Your marketing team needs a reliable formula to determine the most important metric to guide your company’s marketing efforts. We’re talking about new customer acquisition costs (nCAC).
Download your free copy of our nCAC calculator at: https://www.tiereleven.com/ncac
Today, we are analysing a case study of a membership site business that achieved incredible results through strategic marketing. The company, focused on a recreational niche, achieved an outstanding 52% increase in total subscribers year-over-year.
This massive growth stemmed from a series of smart decisions, starting with an in-depth look at their new customer acquisition costs (NCAC) and regional targeting strategies. They also tapped into the power of community, offering exclusive access to products and services, and creative hooks that resonated with specific geographic audiences.
If you’re running a membership site or e-commerce business, you’ll learn how to track and analyze data in granular detail, target the right customers, and create relevant, personalized experiences.
In this episode:
06:25 Case study: business model of a membership site
15:52 Challenges in customer acquisition
23:03 Solutions: Targeting the right audience with nCAC
27:35 Using creative hooks and regional language
32:45 Results and success metrics
36:36 Membership site and e-commerce strategies to scale
42:08 E-commerce businesses that suit this business model
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- LinkedIn – https://www.linkedin.com/in/ralphburns
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Connect with Lauren Petrullo:
- Instagram – https://www.instagram.com/laurenepetrullo/
- LinkedIn – https://www.linkedin.com/in/laurenpetrullo
- Consult Mongoose Media – https://mongoosemedia.us/
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READ THE TRANSCRIPT:
Money Model Case Study: 52.7% Increase in Total Subscribers in 6 Months
00:00:00:00 – 00:00:07:01
Lauren
People don’t sign up for memberships because of community. They stay in memberships because of the community, which is why.
00:00:07:03 – 00:00:09:18
Ralph
We’re going to go through a case study here today
00:00:09:18 – 00:00:11:02
Ralph
a membership site.
00:00:11:02 – 00:00:19:22
Ralph
Business active subscribers going from about 3000 to nearing 10,000. So.
00:00:21:03 – 00:00:42:17
Ralph
Hello and welcome to the Perpetual Traffic Podcast. This is your host, Ralph Burns, founder and CEO of Tier 11. Alongside my incredibly amazing, smart, funny icon. Just keep going. Co-host Lauren. Oh, wait a second. That’s your line. Lauren E Petrullo.
00:00:42:19 – 00:00:50:22
Lauren
Founder of Mongoose Media. That’s me. Hey, all those nice compliments I’ll take. Oh, that’s okay. So you can say my name if you add a bunch of compliments first. That’s okay, I know.
00:00:50:22 – 00:01:07:20
Ralph
Oh, last time I called you a genius, and you, you blushed and you broke out laughing. So, like, that’s my goal in the intro is to, like, throw in something that throws you off. Anyway, so glad you joined us here today. If you are a Director of Marketing, VP of marketing, you run your own business. You’re doing your marketing.
00:01:07:22 – 00:01:28:22
Ralph
This is the show for you. This is where we teach you how to do marketing the right way. In the age of all the new algorithm updates and using metrics that matter and growth at scales. And that’s what this whole thing is about. It’s not traffic. It’s erroneously called perpetual traffic. By the way, Lauren Petrullo. It’s really it’s about how we grow businesses.
00:01:28:22 – 00:01:30:21
Ralph
And traffic is a part of that. Sure.
00:01:31:00 – 00:01:36:06
Lauren
So perpetual traffic on name, perpetual growth in body. The exact.
00:01:36:08 – 00:01:37:06
Ralph
Exactly.
00:01:37:08 – 00:01:40:20
Lauren
After we recorded this episode, we will be side by side.
00:01:40:20 – 00:01:41:11
Ralph
Side by side.
00:01:41:11 – 00:01:44:04
Lauren
Together. Yeah. You know, to poke each other in the face.
00:01:44:09 – 00:01:50:05
Ralph
That’s right. That’s right. You’re going to wear some, like, really high heels. So you’re like nine feet tall, right?
00:01:50:07 – 00:01:51:04
Lauren
I can.
00:01:51:06 – 00:02:05:17
Ralph
You can. I think you should. The highest heels you can possibly find out. Like where are my lower shoes. It would be funny. You’d be like seven feet tall. I’d be like five foot eight. The point is, is, yes, we are going to be together by the time this actually records. It’s too late for you to sign up for where we’re going to be.
00:02:05:17 – 00:02:25:21
Ralph
But we’ve already talked about it with, chasm. So we’re going to be at Gross Hacking Live out in San Diego, which is going to be a lot of fun. And, yeah, you and I are on that panel, and I don’t even know what we’re discussing at this point. Probably something relating to digital marketing is my guess.
