If you can get leads for half the price, you could simultaneously raise prices by 30%, doubling your profits, pay employees more, and pour more money into ads, etc. it makes a world of difference.@Johnny boy posted something a while back, possibly for carpet cleaning but it applies. I can't find it but it was along the lines of: If they had more/better leads they could increase prices and get better staff by increasing salaries.
Scenario 1 $1000 buys 20 leads and 5 customers
Scenario 2: $1000 buys 40 leads, you raise prices and signup 5 and at 30% higher prices.
If you had a 30% profit margin you now doubled your profit I believe.
I could be wrong with the exact math I’m doing this while driving right now I’m just saying lowering acquisition costs is a game changer if the rest of you business is solid.
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