How to use the Internet to Grow Sales
There are three main ways a company can grow their sales:
- Get new customers
- Sell more to existing customers
- Raise prices
Your website and internet marketing can help you with the first method, getting new customers. There are a number of ways of doing this such as advertising, email, social media and search ranking which we cover elsewhere on this website.
With all options the key things are:
- Increase the number of people that hear about you and visit your website
- Increase the percentage of visitors that make contact or request a quote
When working with a new client we first want to understand their current position. How much business their marketing is currently generating and how well their website is working. Their are several key metrics for that:
- How many people visit the website each month
- What percentage make an enquiry
- How many of those are good enquiries and result in a quote
- What percentage of quotes lead to a new customer
- What is the average lifetime value of a new customer
For lifetime value we are interested in the average amount customers spend over 5 years. Some will probably make one-off high value purchases while others will make more frequent, lower value purchases for servicing, electrical repairs and wiring.
Our marketing systems increase the number of website visitors and the percentage that make an enquiry. Our starting goal is to increase website visitors by 30% and the number that make an enquiry by 1%. Achieving those two targets will increase the monthly sales for an average electrical contractor company by about £28,000 per month.
Example of current internet generated sales
- Current monthly website visits 1700
Average number of visitors
- Average monthly leads 50
Assuming 3% of your website visitors make an enquiry
- Good enquiries per month 25
Assuming 50% of enquiries are worth following up
- New customers per month 7.5
Assuming 30% of good enquiries become customers
- Lifetime value of a new customer £5,000
Average amount of work you will do for a new customer over 5 years
How do we increase your revenues?
- More website visitors
Increase website visitors by 30%
In the example above with 30% more website visitors you will get 2210 visits per month. Monthly leads will increase from 50 to 66, good enquiries to 33, new customers to 10 and the lifetime value of new sales will go up by £11,475 per month.
30% increase in website visits
- Higher percentage of visitors make an enquiry
Increase enquiry conversion by 1%
Increasing the number of people that make an enquiry from 3% to 4% will generate 68 leads per month. If everything else remains the same you will now be getting 34 good enquiries, 10 new customers each month and the lifetime value of new sales goes up by £12,750 per month.
1% increase in conversion
- Monthly increase in your revenue
- More website visitors and a higher percentage of enquiries
Increase website visitors by 30% and enquiries by 1%
Our real goal is to increase both your website visitors and the percentage that make an enquiry. If we do that the lifetime value of new sales for this example company goes up by £28,050 per month which is £336,000 per year.
1% increase in conversion and 30% in website visits
- Monthly increase in your revenue
How much will annual revenue increase by?
30% increase in website visits
1% increase in conversion
1% increase in conversion and 30% in website visits
Do you own an Electrical, Fire or Security Company and want to increase your leads, sales and revenue?
We can help scale your business to the next level with the confidence that your marketing will support sales. We set up reliable lead generation systems that will give you a steady stream of new enquiries every week.