Growth Formula = LEADS x CUSTOMERS x MARGIN x FREQUENCY
I really like this formula that I was introduced to by Ryan Deiss, CEO at DigitalMarketer. I’m a big Keep It Simple Stupid (KISS) fan. This really simplifies things and allows a business to create a growth strategy and measure the outcomes.
You can even department-alize this. Leads is Marketing. Customers is Sales. Margin is Operations. Frequency is Product.
Double one factor and that doubles your business, if all other factors stay the same. If each department increases their factor by 20%, that’s a double as well.
He goes on to further discuss a Customer Value Optimization system. Good stuff! I really lik the flow chart. 🙂