Local Lead Gen On Facebook - $5000 per month

[Justin Goff]

I got 3-4 messages yesterday from my Facebook post from people interested in how I used to do local lead generation through Facebook.

This is going to be a very long and indepth post... But I'll show you how you can make $5,000+ every month doing this...

Overview

Basically what you want to do is generate leads or customers for local businesses through Facebook. You then sell these to the business based on a fee you both agree on. No monthly fees or crap like that (you'll make more based on your performance)

Businesses To Target

Some of the best businesses I targeted were...

- dentist office
- personal trainers (bootcamps)

You can also go after

- hair salons & spas
- plastic surgery
- tanning places
- gyms
- lots more

One of the keys you need to remember is you want to target a business that can handle a lot of clients and also has a BIG customer value so that you can get paid more per client/lead.

Your ads are going to cost you the same amount no matter who you target, and if you're working for a dentist you can make 2-3x the money that you can with other low value businesses.

How much should you charge

Basically you need to talk with the business and then figure out what a new customer is worth to them. When I worked with the dentist office I was charging them $75 per new customer that came in and got a free teeth whitening done...

For the personal trainers I was charging them $20 per lead (email, name, phone #) for their bootcamps. Most of them broke even on the leads -> new customers for the first month.

So if they spent $600 on leads, they got $600 worth of business in 1 month from it - so it was all profit from then on for them...

How to track leads/customers

If you're just selling leads, you can do it through aweber, and make the alerts go to the office that you are working with.

If you are tracking new customers then you'll need them to keep track of that. If you think they're screwing you over, then bolt and find someone else to work with...

Offers/Incentives

For your Facebook Ads, youre going to want to offer a good incentive for them to come in...

With the dentist we did a free teeth whitening offer, which has a very high value but costs the dentist pretty much nothing.

For the bootcamps, we gave them a 1 or 2 week free bootcamp pass.

If you don't offer them some kind of deal, it's not going to work.

Also make sure you put a "cap" on the number of people who can sign up, or a date they have to sign up before. Even if its not real, saying something like "Only good for the first 25 Facebook users in Columbus" will motivate them to act.

Target Markets

The business you are working with should know exactly the type of people they want to come in.

When working with the dentist they told me women ages 30-55 were the main demographic, since they booked appts. for the whole family.

So on Facebook I targeted women 30-55 (who have a college degree) in my area.

The Ads

I talked about this in the other Facebook post I wrote yesterday, but the picture is the most important part of the ad by FAR.

Test pictures of the business owner if you have them, as these worked the best for us.

Landing Pages

This is where all the money is made.

You need to TEST everything in GWO...

I ended up using this landing page "application" that then went to a page that gave them the free whitening with the dentist

Free Columbus Teeth Whitening - Teeth Whitening in Columbus

The application just makes them feel like they earned the free whitening. It helped increase conversions, and increase the amount of people who actually came into the dentist office.

Follow Up On Leads

Make sure the business you are working with follows up and calls the leads within 15 minutes of them hitting their inbox. If you wait longer, you basically kill the chance of them answering the phone.

The dentist I worked with had a sales team for this but most places wont. You'll have to work with the secretary or the business owner and teach them some sales techniques and show them how to get the customer in the door.

How To Get Clients To Work With You

This is obviously the hardest part, and the biggest hurdle.

If you know someone like a dentist or a personal trainer, then pitch the idea to them and get started with them.

If you dont know anyone in your area, then do some direct mail pieces to every business in your area. I did this for the dentist. I sent out a letter to 40 different dentists in my area and then he called about 2 days later, and we started the next week.

You can download my direct mail letter here

-> Index of /localebook

Whats The Potential With This?

I dont remember my exact profits, but I believe I made like $2,000 or $3,000 the first month with the dentist. With the personal trainer I made over $600 in 4 days.

I dont do local lead gen anymore, but it is a niche thats RIPE for the plucking right now.

The key is to find businesses that can handle all of the leads you send them (and also for them to have a high customer value)

You have to do the same amount of work whether you're doing this with a dentist or a tanning salon, yet you'll make 3x the amount with a dentist.

If you get just 3-4 clients you could be making $5k per month. Then once you have a niche down (such as dentists) you could expand to dentists in other cities and states as well. There is a TON of opportunity with this!

