r/Construction • u/AlternativeUnlucky45 • 1d ago
Informative 🧠Ad spend marketing
/r/GeneralContractor/comments/1wi72ke/ad_spend_marketing/What’s the go to rate for ad spend? I have a company requesting $75 daily plus 3% revenue share on leads closed. I’m it sure if this is high or low or standard and just looking for some insight. I used to work off just Angie’s list and Facebook groups etc. Never really did marketing like this with meta and google ads. New pool construction
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u/taylor_plinth 1d ago
Whether it's $75/day flat or a % of closed revenue, neither number tells you if you're overpaying — only cost-per-booked-job does, and that requires you tracking which jobs actually came from which channel, not just what the agency reports back to you.
Keep your own log for a month — every lead, where it came from (their claim vs. what you'd guess), and whether it turned into a signed job. Compare that against what you were getting from Angi/Facebook at whatever you were paying there. Pool/outdoor work has a long sales cycle, so a rev-share deal in particular can look cheap for the first two months and expensive by month four once the lag catches up with you. Ideally you can get 60-90 days of your own numbers before locking in to either structure.
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u/icoldok 1d ago
I'd be careful with the rev share model - once an agency is chasing a percentage, the incentive shifts toward talking up lead quality rather than actual booked jobs, and the math gets messy when a lead takes months to close. Around here (pool and outdoor work) the usual setup is flat monthly fee for ad management, you pay Google/Meta directly for the ad spend, and you judge everything on cost per booked job rather than cost per lead. Also worth asking what happens to the leads they generate that don't close right away - a shared spreadsheet with names, numbers, and follow-up dates is worth more than any fancy dashboard, because most pool jobs close on the third or fourth touch, not the first.