Business Idea

Start A Social Media Automation Business

About

Starting a social media automation business requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell social media automation, or selling social media automation online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a social media automation business ➜

Key stats

market size
$4.06B
revenue (monthly)
$225K
starting costs
$27K
gross margin
40%
avg product price
$89
time to build
9 months
growth
SEO
business model
Advertising
time investment
Side project
work from home?
Yes

About

Starting a social media automation business requires a great deal of effort, dedication, and most importantly passion.

If you're interested in how to sell social media automation, or selling social media automation online, you can use this page as a guide for everything you'll need to know.

Want to learn more? You can check out our full guide on how to start a social media automation business ➜

Key stats

market size
$4.06B
revenue (monthly)
$225K
starting costs
$27K
gross margin
40%
avg product price
$89

 

time to build
9 months
growth
SEO
business model
Advertising
time investment
Side project
work from home?
Yes

Startup Costs

Min Startup Costs Max Startup Costs
Office Space Expenses $40 $2,350
Employee & Freelancer Expenses $0 $5,500
Equipment & Supply Expenses $525 $5,500
Website Costs $232 $6,500
Business Formation Fees $5,600 $20,400
Software Expenses $162 $3,094
Advertising & Marketing Costs $0 $2,500
Other Expenses $0 $800
Total Startup Costs $6,559 $46,644

Successful Businesses

Business URL Rank
GetResponse getresponse.com #1,340
MeetEdgar meetedgar.com #24,495
Jarvee jarvee.com #36,549
Instazood instazood.com #37,514
Sculpt wearesculpt.com #112,836
PR Leap prleap.com #134,634
SevenAtoms: Digital Marketing Agency sevenatoms.com #143,554
Hello Social hellosocial.com.au #155,570
Mojo Media Labs mojomedialabs.com #183,378
SnapRetail snapretail.com #192,413
Astute Solutions astutesolutions.com #272,302

Pros & Cons

Pros Description
Flexibility You can put as much time into the business as you'd like. If you like the work and have some initial experience, you can start small and manage all aspects of the business on your own.
Ability to start your business from home It's not necessary to have a physical storefront or office space to get your business started. You can do everything from the comfort of your own home, at least in the beginning!
Rewarding work Starting a social media automation business can be really rewarding work. After all, you are solving an immediate issue for your customer and you're working on something you truly care about.
Traffic to your website A social media automation business gives people a reason to visit your website and to keep coming back to you!
Meaningful business connections You never know who you will meet as a social media automation business. This could be the start of an incredible business opportunity!
High customer retention rates Once a customer invests in your product, they've invested their time and energy to utilize your product/service which is highly valuable to them. Typically, your product or service becomes indispensable to your customer.
Cons Description
Motivation of employees If you plan to have a sales/content team on board, finding creative ways to motivate them can be a challenge. It's important that you're able to offer great incentives and a good work environment for your employees.
Low margins The gross margins for your social media automation business are typically around 40%, which can make it more challenging to incur new expenses and maintain profitability.
Stressful work This line of work can be stressful for both you and your clients. This type of transaction is a significant financial decision for your client, so expectations are very high for you. Although this career path can be very rewarding, it also comes with its challenges and stressful moments.
Niche Market A niche business is not necessarily a bad thing, in fact, it can be the key to your success. However, it can be more challenging and time consuming to find the perfect niche market and target audience.
Churn In this business, customers can cancel their membership or subscription for your services - which can make revenue forecasting challenging and unpredictable. It's important to focus on your churn rates and trends so that you can prevent this as much as possible.
Time commitment With starting a social media automation business, all responsibilities and decisions are in your hands. Although this is not necessarily a negative thing, work life can take over at times. This can place a strain on friends and family and add to the pressure of launching a new business.

Marketing Ideas

  • 1

    Affiliate program

    Affiliate marketing is a great way to bring in a new revenue stream, especially when you don't sell products or services.

    Simply put, an affiliate program is an agreement where a business pays another business or influencer ("the affiliate") a commission for sending traffic and/or sales their way.

    The affiliate typically gets a unique link where clicks and conversions can be tracked.

  • 2

    Direct sales

    You may find yourself in a spot where you're ready to hire a few (or many) salespeople to support the sales conversion process.

    Regardless if you have one or thirty salespeople, it's critical that you assign them specific roles and responsibilities to nurture the client and provide excellent support.

  • 3

    Word of mouth

    Word of mouth is when a consumers reflects their interest in a company’s product or service in their daily dialogues.

    Therefore, word of mouth advertising is essentially a free advertising triggered by the customers experience.

    According to Nielsen, 92% of people trust recommendations from friends and family.

    Therefore, in today’s hyper-connected world, a single recommendation through a word of mouth can have a huge impact to your business.