Let me know if you have any questions...

P.S. - I just realized I still have an ebook I wrote with all this info. I was planning on launching a product with it last year, but never got around to it. You can download the ebook for free (no optin, no catch, no pitches) and also the direct mail piece I used at the link below

Index of /localebook


- Justin

[Joel Gray]

Justin,

Once again thank you for a very informative post.

Joel

[adionline]

This is a good business idea and can be very profitable once the details are worked out. Thanks for sharing.

[VegasGreg]

Yep, if you have the know-how to get leads, people will buy them.

[VeitSchenk]

bloody hell, that's awesome stuff.
although I have no intentions getting into facebook anytime soon,
thank you very much for that generous share!

Cheers

Veit

[Entreprenette]

Thanks Justin, That's an excellent post and I've grabbed your ebook.

I'm really getting into facebook at the moment, so the timing is superb!

Thanks again.

Jo

[Ouroboros]

I've bought a lot of WSO's that weren't nearly this helpful.

Thanks for the sharing.

[FrankieTP2]

Excellent post! I'm looking to start working with local businesses, but I'm afraid if I will do well.

[BizzyBea]

Great idea - thanks for sharing that.

[krystalm]

Thanks for the info. I will be reading your PDF tonight.

[iw433]

First class post. Thank You, Thank you.

[gary varga]

Great post! Very thorough and informative.

What's your opt in rate? Also, approximately how much do you spend to get one lead?

Thank you.
Gellert

[theprofitguru]

How did you drive traffic to the dentist's page?

[jacktackett]

Great information. On a recent friday night chat another fellow warrior went over a campaign they did for a local landscape company all on facebook that basically blew away their previous marketing and generated a lot of new business for them. When used for local marketing the segmentation Facebook currently provides seems to pretty impressive.
I've also heard some interesting tests done with Groupon as well.
thanks,
--Jack

[AndrewCavanagh]

Thank you for sharing this.

Facebook and other social networking sites can be very powerful marketing tools for local business...especially if you're driving people to your own site as you suggest.

If you get a large number of clients this way you will almost certainly run into problems with being paid and with the business following up in a prompt manner with leads.

Clients who don't pay you upfront have a tendency to devalue your service.

Easy enough to fix though. Charge them upfront to set up the campaign AND charge them for leads.

Kindest regards,
Andrew Cavanagh

[JackBenson]

do the ads and leads burn out after a while like other fb campaigns?

especially when your targeting a tight demo in a certain area?

It does seem great though for a big rush of new customers.

[keonit]

Very timely post as I have just got my 1st Local Job without trying local contact. Now want more and looking on how to get them. So thats a Big Thank from Me

[hourox95]

That is a good business Ideal I haven't thought of myself. Keep up the good work!

[daddykool]

Superb thread Justin...

We have been running something very similar, for many years in different client areas on/offline and with some patience / understanding of why clients you approach, with this method, always have to be negative (until you get them some new paying customers!) this is an rock solid niche way to generate addition funds, hard work but worth it

[nigelwhittaker]

Awesome post as ever Justin!

Many thanks for sharing, it is what WF is about

[jazardezign]

Justin,

Great post. This post is so informative. I will keep an eye on this and do follow.
Thanks a lot.

[feedtherightwolf]

Why did you stop if it was so profitable?

Great post btw and thank you!

[paulie888]

Thanks for the great information, Justin! Interesting twist with using paid ads, I'd imagine in a big city you could literally conjure up all the leads you want on Facebook - all we'd need to be worried about here is how many leads the business is willing to pay for!

By the way, what sort of a payment plan did you work out with these businesses? Did they pay you for the leads at the end of the month, or perhaps weekly/daily?

Thanks,
Paul

[paulie888]

Justin, I'd sure appreciate it if you could come back and update us on the type of payment plan you had your clients on.

Thanks,
Paul

[peterj02460]

Thanks Justin for a great post and the downloads. I have been looking to get into Facebook lead gen for local businesses and you have given out some great information, thanks.

[rushindo]

Warriors, be careful trying to sell leads/patients to dentists or anyone in the medical field. If you get a 0% response rate from your direct mail, or a non-welcome response to your solicitation, it may be because the doctor you are trying to sell can get thrown into jail or fined for hiring you.

