lmost all SaaS marketers still use Google Ads advertising by default. The truth is that it's not necessarily the best option. If you advertise on Google Ads, you will average a 2-4% click-through rate. Let's say 100 people search for this accounting software query. If our plan to advertise people with search intent on a search engine is G0ogle Ads, we only capture 4% of the total addressable market. Whereas the number one organic result is now a listing on a third-party website. That means you can be a startup accounting software company, create a great product, and get some rave reviews (i.e. 10-15 users versus millions on QuickBooks). Immediately, you'll look like a true QuickBooks competitor by simply paying to be X, Y, or Z on a review site.
When you change your fundamentals and Banner Design understand how you can position your brand in a strong position, you will have the chance to capture the top spot and get up to 32% market share. organic ctr With this, you have almost complete discoverability and this is an important part of being able to generate Marketing Qualified Leads (MQL). Across millions of dollars spent across multiple SaaS clients, Mehrguth's team averages a 4% CTR. CTR and conversion rate You don't necessarily want too high a click-through rate, because ideally you want to use your advertising content to pre-qualify your clicks. In other words, if you need to make X number of seats or X amount of price, a very good way, especially if you are a medium-sized or enterprise organization that does not win on price but rather on quality , you can understand basic fundamental prices in your listings. Then you'll essentially be able to disqualify bad clicks, qualify good ones, and lower your cost per acquisition (CPA). Many SaaS companies have been brainwashed that the lower your CPA, the better.
What they do is they take your most expensive terms and stop bidding. Unfortunately, sometimes your most expensive terms are your most valuable. data for advertising - best accounting software Even though third-party sites, such as Capterra and Software Advice, have much higher CPCs, they have much better close rates and cost per opportunity. This means you get more qualified leads. Financial model How SaaS owners decide to allocate capital is the most important part of marketing. Simply reallocating where you spend your money can help you grow your business significantly. LTV - CACjpg To do this, you can follow what is called LTV:CAC modeling where you will understand the true lifetime value versus customer acquisition cost of all your marketing channels. There are two ways to do this.