Advertise Your Sober House Online: 5 Tips for Operators

February 28th, 2011

It’s no shock that internet advertising has become a powerful tool in attracting residents. Similar industries (e.g. Treatment Facilities) have dedicated a substantial portion of their advertising budget to finding customers online. As sober house operators, we are catching up slowly but surely. We are building websites, joining industry databases, posting ads on craigslist, and even using pay-per-click advertising.
Here are 5 tips to advertising online without breaking the bank:

Tip 1 – Make a Plan

The first step is to create an Internet Advertising Plan. Much like a business plan for entrepreneurs, an advertising plan identifies your goals and the steps you are going to take to reach those goals. This plan should answer the following questions: What are my goals? What’s my plan to reach those goals? How many resources (time, money, etc.) am I willing to dedicate to reaching my goals?

Keep your plan simple and concise. In the internet advertising world, success is gauged on the number of clicks (AKA views) your advertisement receives. In general, clicks tell you the following: the number of people who know you exist and are interested in your service. The more clicks the merrier!

Tip 2 – Make a Budget

Whether your budget is $100/month or $5,000/month, everyone has a budget. In theory, your advertising budget should be between 10% and 12% of your gross sales (how much money you make before expenses). So if you gross $10,000/month, then you should spend between $1,000/month and $1,200/month on advertising. This includes both traditional and internet advertising. Your budget may be more or less depending on your individual situation. Once you have decided on a budget, make it part of your advertising plan.

Tip 3 – Identify Advertising Options

Advertise your business where your customers will find you. For sober housing purposes, Yellow Pages is not cost effective. I recommend industry databases (e.g. www.SoberShelter.com), Craigslist.com, Facebook.com, and pay-per-click advertising (with search engines like Google.com). There are more options out there but you’ll need to do some research.

Tip 4 – Design Your Advertisement

Before you spend a dime, know what you’re trying to accomplish. In theory, the more people that view your advertisement the more residents you’ll attract. The caveat is that you need to advertise the right message to the right people. Advertise your service using clear language (e.g. Orange County Sober Housing for Men). Especially with pay-per-click advertising, it’s a waste of money if people click on your advertisement because they think you offer something that you don’t.

When advertising your sober house in an industry database, use relevant photos, accurate information, and good spelling. Residents will gauge your service based on how you present yourself.

Tip 5 – Monitor Your Results

After you’ve created and implemented your Internet Advertising Plan, you’ll need to monitor your results. Services like Google Analytics for websites are powerful resources. Analytics will tell you how many clicks you received, how long they stayed there, what pages they looked at, and pretty much anything else you want to know. Many industry databases (i.e. Sober Shelter Registration) also offer this information. On a side note, if you are paying to be in a database or for internet advertising services, request the analytics of your advertisement’s performance. This information will help you decide if what you are paying for is worth it.

Sober Living Homes & Internet Advertising: Is it worth the money?

October 21st, 2010

Everything you need to know about anything is online.  And I mean EVERTHING!  Information is the name of the game and we’re all winners.  With today’s smart phones (i.e. Iphone & Blackberry) the internet’s power, much like a faithful companion, goes where you go and can be called upon at any time.

For businesses, the internet creates a shift in how we reach customers.  Why spend thousands on television ads when our customers’ spend all their time in front of a computer?  The internet is the most efficient and cost-effective way to reach any customer in any business.  Sober-living homes are no different.

Here is my promise to you: Join the internet bandwagon or risk becoming obsolete with your black-and-white flyers.

As Sober House Operators you advertise to attract residents.  Residents use the internet to find sober houses.  Therefore, you can comfortably conclude that by successfully advertising online, you will attract more residents.

In case you didn’t notice, I used the word “successfully” to describe how you must advertise online.  This is important.  The internet is so big and convoluted that if you don’t spend your time and money in the right place you won’t see results.  How do you know if the online advertising you use is worth the money?