Buy A Patient, Lose Your License

It's illegal in some states for a doctor to buy medical leads/patients. So research this in your own state or the state you want to do this in before you try to sell leads/patients to anyone in the medical field.

[Tsnyder]

Hey Justin...

Great info... thanks for this thread.

One question... in your report the ad shows a hot link
where they click to see if they qualify. I can't seem to
figure out how to do that in the Facebook ad setup
procedure.

The only thing that becomes a link is the ad title.

How did you do that?

Tsnyder

[BrenDavis]

great man tnx! will actually apply this.

[JackBenson]

That's interesting but I'm guessing it must refer to being paid for referred clients, not just for leads? Otherwise, how does 1800dentist.com exist?

Originally Posted by rushindo

Warriors, be careful trying to sell leads/patients to dentists or anyone in the medical field. If you get a 0% response rate from your direct mail, or a non-welcome response to your solicitation, it may be because the doctor you are trying to sell can get thrown into jail or fined for hiring you.

Buy A Patient, Lose Your License

It's illegal in some states for a doctor to buy medical leads/patients. So research this before you try to sell leads/patients to anyone in they medical field.

[rushindo]

Originally Posted by JackBenson

That's interesting but I'm guessing it must refer to being paid for referred clients, not just for leads? Otherwise, how does 1800dentist.com exist?

Well first, the law referenced to above was only for California. Other states may have similar laws, but I don't think many states do. As far as how 1800Dentist does it for California dentists, I don't know.

My guess is that if they have a slightly different business model for California dentists and dentists from any other states in which it is illegal to buy leads/referrals/patients. Maybe a monthly payment plan or something.

For example, Dental Marketing | Internet Dental Marketing | Online Dental Marketing is a popular "pay per patient" company but at the bottom of the page it says, "per patient pricing not available in all states." This is because they know it is illegal in some states. I'm sure they have an alternative business model for the states in which it is illegal.

But exactly what 1800dentist does and the company above does in the states in which it is illegal, I don't know. What I do is offer a guaranteed amount of production (revenue in medical terminology). I have a method of sending a dentist a guaranteed amount of new patients. So rather than selling each patient, I guarantee a specific amount of production, knowing how many new patients I need to send to fulfill my promise.

If I don't reach the production goal, I offer a refund based on the percentage of the total production not met.

[Chris Busa]

thanks for this great post deffinately some killer info here for sure...

Guys even if you do not want to get into facebook you can still outsource this technique, many people would love to get paid to spend there time on facebook

[Lucky500]

Thanks Justin for a very informative post.

[VyctorB_10]

Likewise... JG you r the MAN man!



Keep 'em comin!



V~

[Mark Brian]

This is how every WSO should be made.
No BS intro, no rehashed info.
Just straight to the action.

[covertguy]

Thanks bro for such valuable info

[paulie888]

Originally Posted by Chris Busa

thanks for this great post deffinately some killer info here for sure...

Guys even if you do not want to get into facebook you can still outsource this technique, many people would love to get paid to spend there time on facebook

I bet this would work really well too if we generated traffic on Facebook without the paid ads, it'd take more work but hey, that is what the outsourcers are there for!

[paulie888]

Thanks so much for sharing an alternative way to pick up offline clients, JP...it's a real eye-opener! I'd also appreciate it greatly if you could share that recording on how to get local speech bookings.

Thanks,
Paul

[cjseb]

Many, many thanks Justin for sharing this great information...

[conversionspro]

This is a great post. Creating a niche for yourself in offline marketing really is a great way to go for serious success...

I can appreciate why people shy away from it (perhaps not confident, or don't feel they have the skills), however the money really is there... people will pay a lot of money for services that they don't necessarily understand particularly well, especially if they deliver results.

[Bruce NewMedia]

Justin, thanks for the all the instruction here...I do something very similar and, if done right, it does produce clients and revenue (for them and the marketer)..

I also like the idea of having the prospect fill out the brief form to 'qualify', just enough but not too much.
_____
Bruce

[Charles Washington]

I looked at a target demo of a city with 355,000 users. I narrowed it down to women age 30-35, and I am left with a demo of 26,000, but FB is suggesting a bid of $1.44. The range is $1.18-1.98. These bids are a lot higher than your example.

