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Yellow Pages ROI defined.(LETTERS)(Letter to the Editor)

By Collier, Ron
Publication: Contractor
Date: Monday, August 1 2005

DRIPPING SPRINGS, TEXAS -- In a news story in your June issue, I do not believe the statement that "plumbing contractors get $10 back in revenue for every $1 they spend on Yellow Pages advertising" ("'Plumbing Contractors' ranks 11th in Yellow Pages look-ups," pg. 5).

Contractors should invest no more than 20% of their total ad dollars in Yellow Pages. Return on investment is not sales generated by Yellow Pages but profit generated by Yellow Pages.

Return on investment is defined as net profit divided by cost of the ad. If a contractor spends $1,000 per mont

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