00:02:25:23 – 00:02:30:09
Ralph
Because they’ve done such a good job of letting us know what we’re going to talk about. Look, anyway.
00:02:30:11 – 00:02:51:04
Lauren
At the end of the day, it’s going to be relevant to what the audience is going to be. And I think there’s going to be, opportunities because it’s 1000 people. It’s rather intimate. It’s vague type of, yeah, but it’s so large size. And so in that, like what the discussions are, I believe there’s been a pre survey that went out to get some insight of what people are looking for.
00:02:51:06 – 00:03:10:06
Lauren
So it’s like a what’s working now and like a current state of the union of what we see having the chance to work alongside a lot of different brands and across different verticals. So my assumption is going to be like, state of the Union, how is AI coming to help you or harm your business? And what are we doing that’s working now?
00:03:10:08 – 00:03:24:09
Ralph
I can’t imagine that I will be discussed. Like, how is that even a possibility? Of course I will be discussed. Anyway, we want to get into something that’s non AI related because there’s nothing. Well, I guess it does have something to do with it.
00:03:24:09 – 00:03:26:22
Lauren
Yeah. I was like, just the way I was not involved.
00:03:26:23 – 00:03:48:10
Ralph
Yeah, yeah, I was involved. And we talked about this on our last show which we never got to the case study, but today we’re actually going to get to a, we’re going to go through a case study here today for a membership site business. Fabulous business run by super smart guys.
00:03:48:12 – 00:03:50:05
Lauren
Smartest.
00:03:50:07 – 00:03:51:12
Ralph
The smartest, not.
00:03:51:12 – 00:03:55:15
Lauren
Biased at all. It’s not like one of them is on this conversation.
00:03:55:17 – 00:04:08:05
Ralph
The guy who runs the marketing now, I don’t know quite as well, but the guy who founded the company when we were in a mastermind together, he won Wicked Smart more than Kassam ever did.
00:04:08:07 – 00:04:12:14
Lauren
I feel like he claimed that he wanted more than anyone ever know.
00:04:12:14 – 00:04:21:11
Ralph
He didn’t. Oh, this guy wanted more because I was there. And Kassam is known, is prone to hyperbole.
00:04:21:13 – 00:04:22:10
Lauren
I bet you he.
00:04:22:12 – 00:04:24:11
Ralph
Means he stretches the truth.
00:04:24:13 – 00:04:43:18
Lauren
Let’s say I bet you it’s true to the percentage of meetings he attended. He probably won more out of the meetings he attended than anyone else. Like his ratio. Yeah, the law of averages is probably making his statement true for him, but condensed to a finite time frame.
00:04:43:20 – 00:04:54:18
Ralph
Yeah, well, there was two other guys sarcasm like I, I wasn’t there when Kassam supposedly won all of them, but he, he would send me the picture of like the trophy of winning. Wicked smart. Yeah. Always always always.
00:04:54:18 – 00:05:08:18
Lauren
Always. I’ve got my trophy. Yeah, I’ve got my boots. I’ve never won. One time they didn’t have a trophy one year they had like a prize. And I’ve got. Oh, you know what? I’ll show you that prize. I will bring that prize.
00:05:08:19 – 00:05:13:16
Ralph
Bring the prize to San Diego. So we’re doing like live shows next week.
00:05:13:17 – 00:05:14:09
Lauren
We are.
00:05:14:11 – 00:05:30:23
Ralph
I’m pretty excited about. Yeah, we’ve got our we got our mobile mics. You’ve got your backup mic. Now, if you break it up, don’t worry. I’ll bring an extra mic. Anyway, we’re going to do a live show next week, a couple of live shows. Maybe we even pummel in some of the, some of the guests, maybe a guest or two from the actual show itself.
00:05:31:05 – 00:05:38:15
Ralph
Yeah. Depending on if they’re good, they have to, you know, meet our strict, stringent criteria here at professional traffic.
00:05:38:17 – 00:05:46:09
Lauren
But and and have proof of what they’ve done. Yeah. They’re not just flaunting what they’ve learned.
00:05:46:11 – 00:06:12:03
Ralph
Yeah, but no shills, no bullshit. All that. So anyway, that’s what we try and do here every single week, twice a week. And today is no exception because this is an actual case study. You definitely want to watch this over at professional traffic.com/youtube. It is going to be blurred out the names images, likeness. Which is too bad because the guy that appears in the video is like one of my favorite guys.
00:06:12:05 – 00:06:14:14
Lauren
I’m mean, that’s a good I know, like.