How do you overcome those high bids? Is it still profitable?

[Justin Goff]

Originally Posted by paulie888

Thanks for the great information, Justin! Interesting twist with using paid ads, I'd imagine in a big city you could literally conjure up all the leads you want on Facebook - all we'd need to be worried about here is how many leads the business is willing to pay for!

By the way, what sort of a payment plan did you work out with these businesses? Did they pay you for the leads at the end of the month, or perhaps weekly/daily?

Thanks,
Paul

They paid me every 2 weeks.

Warriors, be careful trying to sell leads/patients to dentists or anyone in the medical field. If you get a 0% response rate from your direct mail, or a non-welcome response to your solicitation, it may be because the doctor you are trying to sell can get thrown into jail or fined for hiring you.

Buy A Patient, Lose Your License

It's illegal in some states for a doctor to buy medical leads/patients. So research this in your own state or the state you want to do this in before you try to sell leads/patients to anyone in the medical field.

This is very true. Some states you might have to get paid on a monthly fee type payment.

I looked at a target demo of a city with 355,000 users. I narrowed it down to women age 30-35, and I am left with a demo of 26,000, but FB is suggesting a bid of $1.44. The range is $1.18-1.98. These bids are a lot higher than your example.

How do you overcome those high bids? Is it still profitable?

Its all about your CTR. For a suggested bid, I will always start around .35 no matter what FB says. If your ad has a good CTR it will get a ton of clicks and they will keep showing it.

Ive gotten as low as .12 clicks for very targeted women with college degrees in the city I was targeting - thats gonna turn a good ROI every time.

[Tsnyder]

Originally Posted by Justin Goff

They paid me every 2 weeks.



This is very true. Some states you might have to get paid on a monthly fee type payment.




Its all about your CTR. For a suggested bid, I will always start around .35 no matter what FB says. If your ad has a good CTR it will get a ton of clicks and they will keep showing it.

Ive gotten as low as .12 clicks for very targeted women with college degrees in the city I was targeting - thats gonna turn a good ROI every time.

I didn't want to look like a spammer but I think you missed
my earlier post... so I apologize for asking the same question
again...

Hey Justin...

Great info... thanks for this thread.

One question... in your report the ad shows a hot link
where they click to see if they qualify. I can't seem to
figure out how to do that in the Facebook ad setup
procedure.

The only thing that becomes a link is the ad title.

How did you do that?

Tsnyder

[SGTech]

I just wanted to thank you for this information and ask how you would format the sales letter if you are just starting out. Since I will have no customer testimonials, success stories etc?

Thanks

Scott

[Tsnyder]

Bump... still hoping for a response.

Tsnyder

[adscan]

Hi, thanks for that information. You guys should write about the simplicity of the free exposure you get from doing a free blog post on twittering software and marketing social network and how it ranks quick and high in the search engines. You guys can test it for your selfs with one of these news reports and see how fast it ranks.

[dagaul101]

Interesting idea, a real life salesman coupled with the Internet

[Justin Goff]

Originally Posted by Tsnyder

I didn't want to look like a spammer but I think you missed
my earlier post... so I apologize for asking the same question
again...

Hey Justin...

Great info... thanks for this thread.

One question... in your report the ad shows a hot link
where they click to see if they qualify. I can't seem to
figure out how to do that in the Facebook ad setup
procedure.

The only thing that becomes a link is the ad title.

How did you do that?

Tsnyder

Hmm not sure how that happened, but you can't hotlink like that with FB ads - In FB, the whole ad is clickable so theres not any way to hotlink a certain sentence.

[peter.max]

Local lead generation is a profitable business and combining Facebook with more traditional traffic generation creates a whole new set of services that Internet Marketers can sell to local businesses.

I've been using Adwords etc. for the past 2 years in my local lead generation business and adding Facebook to that has brought a much better demographic fit to the target audience. It doesn't work as well for all the niches but it is definately worth testing.

Great content Justin

[Vince L]

Justin, this a really good stuff. Thanks for being so open about it.

I'm going to try this ASAP.