Episode 663 – Setting Up Recurring Revenue Goals & Investing in Ads
Hey Cleaning Nation! Today I am here with one of our Next Level clients, Marcus Fox. Marcus and his wife Melissa started Diamond Residential Cleaning in 2015 and is here to talk about his experience with ads.
Marcus’s Journey
Marcus and Melissa joined our Elite program at the beginning of 2020. When they first joined us they were both working day and night all by themselves to serve their clients. After they joined, their top goal was to get out of the field and become full time business owners. They hit their goal and set themselves up for major growth in their company.
The Dip
When Marcus and Melissa first started getting out of cleaning, it took about a year before Marcus completely got out of the field. It took them a little bit for both to get out of the cleaning completely because they had a financial goal they wanted to meet. That timeline can be different for everyone.
The Past Three Months
Marcus and Melissa’s business has had major growth with their ads. In the beginning of 2021 they sat down with Tracey, our mindset coach, and had a discussion about their goals for the year. For the level of growth they were going for, they needed at least $5,000 every month worth of new clients that turn into recurring revenue. That means that if you charge $300 per month you need to find 15 new clients every month. This can sound intimidating but you can do it too. What helped them so much was breaking that $5,000 a month down to how many leads they needed and then down to how many clients they needed. By doing this, pressure came off and their goal was much less intimidating. Within the last three months, working on a system and with our ad expert, Jackson, they found out what they need to do and spend to hit their goals.
How Much they Invested in Ads
Throughout their three month testing period, they spent about $3,500 in ads to get $10,000 in recurring revenue. At the end of the testing period they learned that in order to get $5,000 of recurring revenue every month they needed to spend $2,000 on ads, which is still a $3,000 profit! The most important thing to keep in mind is that it is recurring revenue. The ad spend is an investment in the continuous growth for Marcus and Melissa’s company throughout the years. The biggest lesson they learned was to find out your goals, figure out what it will take to get there, decide if you are willing to do whatever it takes, and GO FOR IT!
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