Do This If You’re Spending Money on Ads and Not Closing Sales
Do This If You’re Spending Money on Ads and Not Closing Sales
A home service client spent $2,083 on ads.
They generated 38 leads.
Those 38 leads represented $74,000 in potential revenue.
But they only closed $4,000.
At first glance, it looked like a lead problem. But it wasn’t. It was a sales problem.
Here’s the reality for most home service businesses: you aren’t tracking your marketing deep enough to know whether you have a lead issue, a sales issue, or a marketing channel issue.
If you’re spending money on ads but unsure what’s working, here’s how to fix it.
Six Steps to Track Your Marketing (Properly)
Step 1: Build a dedicated landing page.
Create a landing page specific to each ad channel. If you’re running Google Search Ads, send the traffic to a page like yoursite.com/google-leads. Any lead from that page is clearly from that channel.
Step 2: Use channel-specific tracking forms and phone numbers.
Your form should include the channel in the subject line (e.g., “Estimate Request – Google Ads”), and your phone number should have a whisper message so your team knows where the call came from.
Step 3: Place tracking numbers inside your ads.
Many people call directly from ads. If you’re running Google Local Service Ads or Facebook Ads, insert your tracking number so you can see exactly which calls came from which channels.
Step 4: Capture leads in a centralized spreadsheet.
Don’t let leads sit scattered across emails and call logs. Use Google Forms connected to Google Sheets to collect every lead, tagged by the channel and date.
Step 5: Match leads to sales.
At the end of each month, cross-reference your leads with your CRM to see which turned into quotes, invoices, and closed jobs. Even if you do it manually, this gives you a clear snapshot of return on ad spend.
Step 6: Make decisions with your data.
Tracking is useless without decisions. Once you have your return on ad spend, you will see exactly where your bottlenecks are.
Four Decisions You Need to Make
Once you have clear data, you’ll face four situations:
1. Leads are too expensive.
You spent $2,000 and got one lead. It’s time to update your landing page copy with special offers, adjust your ad creative, or refine your keyword strategy to lower your cost per lead.
2. Lead quality is low.
You spent $2,000 and got 20 low quality leads. To fix this:
- Add friction to your forms by asking qualifying questions.
- Narrow your geo-targeting to focus on high quality zip codes.
- Switch from broad match to exact match keywords to avoid irrelevant traffic.
3. Sales process is broken.
You generated $70,000 in potential revenue but only closed $2,000. Here’s how to fix it:
- Create an automated follow-up sequence for estimates.
- Build a rehash program with a CSR or inside sales rep to follow up by phone and text.
- Add expiration dates to estimates to create urgency.
4. It’s working, so scale.
You spent $2,000 and closed $35,000 in revenue. Now it’s time to increase your ad budget, but do it systematically. Monitor monthly, adjust for seasonality, and watch for diminishing returns as you scale.
The Framework: Do More. Do Better. Do Different.
Alex Hormozi says:
- Do more of what’s working.
- Do it better by improving your copy, offers, and targeting.
- Do different by testing new channels when you hit scaling ceilings.
This is exactly how we helped one home service business grow from $1.5M to $3M in 12 months: we dialed in tracking, identified what worked, doubled down, and fixed what was broken.
If you’re tired of gambling on ads and want predictable growth, start here: track everything, read your data, and act on it.
That’s how you build a marketing system that consistently fuels your business with profitable jobs, not just leads.
