Look, I’ve sat through hundreds of monthly marketing meetings.
I’ve seen business owners get excited because their Facebook post got 500 likes or their website traffic went up by 20%. They’re smiling, the agency is patting themselves on the back, and everyone feels great.
Then I ask one question: “How many of those people actually called you?”
Silence.
Usually, the answer is “I don’t know” or “Not many.”
That’s the problem with most marketing reports. They’re designed to make the person sending them look good, not to help you grow your business. At Local Marketing Group, we call these 'Vanity Metrics.' They look pretty in a graph, but you can’t buy a beer with a ‘Like.’
If you’re running a business in Brisbane—whether you’re a plumber in Coorparoo or a lawyer in the CBD—you don’t have time for fluff. You need to know if your marketing is making you money or just burning it.
The Trap of 'Big Numbers'
Agencies love big numbers because they’re easy to get.
It’s easy to get 10,000 people to see an ad. It’s hard to get 10 people to pick up the phone and book a job.
I remember working with a local tradie who was spending $3,000 a month on SEO. His 'impressions' were through the roof. Thousands of people were seeing his business name online. He thought he was killing it.
But when we actually looked at his phone, it wasn’t ringing any more than usual. He was paying for fame, not for work. We had to sit down and figure out where sales come from before he went broke.
Here is the reality: If a number doesn't lead directly to a customer, it’s probably a vanity metric.
Impressions and Likes are Rubbish
Let’s start with the worst offenders.
Impressions: This just means your ad or link showed up on someone’s screen. They might have been looking at it, or they might have been scrolling past to see a video of a cat. It’s a useless number on its own.
Reach: Similar to impressions. It tells you how many people saw your stuff. Great for Coca-Cola. Useless for a local business trying to fill their calendar for next week.
Likes and Follows: Honestly? These are ego boosters. I’ve seen businesses with 50,000 followers go bankrupt. I’ve also seen businesses with 100 followers make $2 million a year.
Don’t get me wrong, it’s nice when people like your stuff. It shows you aren't a ghost. But don't ever mistake a 'Like' for a lead.
The Numbers That Actually Matter
If you want to know if your marketing is working, you only need to look at a few specific things. These are the 'Hard Metrics.' They aren't always pretty, but they are honest.
1. Cost Per Lead (CPL)
This is the big one. How much did you spend to get one person to enquire?If you spent $1,000 on Google Ads and you got 10 phone calls, your CPL is $100.
Is that good? It depends on what you sell. If you’re a locksmith and a job is worth $150, then paying $100 for a lead is rubbish. You’re barely breaking even after you pay for petrol and tools.
But if you’re a builder and a renovation is worth $50,000, then paying $100 for a lead is the best deal you’ll ever get.
2. Qualified Enquiries
Not all leads are created equal.I’ve seen businesses get 50 leads a month, but 45 of them were people looking for something the business doesn't even do, or people with no money.
This is usually because your website or your ads are too vague. You need to know which ads make money by tracking which ones bring in the high-value customers, not just the tyre-kickers.
3. Sales Conversion Rate
This isn't just a marketing number; it’s a business number.If your marketing gets you 20 leads and you only close one deal, you have two possible problems: 1. Your marketing is bringing in the wrong people. 2. You (or your team) aren't great at selling.
You need to know which one it is. If the leads are good but you aren't closing them, spending more on marketing is just wasting cash.
4. Customer Acquisition Cost (CAC)
This is the total cost to get a paying customer through the door.Take everything you spent on marketing and sales in a month. Divide it by the number of new customers you got.
If it cost you $500 to get a customer who only spends $400, you’re in trouble. It sounds obvious, but you’d be surprised how many business owners don't actually know this number.
Why Your Website is Probably Leaking Money
I see this all the time in Brisbane. A business owner pays for great ads, people click on them, they go to the website... and then nothing happens.
No calls. No emails.
Usually, it’s because the website is a mess. It’s too slow, it doesn't work on phones, or the contact form is 20 fields long.
If your website traffic is high but your enquiries are low, your website form is costing sales. You’re paying to send people to a shop that has the doors locked.
Fixing your website is often the fastest way to make your marketing more profitable without spending an extra cent on ads.
How to Read Your Next Marketing Report
Next time your marketing person or agency sends you a report, I want you to ignore the first three pages of graphs.
Skip the 'Engagement' and the 'Click-Through Rates.'
Go straight to the bottom line. Ask them: - How many people called us or emailed us from these ads? - What was the total cost for each of those people? - Which specific campaign brought in the most actual sales?
If they can’t answer those questions with real numbers, they’re guessing. And they’re guessing with your money.
The “So What?” Test
Every time you see a number in a marketing meeting, apply the “So What?” test.
“Our website traffic is up 30%.” So what? Did they buy anything?
“We got 2,000 views on our latest video.” So what? Did anyone book a consultation?
“Our cost per click dropped by 50 cents.” So what? Are those clicks turning into customers?
If the answer to “So what?” isn't about money or time saved, it’s a vanity metric. Toss it in the bin.
What Should You Do First?
Setting this up isn't an overnight job, but it’s the only way to run a real business.
First, make sure you have call tracking in place. You need to know exactly which phone calls came from Google, which came from Facebook, and which came from your business card.
Second, look at your website. If you were a busy customer with a problem, could you find your phone number and call you in less than five seconds? If not, fix it.
Marketing shouldn't be a mystery. It’s just math. You put a dollar in, and you should get more than a dollar back. If you aren't seeing that, something is broken.
Stop worrying about being 'famous' on social media. Focus on the numbers that actually pay the mortgage.
If you want to stop guessing and start seeing which parts of your marketing are actually working, we can help you sort the wheat from the chaff.
Drop us a line at Local Marketing Group. No jargon, just the numbers that matter.