The CPL Ceiling Strategy for Course Creators

The CPL Ceiling Strategy for Course Creators

“The person who can afford to spend the most to acquire a new customer, wins.” 


A classic Dan Kennedy quote.


Your 1 line online business growth strategy.


If you’re using Facebook ads to sell digital products using this strategy you need to understand your CPL Ceiling.


Let’s dive in


The CPL Ceiling is the maximum Cost Per Lead (CPL) you can afford while still maintaining profitability. It’s essential to know your CPL Ceiling, so you can optimize your Facebook Ads and strike the perfect balance between ad spend and profit.


How to calculate your CPL Ceiling? It’s simple! Divide your target profit margin by the average Customer Lifetime Value (CLV). This magic number will help you set a cap on your ad spend per lead, ensuring you stay profitable while scaling your campaigns! 


I know how much everyone loves math so let’s do a quick CPL Ceiling calculation! With a $3,000 LTV and a 50% profit margin, your CPL Ceiling is $50 (1,500/3,000*100). Spend up to $50 per lead while keeping profits high. 


So, you’ve got your CPL Ceiling. Now, it’s time to optimize! Here’s how:


  1. a) Test ad elements: Experiment with headlines, images, and CTAs to lower CPL
  2. b) Targeting: Test audiences to reach high-value prospects with lower CPL. 
  3. c) Monitor & adjust: Keep an eye on your CPL and tweak campaigns as needed.


Using the CPL Ceiling to drive sales of digital products:


  1. a) Create irresistible offers: Bundle products or offer bonuses to increase perceived value. 
  2. b) Mini-Front End Offers: Create immediate post-opt-in upsell offers for instant 
  3. c) Nurture leads: Craft high converting post opt in email sales sequences to convert leads into customers. 


RECAP: The CPL Ceiling is a powerful concept that helps you optimize Facebook Ads for profitability. By calculating your max CPL and adjusting campaigns accordingly, you’ll be able to scale your ads, drive sales of digital products, and win in the competitive market! 

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