Can you deliver 10x ROAS on Google Ads?
Updated: Jul 8
We need an agency to just do that because we already do 8x ROAS on our Pro Max campaigns.
And I said NO.
Wait, don’t get me wrong. We have delivered ROAS way beyond 10x for select clients but…
On a limited budget.
And no scale.
You see a 10x ROAS is way too limiting for any DTC brand if they are looking to scale and grow.
So this account that we audited yesterday had plenty of things going wrong but the founder was hell bent on chasing 10x ROAS.
So I asked him these question that every DTC brand should be asked:
Me- What’s your average profit margin?
Client: 10%, we are in a highly competitive market.
Me- What’s the repeat purchase rate?
Client: Never thought of that
Me- What’s the LTV?
Client: What’s that?
Me: Okay what’s your overall average monthly sales?
Client: $60,000
Me: At what rate the sales has been growing monthly, quarterly, or yearly basis?
Client: It’s been pretty stagnant
Me: How long have you been running ads on Google?
Client: 15 years
Me: So would you rather have 80% of $60k or 10% of $2 million?
Client: Obviously the latter.
Well then as long as you keep chasing 10x ROAS and not think about scaling sales, we are not the right fit for you.
You can keep running your ProMax campaigns yourself.
You don’t need a PPC agency like us.
Sometimes you got to say No. Do you agree?
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