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Demand · Ads

The ad math, with your numbers.

Every ad network sells the same chain: an image gets shown, a thousand showings cost a CPM, some viewers click, some clickers become leads, some leads become jobs. Move any number and every number after it moves.

Impressions are views of the ad. CPM is the price of 1,000 impressions. CTR (click-through rate) is the share of impressions that become clicks. “With the responder” means with an AI assistant that texts every new lead back from your number within 60 seconds; it changes only the booked rate.

Starting numbers

The starting numbers are examples, not promises. Type in your own ad account's numbers and every step recalculates.

From spend to revenue

DollarsWith the responderToday

Bar sizes: counts (impressions, clicks, leads, jobs) use a logarithmic scale so that small and large numbers both fit; dollar amounts use an ordinary scale.

The adMonthly spend$$0$30,000
The adCPM, $ per 1,000 impressions$$0$40
The adCTR, % of impressions that click%0%8%
The leadLead rate, % of clicks that become a lead%0%20%
The jobBooked rate today, % of leads that become jobs%0%100%
The jobBooked rate with the responder%0%100%
The jobAverage job value$$0$5,000

The starting numbers are examples, not promises.

Today

Jobs
31
Revenue
$37,029
Cost per booked job
$194

With the responder

Jobs
54
Revenue
$64,800
Cost per booked job
$111

Difference

+$27,771

+23 jobs a month

Revenue with the responder minus revenue today, from the same ad spend.

How the chain is calculated

  1. 1Impressions = 428,571
    $6,000 ÷ $14 CPM × 1,000
  2. 2Clicks = 5,143
    428,571 impressions × 1.2% CTR
  3. 3Leads = 154
    5,143 clicks × 3% lead rate
  4. 4Jobs today = 31
    154 leads × 20% booked
  5. 5Jobs with the responder = 54
    154 leads × 35% booked
  6. 6Revenue = $37,029 · $64,800
    jobs × $1,200 average job value

A note on the numbers

The example numbers are starting points, not promises. Replace them with your account's numbers and every step recalculates. The “with the responder” number changes one thing only: the share of leads that turn into jobs, because a lead answered in 60 seconds books more often than one answered tomorrow. The example is an assumption, not a measurement.

After someone clicks the ad

Where the money leaks after the click.

The missed call

The ad works, the phone rings, you are on a roof. The lead calls the next name. A text from your number in 60 seconds is the cheapest fix in the chain.

  1. 2:18Missed call
  2. 2:19Text from your number
  3. 2:21Job booked

The slow reply

A form lead answered tomorrow is half as likely to book as one answered now. The responder answers now, within the permissions you set.

Answered within a minute
Answered tomorrow

No follow-up

Most leads say yes on the second or third touch. Day 2, 5 and 10, with something useful to say, then it stops.

  1. 2Day 2
  2. 5Day 5
  3. 10Day 10
  4. Stops when they answer

Your numbers:

$6,000 · CPM $14 · CTR 1.2% · Lead rate 3% · Booked 20% → 35% · Job $1,200

Difference+$27,771
Send me your numbers