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How To Turn a $35k Monthly Ad Budget into nearly $650K Monthly Revenue
December 5, 2024

How To Turn a $35k Monthly Ad Budget into nearly $650K Monthly Revenue

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A high-ticket home service company approached Hypelocal with a clear goal: They wanted to use their $35,000 monthly advertising budget to generate a steady flow of sales quotes across four relatively new markets. 

The business needed a scalable, high-performing paid advertising strategy that could deliver substantial leads and strong revenue growth.

For their eight-month seasonal campaign, we developed and executed a comprehensive advertising strategy that consistently delivered almost 1,000 qualified leads per month and an average of $642,830 in monthly revenue

By the end of the season, this strategy had doubled their yearly sales revenue, resulting in nearly $5 million in total sales.

Results of Our Lead Generation Strategy
Results of Our Lead Generation Strategy

Here’s how we made it happen:

Budget Allocation

The first, and perhaps most critical decision we had to make was how to allocate the $35,000 monthly ad budget between Google and Facebook Ads. 

We began with 30% for Google Ads and 70% for Facebook Ads, based on the platforms' respective strengths and scalability.

Allocation Rationale

  1. Why More Budget Went to Facebook:
    While Google Ads effectively captured high-intent prospects already searching for the service, Facebook offered significantly more room for scale by reaching untapped audiences. Over time, Facebook not only delivered a higher ROAS but also attracted higher-value customers at a lower cost than Google.
  2. Google’s Bottom-of-Funnel Advantage:
    Google’s keyword targeting focused on capturing demand from people actively looking for the service. With just 30% of the budget, we were able to reach 90% of the active searchers in the client’s markets, ensuring that no high-intent leads were missed.
  3. Balancing Immediate Revenue and Long-Term Growth:
    To meet the client’s need for immediate results, the majority of the budget was directed to bottom-of-funnel (BOFU) campaigns. However, we also invested in awareness campaigns to build a larger audience for long-term success. While these awareness campaigns didn’t deliver immediate revenue, they played a critical role in feeding the funnel for future conversions.
  4. Data-Driven Adjustments:
    Initially, we assumed Google would dominate in terms of high-value leads. However, Facebook’s performance quickly proved otherwise. With proper conversion tracking in place, we were able to see which platform generated the most revenue at the bottom of the funnel. As a result, we continuously adjusted the budget, shifting even more resources toward Facebook for maximum ROI.

Google Ads

Google Search Ads are often the best starting point for businesses looking to drive immediate results. They allow businesses to capture high-intent prospects who are actively searching for a service.

With this in mind, we allocated 30% of the client’s budget—$10,500 monthly—toward Google Search Ads, focusing on bottom-of-funnel keyword themes. 

Here's how we structured and optimized the campaigns:

  1. Keyword Research and Campaign Structure:
    • Identified 9 keyword themes relevant to the client’s service.
    • Created dedicated campaigns, ads, and landing pages for each theme to ensure alignment between the search intent and landing page content.
  2. Landing Page Alignment:
    • Designed landing pages tailored to each keyword theme, with customized H1 headlines to reflect the search term.
    • This approach ensured prospects immediately recognized they were in the right place, reducing bounce rates and increasing conversions.
  3. Optimization:
    • After the first few weeks, we analyzed performance and trimmed ads down to the top-performing keyword themes.
    • We then shifted budget toward high-converting campaigns and performed ongoing adjustments based on the conversion data.

Facebook Ads

The remaining 70% of the budget—$24,500—was invested into Facebook Ads, split between two core campaigns to target prospects at different stages of awareness.

Facebook Ads Structure

Campaign 1: Awareness Campaign

  • Audience: Cold, net-new prospects unfamiliar with the client’s service.
  • Goal: Move prospects from problem-aware to solution-aware by educating them on the problem, creating urgency, and presenting the client’s service as the ideal solution.
  • Messaging: Highlight pain points, provide educational value, and showcase proof that the service delivers desired results.
  • Budget Allocation: 60% of Facebook Ads Budget

Campaign 2: Retargeting Campaign

  • Audience: Warm audience of prospects who have interacted with previous ads but haven’t converted.
  • Goal: Position the client’s service as the best solution on the market by emphasizing unique differentiators and leveraging social proof.
  • Messaging: Compare the client’s service to competitors, focus on unique benefits, and showcase testimonials from similar customers.
  • Budget Allocation: 40% of Facebook Ads Budget

Development of Facebook Ads 

The foundation of any successful Facebook ad campaign lies in theme and positioning. 

This is the core idea that guides how your product or service is presented to your audience. It’s not just about highlighting features or benefits—it’s about defining the “big idea” that makes your product stand out in the market and resonate with your audience.

When crafting ad themes, we focused on positioning the client’s service in a way that differentiated it from competitors while addressing the audience's specific pain points and desires. The goal was to avoid generic, overused messaging and instead create ads that felt unique, relevant, and compelling.

Key Considerations for Positioning

  • Highlighting unique differentiators that set the client’s service apart.
  • Framing the problem in a way that resonates with the audience’s experiences and emotions.
  • Building trust by showcasing proof, such as testimonials and case studies.

Creative Testing

Once the ad themes were established, we began testing different creative executions to identify which resonated best with the audience. The initial focus was on testing a wide variety of angles and creative styles to quickly gather data and refine our approach.

Lead Generation Strategy
Lead Generation Strategy

Each creative theme was tested with multiple variations to ensure we captured what worked best. Once top-performing creatives were identified, they were scaled for maximum impact, while additional testing continued to introduce fresh ideas and prevent ad fatigue.

5 Takeaways from Our Approach

While the end-results identified in the introduction speak for themselves, the campaign’s success stemmed from key principles that any business—whether in the home services industry or not—can adopt to maximize their advertising ROI:

  1. Strategic Budget Allocation
    Understanding platform strengths is crucial. By leaning into Facebook’s scalability and leveraging Google’s high-intent targeting, we balanced immediate results with long-term audience growth. This strategic mix allowed us to dominate the customer journey.
  2. Alignment of Ads and Landing Pages
    Matching ad creative with landing page content ensured a seamless user experience, reducing friction and boosting conversions. Every click was purposeful, meeting the user’s expectations.
  3. Iterative Optimization
    Rigid strategies rarely yield optimal results. We continuously analyzed performance data to refine our approach, redirecting budget to top-performing platforms and creative. This adaptability kept the campaign results climbing.
  4. Creative Testing for Resonance
    Testing multiple creative themes ensured we found what resonated best with the target audience. This proactive experimentation allowed us to maximize engagement while staying fresh and relevant.
  5. Balancing Short-Term Wins with Long-Term Growth
    The integration of awareness campaigns with conversion-focused ads meant we didn’t just meet immediate goals but also built a pipeline for future success.

Turning Budgets into Breakthroughs

This case study highlights how a thoughtful, data-driven advertising strategy can transform a fixed budget into measurable, scalable results. 

By tailoring campaigns to meet both immediate and long-term objectives, we ensured a significant return on investment while building a foundation for sustained growth.

The most important element in achieving this came from balancing platforms, audiences, and creative approaches to maximize efficiency at every stage of the funnel. With a focus on aligning messaging with customer intent to increase conversion optimization, we turned insights into outcomes.

For businesses looking to amplify their demand generation and revenue potential, this example shows what’s possible when strategy and execution come together.