When I was running a FB Ad leads campaign for Found I was very anxious about how much acquiring a customer would cost me.
I was targeting Silicon Valley CTOs, who wanted to try a new AI-powered software engineer recommendations system.
We were asking CTOs, on Facebook, who have never heard about us, to give us their email address. You can imagine that we were not expecting cheap CPAs.
When you don’t know what results expect from your campaign, set goals. Set a pessimistic one. Research about your industry conversion rates.
If you set a goal of 2 new customers each month; you want to spend max $5k per acquired customer; you expect a terrifying 1% conversion rate, and you can get a $5k revenue per client, you can set the following goals:
If your CPA is going above $50, stop the campaign, make changes, and keep optimizing it.
Upgrow’s Marketing Budget Calculator is a great and simple tool to help you plan your campaigns, and reduce that anxiety of not knowing what results to expect.