One of the best business books of the past 10 years is Perry Marshall’s 80/20 Sales and Marketing.
If you’re not familiar with this book, it shows you:
How to get more leads, customers and sales… and save time… by focusing on the activities most likely to have the greatest impact on your results.
For business owners and marketers, one of the book’s biggest takeaway is this:
“The core essence of marketing is how much you are willing to pay to acquire a customer. How well you compete comes down to how much you can afford to pay.”
Which makes complete sense, because being willing to pay more to get a customer means you can:
- Invest more in creating content to generate leads.
- Offer more in the way of bonuses to help make that crucial first sale.
- Appear in more media, more often to help grow brand recognition and recall.
- Invest more in compelling and persuasive creative… plus, a bunch of other reasons.
Now, it takes some time and number crunching to work this number out.
But once you have, the good news is this:
Unless you are up against smart direct marketers who measure and track everything, in my experience… most of your competitors WON’T have a clue what this number is or should be.
And if you are running a business in a market hit by today’s economic conditions…where you and your competitors are all scrapping over a slice of a smaller pie…
Or, if you are seriously looking to grow your business…
Knowing what this number is – or should be – can give you a massive advantage.
Of course, whether or not you CAN spend more to get a customer than your competitors will depend on things such as your:
- Pricing and profit margin.
- Conversion rate of enquiries and leads into sales.
- Cash flow.
- Breakeven point on a new customer.
- Suite of products and services / what else you might be able to sell to your customers.
After all, there is no one magic bullet in marketing – it’s all interconnected.
Speaking of which…
Our FREE marketing healthcheck helps you identify where you can improve your company’s marketing efforts.
If you are open to exploring ways to grow your business – or get a bigger slice of a smaller pie – why not go here to answer a few quick “Yes” or “No” questions:
It will only take you a couple of minutes of your time – and it’s free.
As soon as we receive your answers, we will be in touch you to arrange a time to give you feedback on what to focus on to meet your goals.
So, while you have a moment, go here to complete this check-up right now: