and I think one of the things that you had mentioned earlier, I run into quite often, especially when you're using the domination approach, the positioning of this business, of this professional as an authority in that market. And it not being as trackable as the direct response piece that I run into some businesses that they say, you know, kind of like, Hey, you know, we've been doing this for a minute, let's pull the plug, but then they wonder like, okay, we just got slow all of a sudden, right? And it's because those numbers, like the numbers that we're looking at, as far as reach and engagement and, you know, Hey, they're really loving this content and then they're coming into the store, but we're not able to totally reflect that to your, your marketing person. You know what I mean? Who's not, who's not looking at the numbers the way we're looking at the numbers. I think that's a hard thing because as a business owner, you're saying, I need people walking in with this being right. And as the people buying behind here, making sure that when you walk into a restaurant, somebody says, Hey, that's the guy. You know, I watched your videos. You know what I mean? Like those don't equal the same thing to a business owner.
Nehal Kazim: And I think an important distinction also part of that is that whether you're spending $10 a day, we have clients that are spending up to 15,000 per day, that we all have the same challenge, which is that Facebook is dynamic and it's going to keep changing. And the only difference between spending dollars a day and making money versus spent $15,000 a day and making money is how you react to when things change because things are gonna change or the same type of offer, you had two other competitors might launch. And so now it's not unique or the way your audience was getting delivered, that successful audience, that one audience I was working super, super well stops working what changed. It's like you can't control that, you know? And so just being comfortable with being open-minded to it and ready for it. I think it's one of the hardest things when it comes to buying advertising on any platform because you know that it's going to change, how do you react that you know, is going to change when it does change?
Clarence Fisher: That's great. That's great. So what are some of the kind of little known pitfalls out there and common mistakes that you see that local businesses make? I know we've covered some of these.
Nehal Kazim: Yeah. I would say that especially right now with, pay ties and creatives, like in terms of images, videos, copy are such a big part of paid advertising when it comes to how often you're actually changing them. A lot of our clients have the same ads that they've been using and it works, but Facebook is rewarding new creatives. And that's really important to understand because the more that you're testing, the better that it helps. So they're not expecting 20 or a hundred new images every month or anything like that. But if things are working for you right now from an advertising standpoint, the thing to start with would be to exchange your image or video and see if that makes a difference immediately for us, that one of the biggest levers in our paid ads. So one of the biggest myths I see is people get comfortable in their creative and just don't change them.
Nehal Kazim: And then part of that also is that they create all the new tests or they lead the same type of creative that they relaunch. So what happens is that if you create a three-line copy at the top of the ad, and it's the same type of image with, for example, a mechanic in a car that might be your image type. And then when things aren't working, you're launching another three-sentence creative with another type of mechanic with a car. And it's like, well, if that's not working, it's time to change things up. And so I've just seen complacency around that. It's like that used to work. Let's just keep doing it. It's not working anymore, but let's just launch it once more of that. So that's what happens. And we see that pretty often.
Clarence Fisher: Alright. Cool.
Nehal Kazim: Yeah. That's one thing. The other thing is like there's a lot of new resources and a lot of new placements and a lot of new technology inside of Facebook that is available to people who are doing advertising media buyers. And the advantage of the local marketplace is that your competitors are being very ninja about it or investing a lot of time. So really go deep enough in order to figure out what are the opportunities. And that's the opportunity that you have because the, from a local standpoint, there's only so much that only so much money you can spend in a local market, but are you doing anything with messenger ads or with giveaways, or are you responding to people who comment on the ads? I've seen that such a big opportunity for, especially if your average order value or like the average lifetime value for the business is over 500 or a thousand dollars.
Nehal Kazim: You just want to start conversations and you don't know one engagement that was a year ago or last week or two weeks ago where people are going to buy today and all of that stuff compounds. And so I think just from a decision-making standpoint, I think that that's important. And just the last thing I would say is offers are very important. You know, an offer is not, here's the same thing or are normal prices come and check us out. A thing that we've seen that works really well is unique propositions for people to come in and make a buying decision today. And, and that's, that's a very big opportunity to get people, to try your business, to have an experienced and experienced, like, feel the business and see if it's right for them to continue investing depending on the offer that it is
Clarence Fisher: Cool. So what would you say is the best-kept secret out of all of this? Like the best-kept secret and Facebook, Instagram ads is what?
Nehal Kazim: For local marketing. I would say that it's video ads. I think it's one of the most underutilized things in a local market because people think it's hard or it has to be really good quality. There's a lot of myths around it and just the wrong beliefs around it, because I think it has to be so, so good. Some of our best ads look horrible. They are stock photos, or they're not like edited perfectly or whatever the case is. Like, they're not world-class productions. And when we actually do those world-class productions, like they don't always work. And so I think the biggest secret here, or the biggest takeaway is how can you integrate video ads into your advertising and use that because most of your competitors are probably not doing it.