00:06:14:15 – 00:06:42:22
Ralph
He’s the he’s the best. It’s just. And I don’t know, he better listen to this episode like, we won’t say what the name of the book company is. But anyway, membership site, great business, plus an e-commerce store. So the interesting model with this and they’re obviously they’re tier 11 client. That’s why we have a case study here because we talk about the stuff that we actually do, as opposed to other podcasts where they hire other agencies and then they, you know, they claim, you know, what they’re doing.
00:06:43:00 – 00:06:43:11
Ralph
So why do.
00:06:43:11 – 00:06:45:12
Lauren
You have someone in mind when you said that?
00:06:45:12 – 00:06:48:09
Ralph
Oh, I don’t not at all. Not at all.
00:06:48:11 – 00:06:51:06
Lauren
Anyway, on YouTube to see how bad he is at lying right now.
00:06:51:11 – 00:07:09:14
Ralph
Yeah. It’s terrible. Terrible liar. Which is good. My wife always says that, the point is, is that they have a very interesting business. Is a membership site plus an e-commerce brand. So it’s continuity. They got members. It is in a recreation industry. So we’re going to blur all this out. But then they sell what.
00:07:09:14 – 00:07:11:09
Lauren
It is Ralph. What is it’s a.
00:07:11:09 – 00:07:24:06
Ralph
Brilliant model because they get they get the members in and then they sell them physical products through their store exclusive to the members. So their Shopify store. So it’s a combination membership site and e-commerce.
00:07:24:08 – 00:07:32:12
Lauren
And their selling status then. Because if you have exclusive access to something, they’re winning on status. Oh, that has only to have accessibility.
00:07:32:14 – 00:07:33:03
Ralph
Yep.
00:07:33:05 – 00:07:43:06
Lauren
You have to pay up front. It’s a membership club in the sense of a way a membership really should be done. It’s not just getting access information, it’s getting access to the creme de la creme of products.
00:07:43:08 – 00:07:52:23
Ralph
Yeah, caramel cream and good discounts and stuff that other people in this recreational space don’t get. So all right, so if you are listening.
00:07:53:01 – 00:07:56:22
Lauren
Is it like the Costco then it’s like the Costco of this recreational sport?
00:07:56:22 – 00:08:11:09
Ralph
Well, I would say no because the membership site is the majority of the revenue for the business. Like that’s what they want the community like they’re selling the community. The e-commerce is kind of a back end add on.
00:08:11:11 – 00:08:12:08
Lauren
Got it. Got to go.
00:08:12:08 – 00:08:35:12
Ralph
So for example, like we’re doing a, conversion rate optimization, you know, audit for them right now. And we originally did it on their e-commerce store like, no, no, no, we don’t want that. But we want you guys to tell us how to convert better on our membership site because that’s the majority of our business. So anyways, so they got to conversion rate optimization, sort of, you know, analyzes.
00:08:35:12 – 00:08:53:17
Ralph
Anyway, the point is, is like their e-commerce store is a Shopify store, which is great. So if you do have a membership site like this is a great model for you to think of, like, what else can you sell to your people? Like what affiliate? Maybe it’s an affiliate stuff like I’m sure they sell plenty of affiliate things as well, like whether it’s through Amazon or what have you.
00:08:53:17 – 00:09:05:20
Ralph
But it’s a brilliant model. But the big thing is that they want to help, you know, this particular, recreational activity enthusiasts, shall we say, to do that job even better. So would you.
00:09:05:20 – 00:09:24:22
Lauren
Say that that’s a creator led brand then? So it’s a creator forward company that has those membership and e-commerce products. And so that if someone’s listening and they are a creator looking to expand their revenue channels, have the opportunity of having a great membership program where you get content and access to products.
00:09:25:00 – 00:09:47:06
Ralph
Could be I mean, if you have like a subject matter expertise, for sure. Like, I have a very good friend of mine, you know, on Cape Cod who like, that’s actually my first business partner. And he started a site where he has 2000 members paying him $15 a month because he’s an expert saltwater fisherman on Cape Cod.
00:09:47:08 – 00:09:49:21
Lauren
Yeah. And he said it increases, right. That’s an increase.
00:09:50:03 – 00:09:54:15
Ralph
Yeah. It’s a great it’s a great model. It’s like. So this is what he does a summer.
00:09:54:15 – 00:09:56:16
Lauren
He has like increased like two x.
00:09:56:18 – 00:10:17:16
Ralph
Yeah. So his membership I believe doubles in the summertime. And then they drop off in the fall. And then like that’s because that’s when the ones on Cape Cod like fishing for stripers. That’s what you fish for when you come to Cape Cod. Yeah. Lauren, you know you got to come, you know, fish for stripers. Yeah. My my next area is.
