Media Spend in Plumbing

Goals

To find the average marketing spend within California's plumbing industry to guide marketing efforts for a plumbing services client.

Early Findings

Marketing Spend

  • According to DP marketing services, between 9-10% of a plumbing company's revenue should be allocated to marketing. The Small Business Administration recommends that 7-8% of revenue be ploughed back into the business towards marketing.
  • The size of California's plumbing and HVAC industry is $19.7 billion.
  • Ideally, the plumbing and HVAC industry in California should be spending $1.97 billion (10%*$19.7 billion) on marketing.

Digital Marketing Metrics

  • The average cost per customer acquisition for the professional services industry--electricians, contractors, plumbers, hair, etc.--in the United States (survey sample of United States, Canada, and Australia) is $49.74 (without machine learning).
  • The cost per click for the professional services industry is $3.55 without ML and $3.25 with ML.
  • The professional services industry has a conversion rate higher than all other industries: 7.88% without ML and 8.47% with ML.
  • Based on the fact that the professional services industry has a higher digital marketing conversion rate than any other industry, and given that digital marketing has a higher share of media spend than traditional media, digital is the best media vehicle for marketing plumbing services.
  • Ninety-seven percent of consumers search for plumbing services on the internet. A blog more than quadruples the chances of ranking high on search results.
  • Nearly two in three (63%) consumers engage with a company via its website; 30% would not consider the services of a company that does not have a website.
  • Over two in three (70%) expect a company to have a social media presence.

Proposed next steps:

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