ken robbins, president response mine interactive atlanta, ga 4.18.11
TRANSCRIPT
Ken Robbins, President Response Mine Interactive
Atlanta, GA4.18.11
On average, the lifespan of a Fortune 500 company
is ~40 years.
Real Meetings. Actual Decisions.
Volume vs. Profits
Public medical products company
$400 cost-per-new-patient.
Break even = $600.
30% of customers come in at ~$700 ea.
10,000 legacy rate plansNew plans at least 20% cheaper
Don’t ask, don’t tell renewing customers because “we need the profits.”
Wireless Disconnect
“Gross” Margin
Retailer 30,000 SKUs margins ranging 28% to 70%.
revenue based decisions
Fan maker #1 $250 $75 30%
Fan maker #2 $250 $120 50%
Checked Out Hotelier
= lowest room rates + 20% fee
Digital Marketing = highest room rates14% cost
Decision- Pause digital.
Form over Substance
Goal: Increase form leads b/c“calls are customer service”
Audit revealed 60% of calls are new sales at half the cost to acquire.
Decision: “more forms please”
Other Budget Mistake
In May, lawn care company’s internet marketing budget ran out.
TV, Billboards, direct mail keep running- at higher costs/new customer
Internet = lower cost-per-customer.
50%
% of Americans with Smartphones
5%
# of retailers with mCommerce specific sites
mistakes
policies & strategies
ignore loyal customers
ignore better margins
advertising that ignores profits & new customers
practices that piss off the consumer
basic strategy
basic strategy
Efficiently acquire high value customers.
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dProprietary & Confidential. All Rights Reserved. 2011 Response Mine Interactive, LLC
efficient marketing?
Some ads produce sales
Some don’t
measure everything
scale and breadth of awareness
efficiency of responselower cost per: inquiry
sale lead
customer
7.8%
10.2%
high value customer?
buy more
less complaints & discounts
refer friends & colleagues
buy again
From Angel Customers & Demon Customers- Larry Seldon
5 questions
#1how many new customers did
we acquire last month?
#2how do we irritate our customers?
“simple” IVR
Proprietary & Confidential. All Rights Reserved. 2011 Response Mine Interactive, LLC
“hi. how may I help
you?”
#3what’s the difference between
average customer & best customers?
#4what are our conversion rates?
#5what do our best customers like to buy from us?
Efficiently acquire high value customers.