00:10:17:16 – 00:10:22:09
Ralph
Yeah, stripers are running. Ralph. I’m going to get them. Anyway, that’s all.
00:10:22:10 – 00:10:26:16
Lauren
I can say is if you got me a red stripe. Yeah, I have the beer while someone else fish.
00:10:26:19 – 00:10:37:21
Ralph
I know, I know, that’s that’s the kind of striper that I go after. But anyway, so he does that on a membership site, and then he has all these affiliate partnerships with all these other sorts of things. So anyway, trying to keep things on track here.
00:10:37:21 – 00:10:45:07
Lauren
You just have striper. It is sort of like stripper. That’s the type of stripper I go after. But I was like, no, you said striper. Okay. Sorry. Okay.
00:10:45:07 – 00:10:48:01
Ralph
So your mind is always like in the gutter anyway. So it’s like.
00:10:48:01 – 00:10:51:02
Lauren
Whatever. Someone else heard the same thing that I did.
00:10:51:03 – 00:11:11:00
Ralph
I don’t know, I’ll have to go back to the tape. Anyway, I think I said striper, I might have said stripper, but either way, you know, you know, here we’re keeping it real here in professional traffic. So if you’re listening to this, make sure that you head on over to, professional traffic’s com forward slash YouTube and check out today’s case study.
00:11:11:00 – 00:11:29:11
Ralph
We are not going to put this into a download or a freebie or anything like that. You can take screenshots, use it as you see fit. Of course, a lot of this is going to be blurred out recording, including the name of the business and even the faces and some of the financial information. However, so is a membership business case study.
00:11:29:11 – 00:11:54:07
Ralph
So this is, our team is incentivized to create and to produce a case study month. If you’re an agency, you should do that because you need proof to show that prospective clients that you know what the hell you’re doing. And in this case, this is a really like we’ve been doing membership stuff for a long time. So in the info space, this is actually sort of how we got our start, believe it or not.
00:11:54:09 – 00:12:01:20
Ralph
Lauren E Petrillo way back when, 10 or 12 years ago, we had 11 as a learning patrol, members like.
00:12:01:20 – 00:12:07:13
Lauren
Almost my like my government names you starts I was like Lauren Elizabeth Petrou. I’m like, yes, I’m listening.
00:12:07:16 – 00:12:27:06
Ralph
Yes, yes. That’s me. So we sort of got our start doing membership sites for, you know, people like Perry. Marshall was like one of our first Jack Canfield. You know, he had, like, a how to write a book membership site, which we did through a different company. But Jack in it was one of our clients. Dean Gray’s EOC.
00:12:27:08 – 00:12:41:07
Ralph
Same thing like in the real estate niche. We also did Frank. Colonel Frank Kern was like a like a long time client for 3 or 4 years. You know, the list goes on and on and on. Obviously, work for digital marketing work for, you know, Perry Belcher. We like all like name any info marketer, Evan Pagan, you name it.
00:12:41:07 – 00:13:07:02
Ralph
Like that’s how we kind of got our start. And it was because I actually joined forum with Ryan Dice and like got access to all these guys. And that’s the reason why, so membership sites are in our blood. And we have translated a lot of that knowledge of how to sell digital products, how to sell continuity into how to sell on e-commerce, how to sell services, franchises, P.I. law, like all that sort of stuff.
00:13:07:04 – 00:13:30:12
Ralph
All these principles relate. But we really got our start and this kind of stuff, which we’re going to be talking about here today, because I think every business like you want a recurring revenue model. You know, it’s Mirror Monthly recurring, your continuity plan, like it’s the best business model. And these guys have just figured it out. They figured out, where’s a rabid audience that, like, loves our stuff?
00:13:30:12 – 00:13:41:00
Ralph
And then they hired us to make sure that they got it out to a wider audience. And it was just that simple. But the business model was sound to begin with. I love continuity. I love Miro, I’m.
00:13:41:00 – 00:13:48:01
Lauren
Like trying to find the I’ve got the hundred million Dollar Money models book that you and I are both reading. Yeah. I was like, Alex said.
00:13:48:03 – 00:13:51:21
Ralph
Another plug for her Moses book. Oh my God, whatever.
00:13:51:21 – 00:14:09:07
Lauren
If I’m reading the book, that’s what I’m talking about is what I’m focused on. But he had said something where he like why he loves continuity offers is because it’s a guaranteed money. I like the way I take in the if you have an upsell, you get more money. If you have a continuity plan, you get guaranteed money if you have a A down.
00:14:09:07 – 00:14:24:04
Lauren
So I wrote that the down so gets you some money and your attraction offer is supposed to at least break evens when you’re acquiring customer. That was my take away from it. But he had said that continuity offers your mirror your consistent plans is the guaranteed partners favorite way to make money.
