Here's something that I wanted to share with you if you are an elite entrepreneur or a business owner that takes what you do seriously. You are the kind of person that will do whatever it takes to always be growing your business to the full potential. What I am about to tell you in this article is a reminder by my mentor, Dan Lok where he told me about one of the biggest mistakes most entrepreneurs make when it comes to marketing and advertising. And, I think it is something that you should be reminded of and make sure that your business model is operating somewhere close to this.
This concept of error is what he calls hope marketing.
Now, what does it mean? It means exactly the way it is being displayed and put together. The keyword. Hope.
Hope is great when you have structure and a clear understanding where you are headed in your company, what are your predictions, revenue goals, and company cultural goals. There are many factors that contribute to the success of a business and a company. There’s not ONLY one that can save the business. All factors, from systems to marketing and then to advertising are all important. For me and what I do along side my agency, I focus on the marketing and advertising.
So the biggest mistake, hope marketing. This is when entrepreneurs and business owners do this, “I hope I can get that referral”, “I hope that some clients will just show up”, “I don’t know, let’s try it”, “I hope I meet that ideal client… somewhere…”, they just hope…
That is why business owners that like that would ONLY focus on the marketing budget. Knowing your limit is good, but having a ‘guessed’ budget without any kind of science or data to back it up is a small business minded mentality. The better question is how much is it going to cost me?
Top industry leaders like Dan Lok doesn’t have a marketing budget because marketing and advertising alone do not dictate the success of your company, product launch or business. He knows his offer, knows his traffic source is bringing in good traffic of ideal clients, how well his landing page converts, how the copy is working, and how well is closing ratio is. So, when he puts $1 in, he knows how much it will get out. It’s all about applying the science behind testing. If he puts in $1, and it generates $2, $3, or $6, he would be doing that all day.
So, what does this all mean?
One thing and one thing only. ROI. Return on investment.
Successful business owners what I find is knowing what the return. Understand your process, the cost to acquire your lead, and profit on the margins. There’s no limit to how much you will ONLY spend in a year, not $10,000, not $5,000, not $20,000, it is about the conversion ratio. Put $1 in and get $4 out, do that every day and all day.
Test, test and test and improve.
To your success,
Shin Chung is the President & Creatives Director of Hyper Growth Agency. Shin started his marketing career in accomplishing his BBA in Marketing major and partnering up with Santiago in providing marketing service in the automotive industry. Through his networks and experience, he is currently connected and is trusted by multiple companies locally in Canada and internationally from different industries such as Real Estate, Property, Investing, Dental, Education, Digital Agencies, Entrepreneurship, Automotive, and Mixed Martial Arts Schools, covering places reaching from North America all the way to the Oceanian Continents.