How much do you want to make as an electrician?

Transcript

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How's it going guys? James West here from Marketing Secrets for Electricians and today we're talking about the budget or how much money do you want to make per electrician for your business. We're going to talk about the overall strategy and how we can break that down so it makes sense as to what you can now spend on your budget for marketing. So let's get into that. That's the question.

Join me and follow along as we search for the answers. My name is James Rest and welcome to Marketing Secrets for Electricians. I'm going to share my screen and hopefully this will make sense and I'll try and explain it for those that are just listening as well. So if you want to make $200,000 a year, first off, how much do you want to make? I'm curious if you want to shout out in the comments below or contact me at MarketingSecretsForElectricians.com.

Let me know how much you want to make. I'm curious if we all want to make the same amount. I've estimated about $200,000 a year is good for an electrician, but I could be wrong. So if we break that down, that's $16,000 a month or $3,800 and $3,000 a year. $3,846 per week, which we need that electrician to make.

And hey, we can make more. I'm just saying this is the average we would like to make throughout the week. So if we want to make $3,846, what do we need to do in order to do that? Now, we're going to again, this is going to vary between everybody, but I'm going to say that the average job in this case is $300. Yours could be more.

It could be less. It could be 1,000, 10,000. It could be 100 bucks, whatever. It doesn't really matter. The main thing is, you know, your numbers.

Everyone's going to have a different number, different customer, all that type of stuff. So even in this case, our job is a $300 job per week that we do on average. That means in order to get $3,846 per week, we're going to need to make or get $12 or 12 to 13 jobs around it up, say 13 jobs per week in order to hit that target, which equals two and a half jobs per day. So that means your electrician, if you're doing small domestic dropping jobs, you would need to go to two and a half jobs per day to hit your target on average. Now, let's look at that from a marketing point of view.

How do we get that amount of work consistently? So not relying upon word of mouth. A big favorite amongst electrician, amongst us. And it's good, but it's not very controllable. You know, your customers are going to send word of mouth when they want to do it.

When something comes up, you're not really marketing. They're doing the marketing for you, which you can have. There are strategies there, but I'm not going to focus on that. We're going to focus on what can you do today to get these 13 jobs per week? Now, we're going to say we're going to run some ads.

And you can pick where you want to run your ads. You can run them on Facebook, YouTube, billboards, whatever you want to do. It doesn't matter. The main thing and what I've seen that we don't do from talking to a couple of electricians, we don't measure the results of our campaign. So if you spend $1,000 or $2,000, whatever you have, much you spend, it doesn't matter.

But as long as you're measuring your results. So I spent $1,000 on yellow pages and got one lead. That cost me $1,000 to get that lead. Is that good? Well, you don't know if you don't measure it.

If you just keep spending $1,000 a month and you just keep getting that one or two leads. Well, you don't know unless you like writing it down and tracking these stats are very important, especially for marketing, because once you've got that information, you can actually then make choices. Okay. So I spent $1,000 here and $1,000 here. This one got me 10 leads.

This one got me a thousand leads. I put my marketing money into that one, obviously, because you're getting more bang for your buck. So let's say we're going to spend $1,300 to on our marketing this month. So for the month, I'm going to spend no, sorry, for the week, I'm going to spend $1,300 for the week. And from that, 1,300 people land on my sales page, my homepage, your website, basically.

Where they land there and from that 10% of those people opt in. So now, which means they land on my website and they click a button. They give me the email, the phone number, whatever you're capturing. Now they've given you that those details, what you then want to do. So that's 10%.

So $1,300. So I'm spending $1,300 this week. And at the end of the week, I had 1,300 people land on my page, users, traffic, whatever you want to call them and 10% opt in. So now I've got 130 leads who gave me their details from there, the conversion rate from leads. So they're not yet customers from leads to customers.

I have a 10% conversion rate again. And you notice I'm trying to use easy numbers. So it makes sense. The main thing is we set the bar. So like this, you set the bar and then you can change things and adjust them.

Adjust it. And you find out, you know, for example, the conversion rates, 10%, maybe yours is five, maybe it's 20. It doesn't matter. You just need to figure out what it is. If you're doing marketing right now, you don't know what your conversion rates are.

You need to start figuring that out. So from 1,000, sorry, from 130 people, 10% of those decided to purchase something from me and become a customer, which means I now for the week had 13 customers. There you go. That's how easy it is now. The key metric here.

Is this cost per customer or in marketing terms, cost per acquisition, CPA. And this means it's costing me $100 to acquire a customer. However, I'm up in the sense it's costing me $100 out of my own pocket that goes out to my marketing. And then that customer usually spends say $300 an average. So I'm getting $300 back, which means I'm $200 up and I've got a customer, which is great because if you have the customer, and where a lot of electricians miss out is marketing to the customer after you've got their details.

This is like where most of the money comes in because the hardest bit is to acquire a customer. Once you've got a customer, it's actually a lot easier to make money from that customer. Once they trust you, they purchased from you and all this type of things. Yeah. So from there, you may realize over the course of your business that the average, so the lifetime value of a customer is say $1,000.

Every customer you get, the average person is going to spend $1,000 with you for the life of your business, which means it costs me $100 to get them and they're going to end up spending $1,000. So now I am $900 up for every customer I acquire. So this is kind of how it works. And I hope that gives you some, um, some, something to go off. Yeah.

This is the bar. And if you would like to share how much money you would like to make and jump in the Facebook group marketing for electricians, and we can talk about how much you want to make and work out these numbers precisely for your business. And then we can track them week by week, month by month, and you can actually work out a better number and see where you are. So then you have a marketing budget and you know that if I spend a thousand, 2000, 3000, 4000, whatever, whatever amount of money you want to spend, uh, marketing your business, growing your business, uh, you can put basically put fuel on the fire, the fuel being money and it'll ignite and you'll have lots more customers. You can control the growth of your business rather than waiting for customers to just tell their friends about you, which will happen, but not at the convenience.

You know, you may need, you may not have work tomorrow, but you could turn on some ads and you could get work tomorrow, the next day and next day, and then turn them off when you're not busy. You know, when you're, when you're too busy for ads, when you're too busy, you can turn them off or when you're really slow, you can turn them back on as like a switch and you can control. Have a bit more control of your business because I know it's fluctuates a lot. Yeah. We try to, we've kind of got a boom or bust cycle and there's other things we can do to help that.

But essentially if you have a trigger, we can turn on ads and actually start getting work straight away. This is like going to be very beneficial, especially if you've got employees, if you're going to pay them anyway, you might as well pay them to work instead of sit around doing nothing. So hopefully that helps. Uh, if you have any questions, feel free to hit me up. Otherwise I'll talk to you soon.

Do you have questions about your marketing? Do you want to know how to build a sales funnel for your electrical business? Well, come join us in the Facebook group marketing secrets for electricians and you can get your question answered there and we work together to help you build a funnel for your business that produces leads and sales on autopilot. That's the goal. Come join in and let's make it happen.