Transcription
Hey, it's Chris Chico. And most real estate investors believe that it's a smart move for them to hire a marketing agency that will run their Facebook, Tik Tok, or Google ads for motivated sellers. When in fact, it's actually a horrible move. One that is guaranteed to lose you control of your marketing, which is the most important part of this business. It's going to make you overspend for your leads, and it's going to increase your chances of actually burning money and not having it work out.
And I'm going to share with you a real life example from a client who recently uh came on board with us to help him run his own campaigns. But we walk through the numbers of what he's doing with his agency now and how bad it is in terms of the amount of money that he's spending unnecessarily. And most importantly, I'm going to share with you how you're better off learning ads yourself. Even if you end up screwing up the entire thing in the beginning, you'll still be better off.
So, the question is, why would you pay double for your leads when you can learn how to do this yourself and save thousands of dollars each and every single month? So, let me walk you through this here right now. And I didn't want to turn on my computer and do the whole recording thing, so I'm just going to give you a screen video of my desktop. Here's what the numbers are. The client spent with this agency $4,23.68. Now, this is over two months. The client produced through this agency 66 leads. Now, this is a local market, so the cost per lead is going to be a little bit higher. He had a cost per lead of $63.69, which at first you you look at those numbers and you say to yourself, that's not bad, Chico. But wait, here's the problem. It doesn't include the management fee. The management fee is $2,000 per month. And this has been running for two months. So that's $2,000 and another $2,000. So his cost is not 4203. His cost is actually 4203 plus the agency fees.
Now here's what happens. If you take now the true cost of those leads is taking the total amount of the monthly management fees combining it with whatever you spent with the platform and that that amount is $8,23.68 divided by the number of leads you get. And now you are paying $124.34 cents per lead, which is double double what you could have paid if you would have just learned how to do this yourself.
By the way, if you're interested in running your own ads and learning how to do this yourself, just click the link in the description and my team can either set it up for you and show you how to run it or even give you all of our SOPs and then you follow them along with us looking over your shoulder. Next thing you know, you are the master of your own domain.
Here's the deal. When you hire an agency, you're renting your marketing. You're paying for the agency's salaries, their overhead, and their mistakes. If you stop paying them, your pipeline shuts down overnight. No ads, no leads, no deals. But what happens if you flip the script and you decide to do it yourself to learn this? Even if you're not good at first, if you run your own ads, your first month or two might be a little bit rough. Maybe your cost per lead could be $80 or $90. Using the example that we just showed you here where the agency is getting 66 and you might be getting $80, $90 or even $100 cost per lead. That is not wasted money. That is your tuition because now you're buying an education that no agency is ever going to take away because unlike agencies, that education compounds month after month after month. Because here's what happens after three or four months of doing this yourself. You get sharper. Your ads start to perform better. You start dialing in your targeting and your messaging. And you start to really understand how to run these campaigns. Now, your leads are coming in at $50 to $60 per lead. And you're saving yourself $2,000 each and every single month.
But here's the deal. Saving money is just half the story. The real advantage is what happens to your control. You see, most investors, they're chained to their agency. They're running blind. They have no idea what's going on. They're waiting for updates. If things are not working out and the agency feeds you a bunch of bull crap, guess what? You don't know any better. So, you have to accept whatever they say. But when you run your own marketing, you are not at their mercy. If you decided that you want to test a new geography, you can do it tonight and tomorrow the ads are running with a new geography. If you decided to test a new idea for an image or for a video, guess what? you decide you can roll it out rather quickly. And most importantly, it it is your own unique thing now that nobody else can copy because you're running your own campaigns. If you decide you want more leads tomorrow, you just change the budget. That's it. Easy.
The best part is is that now that you know how to run your own campaigns and your own ads, you just don't get cheaper leads. No more begging for scraps. No more paying expensive prices to these paper lead companies and dealing with all the refunds and all that crap that happens there. No more depending on somebody else. You turn on your ads, you have leads come in, and then you decide what you want to do next. Do you want to scale? It's your decision.
If you're interested to know what the components are for you to be able to run ads successfully, make sure you watch that video right here and it will walk you through my entire system for running ads nationwide and making a ton of money without an agency and without a paper lead company. Go look at it right now.