This is one of the most common questions we hear from local entrepreneurs. A small business owner in West Des Moines recently told us they were quoted $2,000 to $4,000 per month for digital marketing services. Is that excessive?

Honestly, there’s a clear way to answer that—by understanding your numbers and tracking performance. Let’s break it down.

One of our core principles at RB Web Development in Des Moines is this: never spend money on digital marketing you can’t track.

It’s easy to get overwhelmed by offers to advertise in directories, sponsor flyers, or be featured in a local bulletin. But unless you’re tracking the return, it’s not marketing—it’s a donation. And donations don’t grow your business. That’s why any smart digital advertising strategy should be built around measurable results.

LTV refers to how much revenue a typical customer generates over the entire duration of your relationship. Some Des Moines businesses have one-off clients—like a medical specialist or divorce lawyer. Others rely on long-term repeat business.

Here are a few illustrative examples:

• Wedding cake decorator: 1.2 cakes per client × $800 per cake = $960 LTV
• Consultant: 9 months × $600/month = $5,400 LTV
• Mechanic: 12 years × $1,200/year = $14,400 LTV

These numbers don’t have to be exact. Make your best estimate now and refine it as you go.

Let’s revisit our consultant example. If your customer is worth $5,400, spending $540 to gain that client isn’t unreasonable. That’s your customer acquisition cost (CAC).

Your CAC should guide your spending decisions across your entire digital marketing plan.

Very few businesses land every lead. Most convert a percentage. Let’s say your close rate is 1 in 5 (or 20%). That means you need 5 leads to secure 1 paying customer.

Now you can calculate your cost per lead:

$540 CAC ÷ 5 leads = $108 per lead

If you’re willing to spend $540 to get a customer and it takes five leads, then you can afford to spend $108 per lead.

This kind of simple math is often missed when setting up digital marketing services, but it’s essential for predictable growth.

How many new customers do you want each month? Let’s say the answer is 20:

• 20 customers × 5 leads = 100 leads/month
• 100 leads × $108 = $10,800/month marketing budget
• 20 customers × $5,400 = $108,000 in projected lifetime revenue

This kind of clarity turns your digital advertising strategy into a powerful growth tool.

Let’s say you’re a craft seller earning $20 profit per sale and willing to spend $5 to acquire each customer. Want to earn $1,000/month? You’ll need 50 sales and a $250 digital marketing budget.

A Des Moines-area home builder makes $200,000 profit per build and wants to construct five homes per year. With a $1M annual profit goal, they’re willing to invest $30K per home—totalling a $150K marketing budget. That might include $40K for events, $60K for leads, and $4K/month on ongoing digital efforts.

In a growing hub like Des Moines, having a well-planned digital marketing budget isn’t just smart—it’s essential. Understanding your numbers—LTV, CAC, conversion rates—can help you maximize results.

At RB Web Development, we help businesses in Des Moines, West Des Moines, Clive, and nearby areas build websites and digital marketing systems that get measurable results. From design to lead funnels, our goal is to make your investment work harder.

Need a digital marketing plan based on real numbers, not guesswork?
Reach out to RB Web Development for a free consultation. Let’s build a smarter strategy together.