How to Create an Effective Marketing Plan
Do you know your gap? What even is your gap? Your gap is the difference between where you are now and where you want to be in your business. And if you don’t know it you will never be able to create an effective marketing plan.
It defines how successful businesses plan, and it is key to cracking the rhythmical acquisition of customers.
But it is not only your gap you need to know – the other TWO numbers you MUST know are:
- What does it cost you to acquire a customer?
- How much is that customer worth?
Without this knowledge you won’t succeed, I promise.
As a professional business person you need to set crystal clear goals. Why crystal clear?
It’s a fact, that the reason most people never reach their goals is that they don’t define them.
How to start? Don’t start with where you are now, start with where you want to be. This is not a short term thing. Design your ideal life – because you have two options – you can make a living or your can design a life. What’s important to you? What do you want? More time. great holidays, an extension, a trip to Disneyland. Sit down with those involved and design it.
Cost it up – get specific on what this will all cost. Do the budget. Account for expenses and tax. While you’re at it, commit to it. Book the holiday, and tell the kids you’re going. When it doesn’t really matter, the goal will drift. Other things will get in the way. Involve other people so you daren’t fail.
Transpose the cost of your ideal life onto your business. How do the figures work out? Let’s say you want £75k to live your dream life. You’ll need to know your costs and margins, and tax will be different for everyone, so go and see your accountant to work out how much money you need to bring in. It will be around £120,000.
Plan how to get there. This is where you need to know how much the average customer spends with you over a year. Work out how many of those customers do you need, spending that money, to give you the income to fund your dream life.
Let’s say each customer is worth £5,000 over a year to you. You’ve worked out that you need 24 customers to bring in £120,000.
You know that when you speak to people, 1 in every 4 will become a client.
Meaning that your conversion rate is 25%.
So you need to speak to 96 people.
You know that half of the people who make an initial enquiry, having seen your marketing, will agree to speak to you.
So you need 192 enquiries, or leads to start living your ideal life.
You know you need 24 customers, which is only 2 customers per month.
What would need to happen for you to get 2 new customers every month?
2 customers per month…..
…needs 8 meetings a month
Which requires 16 enquiries a month.
This is how successful entrepreneurs think and plan. And suddenly it becomes very achievable.
Now instead of running on the hamster wheel, chucking money at social media, Google Ads, direct mail, or magazine advertising, you can carefully target your marketing to the right platform, to get those leads, and have that conversation to convert those leads into customers. Because remember, the other number you needed to know – the average cost to acquire a customer – well now you can also work out your marketing budget.
Now you’re in a position to create an effective marketing plan that will work for you and give you your dream life.
Let me know if you have worked out your numbers, or click here to book a call to see how I can help you crack the rhythmical acquisition of customers.