How do companies maximize profits? First of all, you’d normally begin by streamlining your business process and reducing as many associated costs as possible. However that’s not always the best idea, cutting costs usually leads to less operational efficiency and can cost you in the long run. The alternative is simple, reorganize your current operating costs. A strategy that has been preferred for well over a century by some of the biggest names in business.
We spoke with Darren Cabral, CEO of Suits Social and he claims it’s simple! He says you simply take money from areas of your business that aren’t producing new income and allocate them to more efficient areas of your business that are. For example, more and more, businesses have been pulling marketing budgets from TV, print and radio and allocating them instead to paid Social Media campaigns. Why? Because paid social media is the only advertising channel in the world where you can attribute every dollar in, to a dollar out.
Darren believes social media has become a much cheaper platform that delivers a much greater result in the form of increased revenue. Thus increasing revenue, while decreasing overall cost. Instead of spending $5000 on a billboard with not a clue what sort of return you’ll experience, you can instead spend $5000 on a Facebook lead gen campaign for example and track the exact number of leads and revenue generated.
Social media reduces marketing costs as it offers a low-cost way for companies to engage customers and build deeper relationships. Today’s customers want brands to connect with them on social media. As such, social media is crucial if a company wants to drive incremental revenue from existing customers in addition to attracting new ones.
A company can offer incentives that compel the customer to make more purchases using social media. For instance, it has become quite popular for companies to run contests and offer giveaways on their Instagram. A company can also offer incentives like coupons via social media by providing its audience with a 30% discount for bulk purchases.
Presently, most companies spend an average of $3000 to $7000 per month on social media management and advertising. This is a small price to pay, considering that the most small businesses report a 397% return on investment for every dollar spent. Darren claims that his clients at Suits Social report an even higher average return of over 650% with some campaigns generating returns exceeding 3000% although this is rare, it’s still possible.
The reality is, however, that social media marketing is challenging. For starters, customers are evolving, and what used to work before may not be working now. Banner ads are a great example of how trends change. Whereas there was a time when banner ads were resulting in a high ROI, the overuse of this strategy has triggered a reaction with a growing number of people using ad blockers.
The only way companies can maximize their revenue and keep costs low is to work with an agency that understands the social media space. This agency must utilize data and has benchmarks for measuring how each technique contributes to a significant boost in ROI.
Why Work with Darren Cabral
Darren Cabral is the Founder and CEO of Suits Social. His agency was one of the first dedicated social media marketing agencies in Canada. He leads a passionate team of digital marketers specializing in helping small to medium-sized businesses build their brand, reach more customers and increase their bottom line with social media.
Darren started the company in 2016. Since then he’s worked with a diverse range of clients including an impressive roster of fast growing ecommerce brands, and high-tech SAAS companies as well as dozens of national resort brands, one of North America’s largest auto groups, and hundreds of companies in the professional services space.
Not only has Darren grown his clients businesses, he has also grown his own company Suits Social over 2700% in just three years With revenue continuing to double every 2 months! He attributes this growth to a shockingly simple philosophy; “If we put more money into our clients pockets than we take out, we’re a cash flow positive asset not an expense, and we earn a client for life.”
When asked about his biggest win, Darren shared a story about launching a campaign for a client of his during black friday weekend…. We generated $1,269,578 USD in revenue from Facebook Ads For Just $151,000 USD. Very few companies or people have spent that much money or made that much money using Facebook ads in such a short period of time.
One of the reasons that Darren is a highly sought after marketing strategist is because he understands that the social media space is continually evolving and he and his team evolve with it. Investing in continual training and testing. But the truth is, they simply spend more money on social media than most other Canaidan agencies and because of this they are constantly testing, and figuring out what works best at any given time across a variety of industries.
Darren is obsessed with the marketing process. His company and his clients’ success is proof that if anyone knows how to increase revenue and keep costs down it’s Darren and his team at Suits Social. This entrepreneur encourages companies to connect with their customers online and build relationships with their customers more than closing sales.
Social Media Keeps Costs Low
The impact of the COVID-19 pandemic is forcing companies to cut costs. 63.2% of those plan to introduce budget cuts in marketing and advertising. Darren says that companies should look at how they can maximize their revenues through social media marketing in such a time.
To learn more about how Darren and his team at Suits Social ccn help your business increase revenue and reduce overall marketing costs, book a free exploration call here: https://www.suitssocial.com/exploration