| If you go to Sam's Club or Costco, they maintain a high | | | | For someone to go from someone else to you or |
| dollar value per customer purchase. They sell flat | | | | from another company to you is a lot tougher then |
| screen TVs and diamonds, which is consistent with | | | | increasing the dollar value per transaction of an existing |
| maintaining that high dollar value per transaction. It's | | | | customer, and it's more difficult than increasing the |
| easier for them to maintain the value per purchase | | | | number of frequency purchases in between orders. |
| than to increase the frequency. That's why increased | | | | If you look at your entire business life and there are |
| frequency is the second way we recommend in | | | | new customers, higher dollar value, and higher |
| boosting revenue. | | | | frequency, you're going to grow your business. If you |
| Getting someone to purchase a second time is not an | | | | just look at higher dollar value and higher frequency |
| up-sell. It's very important to make that distinction | | | | every time you get a new customer, you're going to |
| between that and an up-sell, because an up-sell is one | | | | be a lot more efficient and effective. |
| transaction where you're boosting revenue. That's an | | | | If you've already trained your customers to have high |
| easy way to increase revenue, but that is dealing with | | | | dollar value and come back more frequently, that |
| boosting dollar value. | | | | means every time a new customer comes through |
| Dollar value boosts are the easiest... | | | | your sales process they'll be in the zone of generating |
| Dollar value boosts are the easiest. An up-sell will get | | | | more income for you. |
| you that, as well as raising your price. However, | | | | What to focus on... |
| increasing frequency is not as simple, because it | | | | That's why we suggest that you focus on new |
| requires more behavior change. It requires a second | | | | customers last. High dollar value, or increase your ticket |
| visit after the transaction or after the time they've | | | | through up-sells, that's the easiest way to grow your |
| purchased from you online or offline. | | | | business if there's one thing you were going to change. |
| Higher frequency... | | | | The second thing you would change is increase the |
| Higher frequency is easier than getting a new | | | | frequency. Ask yourself how can I increase the |
| customer. Why? Because getting a new customer | | | | frequency between purchases. |
| requires a lot more behavioral change. Remember, | | | | Putting those priorities into place will see your sales |
| marketing is often behavior modification. A behavior | | | | figures climbing soon. |
| change is very difficult. | | | | |