This Crushes Paid Ads — And Costs Pennies to Run

If you are not replacing your paid ad strategy with this, at the very least you should use it to mitigate the cost of paid ads and SEO.

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If you’ve noticed your ad spend going up while your results stay the same or worst, keep going down, it’s not your fault — the game has changed.

How to calculate how many views it takes to get close a remodeling job.

STEP 1 — Cost Per Click (CPC)

First we need to calculate how many views we need to get someone to click to go to our offer page.

The conservative numbers below are based on the average "Cost Per View" which is $0.04

CTR

2%

3%

5%

Views Needed

50 views

33 views

20 views

Cost Per Click

$2.00 CPC (worst case)

$1.32 CPC

$0.80 CPC

Realistic CPC: $0.80 – $2.00

Example: You pay $40 for 1,000 views

This is the foundation of the entire funnel.
Every other metric (CPC, CPL, CPA) is built on top of CPV.

If CPV is low, the entire funnel becomes extremely cost-efficient.

Your CPV = $0.04 → very cheap for home improvement.

This shows the cost to get someone physically on your website.

CPC is usually:

$12–$45 on Google Ads

$8–$30 on Facebook Ads

$0.80–$2.00 with your viral video strategy

This is the first MAJOR cost advantage.

STEP 2 — Click-Through Rate (CTR)

CTR tells you how many viewers click to your website.

Example:
2% CTR → 2 clicks per 100 views → 50 views per click (worst case)
5% CTR → 5 clicks per 100 views → 20 views per click

Why It Matters

CTR measures the effectiveness of your:

Hook, Story angle, Targeting, Thumbnail and Offer

High CTR means people are actually interested enough to move forward (Click Through).

Direct impact:
Lower views needed → lower cost per click.

STEP 3 — Website Conversion Rate

(to a Lead)

How many visitors fill out your form or call you?

Example:
10% conversion → 1 out of 10 visitors ÷ clicks becomes a lead
5% conversion → 1 out of 20 visitors ÷ clicks becomes a lead (worst case)

Why It Matters

Your website (landing page) determines:

How persuasive your offer is

How well you address homeowner pain points

How much trust you build (reviews, photos, social proof, giving the user what they want)

A good page/offer gives you:

More leads

Lower cost per lead

Higher ROI

STEP 4 — Cost Per Conversion (CPL)

CPL = Clicks Needed Per Lead × CPC

Example:
10 clicks needed (10% CVR) × $1.32 CPC → $13.20 per lead
20 clicks needed (5% CVR) × $2.00 CPC → $40 per lead (worst case)

Why It Matters

This is your real acquisition cost for a lead.

Compare that to industry standards:

Google Ads CPL: $75–$250

Angi Leads: $60–$200

HomeAdvisor: $90–$300

Facebook Ads (Takes about 5-10 Leads to get a conversion): $50-$100

Your Viral Video strategy: $13.20–$40 per lead

Massive cost advantage.

STEP 5 — Appointment Booking Rate

(AI Caller)

Booked Rate = Leads ÷ Appointments​

If your AI books 50–70% of leads:

50 leads → 25–35 booked appointments

Why It Matters

Appointment booking rate determines how much revenue you actually generate from your traffic.

A high booking rate lowers your cost per appointment and helps you dominate your market.

AI booking is typically MUCH higher than humans because:

AI calls instantly

AI follows up consistently

AI never forgets

AI doesn’t get tired

AI can call/text/email automatically

STEP 6 — Cost Per Appointment (CPA)

Cost Per Appointment = Cost Per Lead ÷ Booking Rate

Example:


$20 per lead at 70% booking rate:

20 ÷ 0.7= $28.50 per appointment

$40 per lead at 50% booking rate:

40 ÷ 0.5 = $80 per appointment

Why It Matters

This is the most important metric before the sale.

Compare industry appointment costs:

Google Ads: $250–$600 per appointment

Angi: $350–$900 per appointment

TV/Radio: $600–$1,500 per appointment

Facebook Ads: $71-$200

Your videos: $11–$80 per appointment

You become unstoppable.

STEP 7 — Closing Rate (Sales Team)

If your close rate is 20–35%:

10 appointments → 2–3 sales

20 appointments → 4–7 sales

Why It Matters

Closing rate determines how efficiently you turn appointments into revenue.

The better your close rate:

The lower your cost per sale

The higher your profit

The more you can reinvest

STEP 8 — Cost Per Sale

Cost Per Sale = Close Rate ÷ Cost Per Appointment​

Example:


$28 per appointment at 35% close rate:

28 ÷ 0.35 = $80 per sale

$80 per appointment at 20% close rate:

80 ÷ 0.20= $400 per sale

Why It Matters

This is the final business metric.

It tells you what it actually costs to acquire a customer.

In remodeling:

If your average job profit is $3,000–$10,000

Your cost per sale is $100–$250

This is world-class ROI.

Final Summary of Importance

STEP

1

2

3

4

5

6

7

8

9

METRIC

CPV

CTR

CPC

Website Conversion

CPL

Booking Rate

Cost Per Appointment

Closing Rate

Cost Per Sale

WHY IT MATTERS

Starting point of entire funnel

Measures how compelling your video is

Cost to get someone to your site

Determines lead efficiency

Real cost to acquire a lead

Converts leads into revenue opportunities

Main ROI metric before sales

Determines revenue potential

Final profitability metric

Even Simpler Explanation

If you spend $40, on average:

1,000 people see your video

30 click to your website

3 become leads

2 book appointments

You close 1 sale for every $60–$80 spent

This is 25–50x cheaper than Google, Angi, Facebook or HomeAdvisor.

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