For a subscription or continuity based business—knowing your number, also known as Customer Lifetime Value or Profit per Customer is absolutely critical. Knowing your per customer profit enables a company to know the maximum it can spend on marketing to acquire new customers and/or the maximum it can spend on overhead and still be profitable.
Increasing this profit-per-customer is the key activity of every subscription based business…and its easier to increase than you might think.
But, Instead of the traditional focus on optimizing your marketing campaigns or websites, by focusing on your existing (and exiting customers) you can usually drive up profits per customer by 50% to 75%.
Most companies neglect this key area—and only run a few tests to optimize in this area each year. In fact, there are usually hundreds of variations a company can test when a customer exits—either to extend, upgrade or downgrade a customer’s existing program.
Want to easily improve your profit per customer NUMBER?
Use RevGuard’s patent-pending optimization tools across the touch points (phone, email, web requests) that subscribers use to reach you and you can now optimize the messaging, price points, save options, etc. that work to make the customer happy and you more money.
Once RevGuard is in place, every customer interaction becomes a data point that just keeps on improving your operations, your profits and your brand’s reputation. You gotta love those customers!