How much does a new website cost?
Should you Invest In a new Website?
Here’s how to calculate your ROI (Return on Investment).
Caveat: If you spend $99 to buy a discount-site, but the site doesn’t perform, or even creates negative publicity for your business, what’s the cost? We think the cost of a negative first-impression is too high for our small business owners. It’s why we work the ROI based on the real investment in a small business website that makes you look good and get’s you search engine optimized. Read about Foundness.
Determine your goals
Is your goal to discover new clients/customers?
Or, do you want to increase credibility with those already in your network? (Maybe both.) So, how close can you come to placing a dollar-value on those relationships; knowing that keeping a client costs 5x-less than discovering and cultivating new relationships with new clients. And yet, we need to continue to build relationships with prospective clients. Your website provides information for those who are looking to become aware of what your offer.
Awareness > Consideration > Decision
Your website creates awareness, but then it goes on to engage visitors by providing the content they need to consider their investment and make a decision. Moving people through that process takes time and effort. As you decide what to spend on curating ongoing relationships with current clients, and cultivating relationships with potential clients, ask yourself, what’s your time worth? (What’s your hourly rate?) How many hours do you save by having someone else develop your site so that you have the bandwidth to stay connected with current clients? What’s the actual dollar amount on your time?
Now, let’s do the math. How much is a new client worth? (speaking solely in dollars and sense)
And, when you do the math, what is the average lifetime value of that client? Let’s say that this client pays you $2,500 for your services this month, and only uses your services once a year (but will likely remain a client for 4-years. $2,500/ year x 4-years means their actual contribution to your bottom line is $10,000.
Cost of Website/Lifetime expectancy = ROI of 200%
$5,000-Website/$10,000-Client = ROI that doubles your investment This one client pays for the website and earns you $5,000 you didn’t have before the website; that said, it this information doesn’t help with your monthly cash-flow projection, so read on.
Track (or project) leads per month by type
Lead forms from your website - 10
Phone calls from your website - 10
Contact us form - 5
Blog sign-ups - 5
Complimentary consult - 3
Complimentary download - 7
Determine your close rate by using a blended 5% average from these mediums; though if one lead is going gang-busters, I encourage you to calculate that lead independently of the others so you know its true value.
5. Let’s calculate your ROI
With monthly total leads of 40 and a close-rate of 5%
Total Leads x Close Rate = Closed Leads
40 x 5% = 2
Now, take your Closed Leads x Monthly Value = Monthly ROI.
2 x $2,500 = $5,000
MO/ROI $5,000 - Website Cost $5,000 > 100% MO/ROI
Using this method for calculating monthly ROI and you would pay for your new website in the first month with two new clients.
Project your ROI: Closed Leads (2) x Lifetime Value (4-years at $2500/year) - Website Cost = Lifetime ROI
2 X $10,000 - $5,000 = $15,000 > 300% Lifetime/ROI
There’s a second metric to calculate out of these same numbers; that’s your “Cost Per Lead.” Here’s how to calculate that your CPL.
Total Website Cost / 48 Months (4 years) = Monthly Website Cost
$5,000 / 48 = $104.16
Monthly Website Leads / Monthly Website Cost = Cost Per Lead
$104.16 / 40 = $2.60 per lead
Complimentary Website Consult
Websites that Pay for Themselves
This year, when a PROLIFERATE client told me they hit their year-end goals in July, I was elated!
And, when a COLLABORATE client’s website helped them to overcome a major business obstacle and double their bottom line, I was ecstatic.
I love creating websites that get you to your business goals!
But, if you’re like me, you don’t want to have to hand over your contact info just to discover that there’s an exorbitant cost attached.
So, here’s everything you need to know about the cost of designing a website for your small business.
Because it’s helpful to have a sense of the bigger picture, my website fees are about 90% less than big agency fees, and a good-deal higher than a plug-and-play discount option - because your website needs to represent your best work and be search engine optimized. Bottom line?
Your website needs to be one that you’re glad to refer prospective customers to, because you’re so proud of the way it looks and works!
Upfront costs (details below)
Transparent process (no surprises)
Life, like it should be (honest, proven, we do what we say)
$500-$1000\Website Updates for Existing Clients
2. STARTING GATE
Good for Small Beginnings & Special Events
$2500 \ 1 Week Design Time \ 3-page custom website
Good for start-ups that need to get their name and service or product out there, search-engine-optimized, with an engaging presence
Good too for an online resume, wedding or anniversary
1-Hour of Training so that you can update the site yourself
Great for Small Business, Non-profits, LLC’s
$5000 \ 2 Week Design Process and you’re up and running \ 5-10 page custom website or website make-over
Great for new and existing small businesses ready for an updated look that’s clean, current and captivating
Compelling content, Branded image (photos, icons and favicon), Search-engine-optimized and Indexed with Google
2-Hours of Training so that you can update the site yourself
For Small Businesses Utilizing or In Need of Integrations
$10,000-$15,000 \ 4-6 Week Design Process \ Custom website with app-integrations
Often utilizing a CRM interface, email campaign links, maps, menus, catalogs, MLS, or other app-integrations in support of business goals
1-2-Hours of Staff Consultation and Training per week, gathering input and cultivating confidence in your ability to modify and maintain your site yourself
Small Businesses with a Larger Footprint (some are national, some are local and scaling-up)
$20,000-$90,000 \ 2-9 Months \ complex business websites
Often with back-end integrations or business resourcing for businesses ready for growth outcomes (I’m glad to resource the tools you need, present you with options and help you on-board those resources)
1-2-Hours of Staff Consulting and Training per week (more as needed) so you’ll be ready to modify and maintain your website
NAVIGATE other costs (no surprises)
If we’re building a new website, you’ll want to add about $225 for a Squarespace license and domain (or domain transfer)
You may have your own photos and images, but if not (or if they need updating), factor in $200 for image (photo) licensing; larger sites will require more images (with the option for video creation)
And that’s it. In a nutshell.
What are you thinking might work within your budget? Take a quick second to fill out the WEBSITE CONSULT form and then, let’s talk.
Now scheduling for the close of 2019. Once you schedule your time, you won’t share it with other clients. I’m totally yours, devoted to your site and your project for the duration of your design-time.
Creating great websites that boost your online presence and bottom line, that helps you achieve what’s possible - thrills me.
You’re just 2-weeks away from Amazing; with the CAPTIVATE DESIGN for small business and social enterprise.
What would you like your website to do for your business? It’s worth a conversation; because getting from here to there requires a plan worthy of our dreams, our effort, and the enterprises and businesses we want to see soar.
Let’s connect and see what solutions your website might provide.
Website Designer & Strategist
A Website that works as Hard as You do
A Website that gets you found with SEO, Google indexing and analytics & the business to prove it
A Website that readers return to, often
A Website that’s a great representation of your best work
A Website whose image is spot-on, engaging your clientele
A Website whose content conveys your unique value proposition