Clarence Fisher: I agree. I mean, we use them like every day and, you know, being able to pixel people who view the video ads and then, you know, give them offers after that is just crazy.
Nehal Kazim: And it's, it's one of those things like as people who do Facebook ads, we see stuff all the time. So we just assume other people do it, but that's not the case. That's not the case.
Clarence Fisher: So as a business owner yourself, can you share maybe a story that you learned or something, a lesson that you learned early on that still impacts the way that you do business?
Nehal Kazim: So we have an agency that is our core business at this point. And one of the lessons that I got was how do I help other people get what they want in order to get what I want? And that still rings true, not only in, from an agency standpoint and from a client standpoint. So for example, we just had a conversation with one of our clients that they were spending $120,000 a month. We told them to decrease it down to $30,000 a month because things aren't working, most agencies would not recommend that they would just recommend keeping spending money. And the reason for that is because the more money the client spends, the more money they make. And so for us, we're in a longterm partnership mentality. And so I know that if I can help them get what they want, which is stable, consistent growth, while hitting their metrics, they're going to stay longer with me and they're going to do their best to make the partnership work.
Nehal Kazim: Even when the numbers aren't good. All of our campaigns are successful. All of the tests that we launched, aren't magically theirs. We struggle as well, and we have challenges as well. And so, you know, we spend 700,000 a month in advertising per month, but we still have so many challenges that we deal just like with any media buyer. And so when it comes to just helping other people get what they want in order to get what you want. I think one of the things that I've been really good at has been at how do I align with other people's goals that intern align with mine. And when it comes to media buying, especially from a business owner standpoint, if you're listening to this, there are other people, if your Facebook ads aren't your thing. There are other people who love to help you.
Nehal Kazim: They love writing copy. They love creating videos. They love staying in the ads manager and figuring things out and seeing if salespeople are following up or what's a new angle that they could come up with, or what can they test next? Or did I respond to that comment? Like they, they value that. And if that's not your thing, or you have other priorities, there are other people where can't that where you can align to their goals, which is to get skills and get experience and learn how to grow businesses. And they can help you grow your business through that process. And so just aligning other people's selfish interests with your own as a superpower,
Clarence Fisher: Love it, man. Find people who play at what's hard for you. Right? That is cool. So if before I let you go, I know there is someone listening right now that is like, Clarence, ask this, ask this. So what is the easiest way I know? Okay.
Clarence Fisher: I know it's crazy. What is the easiest way for me as a service to more customers right now? Like, what's the thing that you recommend that our listeners do after they are done listening?
Nehal Kazim: Okay. So the first thing I would do is there are people in your network right now that want to give you money and you just have not been good at asking for it. I've seen this over and over again, where the biggest opportunity I've seen is not launching a bunch of new paid advertising campaigns to get more people to come in, who are going to take another 10, 15, 30, 60 days to buy. Instead, there's people who've already been following you or weeks, if not months, sometimes even years, just depending on how long you've been in business. And they want to give you money. You just have to ask. And the fastest way that we found is just focusing on retargeting. And what I mean by that is if people aren't familiar with it, you have an email list of some sort of a customer list, or there are people who are going to your Facebook page and Instagram page or your website.
Speaker 3: And you might think, well, I only have a hundred people following me on Instagram and we have 50 likes or 200 likes. And our website gets like 10 million visitors a day. If that probably less, I dunno. It's just, it's just, everything is like, the numbers are so small. How can I make that work? And the thing is from a service business standpoint, the impact of one additional person buying is so significant, especially if you're selling higher ticket services, it just changes the whole mechanics and the model of your business. And so the one thing that you can implement right now, you can launch a campaign $3. Even if you set it up at $5 a day, it probably won't spend. But even if you're doing like two, $3 a day, and all you're saying, whatever your best offer is, or any kind of new promotion you have, or just reminding people where you're located or whatever, like testimonials that you have, there are so many different approaches to this. But the main takeaway from this implementation right now is $5 or less per day. And just market to people who already know, like, and trust you and get them to just make them an offer and they will buy it.
Clarence Fisher: Do you know how huge that is? Seriously, hardly. Anybody's doing it on the local level. I mean, when you said, okay, so testimonials, these are huge. The guy, if you're listening to this, this is seriously a big deal that just doing that one thing, taking your testimonials, turns those into images. Or if you have videos of, you know, video tests, retarget the people who have like come to your website already are looking at you. They just need that little to make a call. Right? That is so awesome. So any final words of wisdom to pass on to everybody?