00:14:24:06 – 00:14:32:07
Ralph
Right? Right. SAS does it like set like the reason why, you know, software companies have insane multipliers.
00:14:32:07 – 00:14:32:23
Lauren
Yeah.
00:14:33:01 – 00:14:38:08
Ralph
Yeah. Off revenue in most cases is because it’s a continuity model.
00:14:38:10 – 00:14:43:21
Lauren
Yeah. There’s a lot of people listening that have subscriptions to SAS services that they’re not using, but they’re still paying for.
00:14:43:23 – 00:15:07:05
Ralph
Yeah. So take away from today is think about in your business. Can I offer some kind of continuity to enhance lifetime value. You know, we talked to a real estate company that does the same sort of thing is these guys. And they said, you know, we used your Ncac calculator, which you can get over at your 11.com/ncac, which is to determine your cost to acquire a new customer.
00:15:07:05 – 00:15:25:08
Ralph
And they said it only went out to a year. Our clients stay with us for like 3 to 4 years on average, which is a make like that’s a continuity. People are paying them six $700 a month. Just think about how that compounds over time. And I said, well, you know, for the calculator we have to sort of put a limit on it.
00:15:25:08 – 00:15:51:22
Ralph
But we get it. Like if we know within a year and you your LTV is actually is a three year span, then your end cake is actually going to be a little bit more conservative. So that’s good. So I’d rather keep it that way. The point is, is if you have a great product or something in the space like these guys do where there is a starving crowd, as our mosey says, you should create some kind of community and monetize it in one way, shape or form into a continuity program.
00:15:52:00 – 00:16:15:14
Ralph
So the problem with these folks were that they had a high market saturation penetration, or so they thought, okay, we’re nation nationwide. They sell these products. They sell this membership site in this recreation niche. Okay. Rabid. You know, fans of this particular recreational activity, when.
00:16:15:14 – 00:16:16:03
Lauren
You’re a fan.
00:16:16:03 – 00:16:17:18
Ralph
You’re on specific, you’re a fan.
00:16:17:18 – 00:16:26:21
Lauren
Out fan. I’m like it’s like we’re just going to pretend it’s dragon boating right. Like target the dragon. You’re going community. You’re like, you know this space.
00:16:26:22 – 00:16:27:16
Ralph
Yeah.
00:16:27:18 – 00:16:36:07
Lauren
If you’re not in the dragon boating community, you have no idea that there’s 20 people competing plus a drummer, unless you watch that or performing like ten year old. Right.
00:16:36:07 – 00:16:39:15
Ralph
So Dragon ball, dragon boating community. See there you go.
00:16:39:16 – 00:17:00:04
Lauren
There are, there are memberships to dragon boating continuity plans. There totally are. It’s a huge range. Like there’s more people that watch the anime festival than people that watch the Super Bowl. It’s isolated to the United States in our, modicum of space. It’s like how no one thinks about Singles Day being like the biggest sales day of the year, while the US, we just think about Black Friday.
00:17:00:06 – 00:17:01:06
Ralph
And.
00:17:01:08 – 00:17:19:10
Lauren
Anyways, it’s okay. We live in our world. A bubble of this alleged dragon boating recreational membership community. Again, what you’re saying though, is that, this is set up for when you’re in the space, you have a place to geek out with other rabid fans because not everyone gets dragon boating.
00:17:19:10 – 00:17:36:12
Ralph
Not everyone does. But yeah, maybe this could be in the dragon boating space. So problem that they have here is, like I said, high market saturation penetration. So they felt when they came to us like we think we’ve got everybody we’ve targeted everybody in the US who could buy our stuff.
00:17:36:12 – 00:17:39:18
Lauren
We’re like so they’ve they’ve conquered Tim. They’re.
00:17:39:20 – 00:18:00:22
Ralph
They thought that they had they’re like, we’ve sort of reached we got to this great level. It’s great business. But we just got stuck and we can’t find new customers. So that is the that was the real problem. So not being able to acquire new customers at a cost that made sense. As soon as they scaled, all of a sudden their Ncac or their we actually had to figure out the rank hack.
00:18:01:00 – 00:18:19:16
Ralph
They didn’t really know their end hack to start off with just fine, cost to acquiring a customer. So we determined that we went through sort of a very deep level, analysis for that, figured out what that number would be. And with a membership site, you know, you’re selling digital products, so your gross profit is pretty high.
00:18:19:22 – 00:18:37:19
Lauren
Yeah. Your labor is not as intense. So you’re able to scale faster. And you do increase your staff when you’re managing, you know, every 50 or 5000 members, you need to bring on additional customer service. Yeah, individual. But yeah, your cogs are pretty healthy at scale.