From the beginning of time (at least in the internet advertising world) website people have used website analytics to see how many people are visiting their site, where they are coming from, how much time they spend there, what pages they are visiting, and pretty much anything else they wanted to know.  Personally, I use Google Analytics and it’s a valuable resource.  As an operator, you want to know how many people are viewing your advertisement, clicking on your advertisement, and how many of those people are visiting your advertisement for the first time.  This information is available and should be provided upon request.  If your advertiser can’t prove their success with cold hard analytics, you may need to dig a little deeper to determine if they are all they say they are.   

The information gained from website analytics is what you need to intelligently justify whether or not the money you’re spending on internet advertising is worth it.

Advertising success is measured based on ROI (return on investment); how much you spend on advertising in comparison to how much you make.  What a potential resident will do once they see your advertisement can not be individually confirmed.  Therefore, you have to make some educated guesses using math and industry knowledge. 

I will use an Advanced Listing from www.SoberShelter.com (a nationwide sober housing database) as an example.  If 100 people click on your sober house listing (which is FREE by the way) you can expect 25 potential residents to contact you via phone or email.  Of those 25 potential residents, 15 will schedule an appointment and 5 of them will move in.  So, if you’re willing to spend $100 per new resident, then you should be paying no more than $500 for those 100 clicks.

This example is meant to describe the logic used to determine if the internet advertising you’re paying for is worth it.  As mentioned before, both math and professional judgment are required to make good decisions.  My suggestion is to let the advertiser state their case.  If their proposition sounds fair, consider it.  After all, it takes money to make money.

About the Author:  Jeffrey Shurtleff is the founder of www.SoberShelter.com.  Mr. Shurtleff specializes in helping sober-living homes across the nation advertise their services via the internet.  If you’re an operator and you’d like help attracting residents using the most powerful marketing tool available (the internet, duh) you can contact him at jeff@sobershelter.com or (657) 464-9973.

Facebook for Sober Living Homes: It Pays to be Social

August 16th, 2010

How popular is Facebook? Very popular! There are over 500 million users that spend more than 700 billion minutes a month making friends, posting comments, and inviting people to events. Everyone I know, in both my personal and professional life, has an account and posts regularly.

Facebook is a type of Social Media. This type of media provides a great opportunity for all businesses, including sober living homes, to connect with their customers and increase sales. Many sober house operators have recognized this fact and have started using Facebook to advertise their service as well as make industry connections. These connections have increased referrals, provided answers to questions, and educated operators on how to improve their business.

Think about it like this: I have 50 friends who operate sober-living homes throughout the United States and I’d like to know how to find a good house manager. Well, you now have 50 different solutions and it didn’t cost you a penny.

Have you ever wanted to connect with the treatment facilities in your area? Using Facebook, you can send them a message and offer to take them lunch. Or maybe you’d like to stay connected with current and past residents. Personally, I can’t think of a better way than a status update. The possibilities are endless.

Here’s how to start. Create a Facebook account, find me (Sober Shelter), and request all my sober-living friends; and of course I’ll put in a good word in for you.

Click on the link below for my Facebook Account:

http://www.facebook.com/people/Sober-Shelter/100001135197170

Create a Plan & Market Your Sober Living House

June 17th, 2010

Many small business owners, especially new ones, underestimate the importance of marketing.  As sober living operators, we use marketing to bring awareness to our services in hopes of attracting new residents.  A continual stream of new residents means achieving our financial goals.  The importance of meeting such goals can be the difference between remaining in business and going under.

Successful marketing requires two things: A plan and the continual implementation of that plan.  I will give you 5 steps to creating a solid marketing plan.  The implementation of your plan is up to you.

To demonstrate, I will be referring to a fictitious sober living house in Orange County, California called Seaside Sober LivingSeaside SL caters to men, they charge $700 a month, and they have 6 of 12 beds available.

 

Step 1: Create a Budget

 

How much are you willing to spend in order to attract 1 new resident?

After determining the average resident’s length of stay as well as other related expenses, Seaside SL has determined that they can invest $400 per new resident and still make a profit in the first month.  In total, Seaside SL will invest $2400 in hopes of filling the 6 vacant beds.  