Nehal Kazim: I would say the biggest thing that I've seen with entrepreneurs is that there are so much emotion and passion with what the, you know, what they do from a media buying and Facebook ad standpoint, just be gentle with yourself because I've seen people be very aggressive and beat themselves up and beat their teams up of what's actually going on. If you can objectively look at what's going on in the business, figure out what the actual problem is like truly, what is the real problem that we have, not the symptom of the problem, but the real problem, ignore everything else and focus on one or two things that can change not only your Facebook ads, but it can change your business. I take that stuff very seriously. And a lot of that just comes from maturity as an entrepreneur and look having the ability to put emotions to the side and just look at what the real problem is and what do you need to do in order to fix it easier said than done.
Clarence Fisher: So what's the, uh, I do want to ask you, what's the most important that a local business should ask themselves if they're going to consider, a lot of the people who are listening here, they have a marketing person. I have at least one person that is doing the marketing besides them, right? So they're at a million, 3 million, five, $7 million. If you had to have at least one person who's at least a part-time role is marketing. So, but they are thinking, well, maybe we should even outsource that. So what is one, what's the thing that they need to consider, decide to make that decision? Like what's the most important thing?
Nehal Kazim: It depends a big part of that is just are we equipped internally with the right people in the mindset in order to do that? Because a lot of the time the entrepreneur might have it down, but the people around them might be the challenge or the opportunity, depending on how you look at it. But then if you have a person already in place, is this the type of person you want to invest in? And the, you know, the person who's managing the company or the owner of the business, they know from just a gut reaction that is this person willing to learn, is this person spending time learning already? Do they, are they open to change? Are they open to testing? Are they open to creativity and bring ideas to the table? And if the answer is, I'm not sure, like you can figure that out.
Nehal Kazim: If the answer is clear, no, then it's, it makes a lot more sense to replace that person just for the longterm sustainability and growth of the business, or find partners to help support that process. Even if that main person and truly is just a liaison or just the main point of communication with an agency. Because I think depending on the situation, it might be too premature to just replace that person. Instead, there are ways to do a transition process, whether you tell them or not, but there are ways to do this where you're mitigating your risk, but then still figuring out how to maximize your upside by having the right people on the team. So the first thing would just be to see if the people on the bus, so to speak, if the people on your team are the right people, and if you're able to do it internally and you feel confident about it, great, like commits to that. And if not, then it's time to look.
Clarence Fisher: If I'm going to hire an agency, then I need to, what do I need to consider with that with you?
Nehal Kazim: Yeah. So the biggest thing that I see is the, you know, even from an agency standpoint, a lot of the times, the reason people get fired, hasn't been the actual performance of a campaign is the difference between the expectation of reality of communication and what a successful campaign is or what failing campaigns are. Because what we've seen is from a business owner standpoint, what they define as a failure, sometimes media to buyers to find success and vice versa. And so that becomes a problem. And then also, what is the expectation from a communication standpoint, if you're going to be speaking with an agency, are they going to respond on weekends? Are they going to respond after, or what's a turnaround time of communication of creatives or of adjustments of tests, et cetera. And so those are the biggest reasons. People, relationships don't work out. It's rarely because of just Facebook ads. It's because of the differences in communication and expectations.
Clarence Fisher: Yup. Alright, the last thing I know we've got to go. How do we get in touch with you?
Nehal Kazim: Easiest way is adpros.com, let you know as Nehal at ad pros, very easy to get ahold of as well as a, I think I'm the only Nehal Kazim on Facebook. I just kept saying that eventually there's going to be another one.
Clarence Fisher: Nehal Kazim, even though, cause you said.
Nehal Kazim: that's so fun.
Clarence Fisher: All right. And you're looking for e-commerce, right? So like,
Nehal Kazim: Yeah. So we work with high growth eCommerce companies, primarily basically a growth company and we are working in a couple of other initiatives, but primarily e-commerce. And so we take a company's 200,000 plus per month in ad spend. And so if that's you or know someone who is focused in that industry, I would love an intro,
Clarence Fisher: Man. Thank you for spending so much time. I know it was a lot of time and I know it's 'cause you love me. So appreciate that.
Nehal Kazim: That's a secret that we. Awesome, man. I appreciate it. And thank you so much for having me.
: We appreciate you listening to Local Market Monopoly. Be sure to rate, review, and subscribe to the show and visit ClarenceFisher.com for more resources that will help you dominate your local market and own the block.
About This Episode
In today’s episode, Clarence talks with Nehal Kazim about the best ways to use Facebook ads to get more leads and sales, and grow a local business. How do you know your ads are working? Should you manage your campaigns in the house or hire an agency? Nehal, the founder of Adpros, answers these questions, and more.
You'll also hear…
- A proven strategy to win with Facebook Ads for Local Business
- How to tell if you’re winning or losing
- How to scale successful campaigns
So listen here to find out how to use Facebook marketing to grow your local business.
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