00:18:37:21 – 00:18:50:02
Ralph
Yeah. The basis of this is there’s actually I forgot to mention, there’s a software in this to help these users, you know, in their pursuit of that recreational activity, which is a tremendous software which.
00:18:50:05 – 00:18:51:12
Lauren
Well I can out.
00:18:51:14 – 00:18:57:06
Ralph
Yep. We used in their ads to sort of attract people into the community. But they get the community.
00:18:57:08 – 00:19:05:02
Lauren
Yeah. And I’ll sign dragon boating paddle app. Like you can see how many strokes you get in a minute. And you can track how often you do it. I got it, the Strava, paddle boarding.
00:19:05:08 – 00:19:15:21
Ralph
Yeah. So and then you got in the back end, you’ve got e-commerce, like whether we’re selling them more paddles, I don’t know, different paddles. Just a paddle.
00:19:15:21 – 00:19:24:21
Lauren
Board. Us. You need an iPad for those I don’t know. There’s a difference between rowing and paddling.
00:19:24:23 – 00:19:25:04
Ralph
Is.
00:19:25:04 – 00:19:33:20
Lauren
There. Row. You go backwards. When you paddle, you face a direction that you’re entering your device into the water.
00:19:33:22 – 00:19:39:19
Ralph
Yeah. Just watch out. Don’t like, you know, destroy your mic. Clang. Anyway.
00:19:39:21 – 00:19:46:19
Lauren
You have to be so, so cute. Figures of, that’s, you know, the work I’m singin for skates.
00:19:46:21 – 00:19:48:10
Ralph
Obvious.
00:19:48:12 – 00:19:53:12
Lauren
I’ll be, as I itemize that word to hide all this information. So let’s keep going.
00:19:53:17 – 00:20:12:21
Ralph
All right. Well, we’re doing it. We’re doing it. So, anyway, inability to segment new users or customers and targeting. So big problem in, especially in media right now is unless you actually have this thing that we call KP imports or you have tier 11 data suite, you really don’t know who your new customers are, who you’re returning customers are.
00:20:13:00 – 00:20:33:13
Ralph
So the point is, is that if you were already a customer, meta in most cases is going to target those people. Even if you put them in as exclusions, they’re having a very hard time segmenting out new potential prospects in their targeting. And they were just serving their ads at a very, very high frequency to people who have already bought.
00:20:33:13 – 00:20:53:20
Ralph
So they’re super frustrated. And their members were getting super frustrated. Yeah, it was that they had good creatives, but I think they needed some help from a strategy standpoint for, identifying winning creatives based upon the point before that, which is, all right, which creatives are attracting new customers. So we had to figure that sort of stuff out.
00:20:53:22 – 00:21:15:03
Ralph
At the heart of all of this is really is data and reporting. So we needed to figure out what their Ncac is. So in our first three weeks or so, their growth strategist, we went through the whole spreadsheet, you know, sharing the PNL. You know, obviously there’s confidential information. So I mean, we typically will get sort of a summarized PNL, but anyway, we’ll figure out exactly what your gross profitability is, what you want from your net.
00:21:15:05 – 00:21:37:17
Ralph
All of that. We use the Inc calculator, which you can get over at your 11.com/ncac, of course. So we figured that out with the advice of our growth strategist. And we really focused on new customer acquisition and the big thing was new customer signups for the membership site. And on the back end, obviously, as the e-commerce side sort of pull them in with the app as well.
00:21:37:17 – 00:21:43:15
Ralph
So it was just a whole strategy component that just really wasn’t in place. And they had a great business, like.
00:21:43:16 – 00:22:01:20
Lauren
Leveraging all the money models, throwing back to Alex that they had in the system. So essentially you’re saying how might we acquire new customers without pissing our existing ones off and introducing them to the suite of offers and products available to them, whether they join the membership or just tap into these resources.
00:22:01:21 – 00:22:12:12
Ralph
Now, this is a very common problem. Like on every call I’m ever on, like I’m sure for you to. Yeah, like this is the big problem. Like I can’t acquire new customers or, I don’t know.
00:22:12:14 – 00:22:27:09
Lauren
Like us effectively. They’re like, how do I penetrate a new market? Or it doesn’t blow out my budget? Because there’s two ways of bank of a business, right? You’re bankrupt. By overspending on staff or overspending on marketing. And that’s the fear where people will mess it up. So it’s like, yeah, I want to acquire new customers at a reasonable cost.