Step 2: Identify your Target Market                               

 

Who and where are your potential residents?

Based on the services they provide, Seaside SL has identified the following characteristics of their target market:

  • Men
  • Between 18 and 55
  • Stable in recovery   
  • Currently living in Orange County, Riverside County, or Los Angeles County

Step 3: Design your Message

 

What do you want residents to know and feel about your service?

After a thorough review of their goals and objectives, Seaside SL would like residents to know that their home is safe, clean, and affordable.  Overall, they want residents to identify their home as a great place to live while in recovery.  Using this information, they will pull from the artist within and create a marketing campaign that successfully delivers this message.

Step 4: Select your Marketing Vehicles

 

What marketing vehicle are you going to use in order to effectively deliver your message?

Seaside SL has selected flyers, brochures, and internet marketing as the 3 marketing vehicles they will use to reach residents.  They will post flyers and pass out brochures at local peer-support meetings (i.e. AA meetings) and treatment facilities.  Seaside SL will list their home in an online database dedicated to sober housing services (i.e. www.SoberShelter.com ) and join the Southern California Sober Living Coalition.

Step 5:  Analyze your Performance

 

How are you going to track the performance of your marketing efforts?

On average, Seaside SL receives 5 calls or emails a week from prospective residents.  Based on previous results, they know 1 new resident will move out of 10 interested callers.  Seaside SL will track the performance of their marketing vehicles using the volume of calls and emails they receive.   They will also ask each caller how they heard about Seaside SL. 

Final Note

Although the 5 steps I discussed are somewhat simplistic, they work!  You don’t need to be a marketing expert to understand how to create and implement a successful marketing plan.  What you need is common sense and discipline.  I highly recommend you make marketing as much of a priority as your home’s operations.  Remember, it doesn’t matter how well you operate your sober living home if no one lives there.  Good luck and keep up the good work.

MARKET YOUR SOBER LIVING BUSINESS

April 14th, 2010

Marketing in general is difficult.  Marketing a sober house is very difficult.  Unlike most service businesses, sober houses are invisible to the naked eye.  In order to protect resident’s privacy, sober houses blend in with the neighborhoods in which they exist.  This means no neon signs, grand opening celebrations, or prominent marketing campaigns.

Although it’s difficult, it’s very important to market successfully.  Sober houses need a continual stream of new residents as current residents move forward with their lives.  Without marketing, this stream will eventually dry up.

The internet is one marketing tool you should not leave in the toolbox.  Surfing the World Wide Web is a convenient and powerful method residents use to locate services.  For your business, marketing on the internet is a cost effective alternative to traditional marketing.  Most internet marketing tools are inexpensive or free.  Below are 3 ways to improve your marketing efforts.

Craigslist.com

Craigslist.com is a good place to start.  Many people, especially the younger generation, use Craigslist for everything from buying a used futon to selling a new Rolex.  For sober housing purposes, Craigslist features a “rooms/shared” section.  Simply create an account, locate the city in which you operate, add a couple of photos, and let Craigslist do the rest.  Craigslist is free so start posting.

Industry Databases

Industry databases, such as SoberShelter.com, can provide maximum internet exposure.  Databases are regularly found at the top of search engines such as Google and Yahoo, thereby increasing a sober house’s chance of being discovered.  Residents, in some cases, may also consider a database as a more reliable source than a business’s private website.  The more databases you join, the more exposure you’ll have.  A good idea is to pretend you’re a resident, see what sober housing databases you find, then join them.

Associations

Joining an industry association is the third option.  Associations create referral lists of their membership and disburse those lists to the “right” people.  These lists can also be found on the association’s website.  The Sober Living Network, based in Southern California, is one example of industry association.  Besides the marketing exposure, you will also enjoy discounts on products and informative meetings.

As technology moves forward, the internet will become the most important marketing tool your business has.  Take advantage of this tool and reach residents for very little, if any, expense.