Okay, after more than 20 articles, I'll get this one out of my system, which is much less technical and much more personal.
I would love to start a whole discussion on the value of money and talk about Karl Marx's Das Kapital, a book written more than 150 years ago but with very real premises that are also present today.
The perception of what is expensive and what is not is determined by a series of social elements, customs and economic possibilities.
For two people who are socially and economically almost identical, a €1000 holiday may seem expensive for one and normal or acceptable for the other.
There are people who are waiting for the new iPhone to be unveiled so they can buy it on a credit card or, as the banks say, in 24 easy monthly payments, and then there are people who might be Apple shareholders but have a 5-year-old iPhone.
There are people who love Louis Vuitton bags and are convinced that €2000 is a good investment or a good buy, and there are others who would never spend more than €100 on a bag. And then of course, there are people who can't afford it and buy it, and people who could buy out the entire boutique and don't.
This is an important topic of discussion that I have with my clients when we analyse product pricing.
It is essential to understand one thing: you, your accountant and your team do not have to like the price of your product or service. The market has to like the price, and you have to position yourself in a very specific place in the jungle of business in general.
Once you have chosen your place in the market (or rather, when the market puts you in your place), what you don't have to do is to move from it. But no – people move out of fear, because they want fast results and because they think that they're not selling just because of how their product or service is priced, but that's not the case.
You can get a Swatch watch for €60 or a Richard Mille watch for €300,000; both are watches, both are made in Switzerland and both are worn on your wrist, but each has its market position.
The art of marketing is to understand who is going to buy your product and to show it to them at the right time – that's all there is to it.
People often contact me wanting to launch a project where they think that the most important thing is to be "cheaper than" or to have a strategy based on low cost.
Low cost has had, still has and will always have dedicated companies – look at EasyJet and Ryanair, how they have changed air travel, or look at other companies that have "democratised" luxury fashion (or are trying to).
I imagine that all the leads who receive our quotes thought (or hoped) that we would be "cheaper" (our monthly fees start at €1000/month and our hourly rate for consultancy is €200/hour). I don't understand why everything is so secretive regarding consultancy and agency fees, but let's move on.
This happens less now because people get informed and read my articles and FAQs, but in the past, I would often hear: "It's so expensive", "I thought it would be much cheaper", "we're just starting out", "my cousin does it for much less", and so on.
And it's all good. Technically speaking, it's what we call "need for service with negative touchpoint in the budget phase". This lead will find an agency that suits them better, and we will find a client more in line with our profile.
What is expensive in Google Ads? Expensive is running campaigns without strategy, without planning, without testing, without measuring conversions, without analysing data – that is expensive.
I don't spend my clients' money. I invest my clients' money.
And as you can well understand, a service of this level cannot be worth €200/month.
That's because my experience over the last 10 years managing Google Ads accounts has taught me that "cheap" is incredibly expensive for clients.
I don't consider our fees "expensive", I consider them in line with the international market of Google Ads experts who have years of experience in 15 different sectors and who have brought all of their clients positive ROI.
Years ago, in a bar in Dublin, having a drink in the company of other Google Ads professionals there for a Google Partner Summit (in the photo, one of the relax rooms at Google HQ in Dublin, Ireland), I met a businessman, and I think of his words every day:
"Remember Dean, you will find the market price when your clients or potential clients complain but keep buying."
On to the next conversion with Google Ads!