00:22:27:12 – 00:22:47:19
Lauren
I don’t often get that without pissing off my existing customers, because you were saying that that frequency is like that importance of where with Andromeda and all this type of stuff, like everything in metal we’ve talked about many times, it’s essentially a massive retargeting ecosystem of ads, and it’s you want to have some control because not a should not be shoveling down a product you already bought down my throat.
00:22:47:19 – 00:22:55:21
Lauren
I’m like, I already bought it. Back off. That’s how I feel about Live Fresh right now. I’m like, stop advertising to me. I have four months worth of toothpaste.
00:22:56:00 – 00:22:57:02
Ralph
I know. Yeah.
00:22:57:07 – 00:22:59:01
Lauren
So I feel for these drag and butters.
00:22:59:06 – 00:23:29:15
Ralph
And this time he’s dragging about exactly the fictitious drag and burning space. Yes. So those were the issues that we found very, very common. So the first thing that we did is we did our Ncac tracking set up and we categorized it. This is very important with not a lot of people do this. So in this case these enthusiasts are in specific geographies that are relating to certain bodies of water.
00:23:29:20 – 00:23:30:04
Lauren
Okay.
00:23:30:06 – 00:23:39:15
Ralph
So the point is, is that not every state is a target. So if you live in a state where you don’t have this specific type of body of water, so you’re talking.
00:23:39:15 – 00:23:44:07
Lauren
About like a puddle versus a lake, or is it like saltwater versus fresh water versus.
00:23:44:07 – 00:23:46:02
Ralph
Be any of those things like that to give it.
00:23:46:03 – 00:23:48:23
Lauren
Away? And maybe water water falls.
00:23:49:01 – 00:24:12:13
Ralph
Right. Somebody in Florida is a very good target, whereas somebody in Nebraska not a good target. Okay. You get my drift. Great. So they were targeting everyone. They weren’t going by state. So the one of the first things that we did is we’re like, all right, well let’s think about the business. People in Nebraska are not your customer unless they’re traveling to Florida and or Massachusetts or wherever it happens to be.
00:24:12:14 – 00:24:27:16
Ralph
So and there was also a seasonal component to this as well. So there’s a lot of different factors. And they never really thought about that. So then we looked at by state what is their Ncac by state new customer cost to acquire a customer.
00:24:27:17 – 00:24:56:05
Lauren
Okay. So you’re taking it down. You’re dialing back from the federal level to the state level. Instead of focusing on the national coverage, you’re dialing down into the hyper specificity at the state level, because the water recreation areas that they’re participating on, they are very well known to that hyper localized community. But I can’t tell you about anything in Nebraska versus I can tell you all about what Kiva.
00:24:56:07 – 00:24:59:05
Ralph
And I know exactly. Right. Yeah.
00:24:59:07 – 00:25:01:14
Lauren
Because you’re not in Florida. You’re not annoyance.
00:25:01:14 – 00:25:20:04
Ralph
Florida. Sorry, sorry I’m Massachusetts but you know we are both surrounded by water saltwater that is. Anyway, the point is, is that they had never really broken this down. And they also had never really broken down. Like which state is the most profitable or which state has the largest potential.
00:25:20:04 – 00:25:24:07
Lauren
Oh, they didn’t know the importance of their priority markets. Oh that’s hard.
00:25:24:09 – 00:25:51:02
Ralph
Oh that’s hard. So yeah. But the data was so cloudy. We installed tier 11 data. So we did you know this one of the processes of this is Capi imports. So we can basically figure out who’s a new customer who is not a new customer. So in most cases like you know, they were they were on track because most of the folks that they’re targeting are potential new customers, but they didn’t have a level of granularity.
00:25:51:03 – 00:26:14:11
Ralph
So like I said before, current customers are also being targeted by ads, which wasn’t as big of an issue. The point is, like they didn’t really know geographically where the real sweet spots were, where where were the most lucrative enthusiasts. And so we broke this down literally state by state, by state, and then created and then almost specifically for each state didn’t fluctuate all that much.
00:26:14:17 – 00:26:15:15
Lauren
Okay.
00:26:15:16 – 00:26:16:01
Ralph
Okay.
00:26:16:02 – 00:26:38:16
Lauren
So that was because they might want to do like, like additional marketing. Right. Are they president’s specific trade shows that these dragging motors could be attending? Are they going to festivals or dragging borders are competing. Like where do you invest deeper into markets that you can acquire new customers faster and cheaper. So like this type of stuff while you’re doing it from the digital side, it’s like mission critical to know your numbers.
00:26:38:17 – 00:26:55:21
Lauren
If you don’t know your numbers, you have no numbers to know. Like it doesn’t make you don’t have a business. You don’t know your own numbers because that way it allows you to. I mean, I say this with sensitivity to Black Friday, Cyber Monday, everyone defaults to the big three Google, meta and TikTok for their advertising when there’s still a lot of local opportunities or stuff.
