For Service-Based Businesses:
How one campaign allowed a local gym to get a 7,600% return on their ad spend?
A digital makeover required.
By far, the most fun we can have when it comes to our work is when we help a company transition to digital for the very first time. It feels like an all-out mission! For this local gym, they relied on most customers coming through location & referrals, which worked well, but it didn't offer certainty to the owners. That's where we had to come in, develop streamlined customer acquisition systems, and then after sufficient testing, completely automate it. But this was the plan right before COVID hit the world...
What's the offer?
Once COVID came through earlier this year, we had to make few changes to our offers. The gym launched an offer on online training sessions using home equipment. Since the gym had a few thousand people on their email list & social media followings, we had a decent size of a warm audience that we could use to boost this offer into profitability during the starting days.
Our objective was to close at least 50 customers in the first month for this service, allowing good potential for scale in the near future.
This offer was priced at $97 per month, and each trainer would do a group live session every week, with a daily followup session for each customer on their progress with diets & nutrition, etc.
Mapping out the customer process.
We created two process flows, one for warm organic traffic, and another for paid traffic from our digital advertising efforts.
We used a few tools to integrate the steps involved in the process:
Wix - Landing Pages
MailChimp - Email Campaigns
Calendly - Appointment Scheduling
Wave - Invoicing
Google Calendar - Manage Appointments With Team
Hubspot - CRM
Wistia - Video Hosting
Zapier - Integrations Tool
Slack - Team Chat
Making the most of organic phone inquiries.
Before COVID, the gym used to get a lot of phone call inquiries coming from Google. Even after COVID, phone call inquiries kept coming at a lower rate. The problem was that these were low-quality prospects, just reaching out to basically "window-shop".
We didn't want to stop the phone calls coming through Google search, so we made it a bit more efficient in terms of converting prospects into customers for the online training sessions.
We created a free 30-minute session where expert trainers help with diets, nutrition, strength training, etc. depending on the individual's goals. At the end of the 30-minute call, we pitch for the online training sessions.
In the first month, we closed just less than 100 customers for this new offer, contributing over $9,300 in instant revenues! Our spend on advertising (including all the tools) was less than $1,500 for the first month.
For the first quarter of using this system, the gym closed over 500 customers for this offer, contributing over $49,600 in instant revenues, with an extra $546,300 coming throughout the rest of the year through the same customers itself, as they're on a monthly subscription.
Do note: the retention rate is dependent on the client's product & customer service, our job is to deliver high-quality leads & sales to your doorstep.
Throughout the quarter, the total spend on advertising & digital toolkits was $7,800. That brings our return-on-investment to 76x(7,600%).