00:26:55:21 – 00:27:08:01
Lauren
Like we said this, what you do with your first $10,000, knowing which states to penetrate to, and knowing the trends of that state, can open up diverse advertising channels that, may make sense to you.
00:27:08:03 – 00:27:24:11
Ralph
Yeah, yeah. And even going down to like the regional level and you’ll see and know we’ll share some of the ads here. I’m not sure how much I can really show you, but I’ll show you sort of an example of a couple of the ads. We even went down from like state and then to the local geography of that.
00:27:24:11 – 00:27:35:02
Ralph
And then in that local geography actually shot footage of bodies of water specifically that are unique to that local.
00:27:35:05 – 00:28:04:13
Lauren
Amazing. You added relevant creative hooks through landmark visual cues. Yeah. That and I mean we do that a lot. And we’ll even have like the copy language because if you think of someone in NorCal, if you hear someone say like, hello, you know, they’re from NorCal, right? And if you hear someone say like aboot or there’s different like vocal cues, language cues, landmarks, that act is really good creative hooks to have you stand out above the competition so you leverage those gained on the regionalized level.
00:28:04:13 – 00:28:10:18
Lauren
Again, you had what kind of island? I would recognize it. You have no idea. But I hear you on this.
00:28:10:20 – 00:28:25:02
Ralph
Yeah, totally. And you know, even in the ad copy and we’ll show some of the ads here, like we’re even using some of the local lingo like this is this is next level targeting for the ideal customer profile. So we I.
00:28:25:02 – 00:28:44:01
Lauren
Would argue it’s past level because I’d say this is madmen era. This is how you did marketing before. Digital marketing, like Facebook and Clickfunnels made it so easy to just like spray and pray massively what you like. People just took their digital billboards and made it so they were talking to everyone and it was easy to make money for a while.
00:28:44:01 – 00:28:47:08
Lauren
But now you’re going back to like, foundational marketing. Yeah.
00:28:47:08 – 00:28:59:03
Ralph
I mean, if you really think about it, okay. Like the enthusiast in Southern California is extremely different than the enthusiasts for this in Alabama, for sure.
00:28:59:03 – 00:29:30:19
Lauren
And they have different things that they’re thinking about, different, like ways that they’re competing for their dollars spent. And so if you talk to everyone, no one is listening. And here we were saying, I’m being intentional. I’m personalizing my campaign and making it relevant for the end user. And that’s where, like you and I have said a lot, you will win with advertising, especially in the world of AI, when you’re as personalized and as relevant as you can to who they are in relationship to your brand and who they are in relationship to your CRM, which is where again, going back to what you said, the people who are existing customers, the relationship with
00:29:30:19 – 00:29:36:18
Lauren
the CRM is they were already bought, so that relationship wasn’t personalized, irrelevant to them. It was annoying.
00:29:36:20 – 00:29:55:00
Ralph
It is annoying as well. That wasn’t the biggest issue, but that was like the real issue is like they just didn’t know what they didn’t know. And the question that they had, I think it was our first call because this and obviously this is a friend of mine that is not a customer of ours. But the point was, is he was like, am I tapped out in my market?
00:29:55:02 – 00:30:14:09
Ralph
And I gave him the example of my buddy on Cape Cod, my fishing cod, my my buddy Ryan Collins, which, you know, we were talking about this yesterday, I think, for the reporter is that he has a membership site for Cape Cod and this particular niche, and he has 2000 members, which bloats up to like 4000 members.
00:30:14:11 – 00:30:21:09
Lauren
So if he does it, this individual, this dragon boat company, if he didn’t have at least 4000, then no way did he conquer his town.
00:30:21:11 – 00:30:38:04
Ralph
Exactly, exactly. But if you think about like Cape Cod is tiny, tiny, tiny, tiny little area and it’s literally it’s Cape Cod Bay, that’s what he actually markets to. He doesn’t even market outside. And so it’s a market inside a market inside a market. And he’s got 4000 of these enthusiasts so much.
00:30:38:05 – 00:30:39:01
Lauren
In the niches.
00:30:39:06 – 00:30:58:16
Ralph
Absolutely. And you got and I was like you guys are nowhere close to tapping out your market. So subject matter expertise certainly does help here. But also we were looking at some of the audiences inside Metro are like, oh my god. Like they’ve barely scratched the surface. You just need to have good data to be able to target the right people with the right message to the locale that makes the most sense for them.
00:30:58:18 – 00:30:59:23
Ralph
Speaks their language.
00:31:00:04 – 00:31:16:07
Lauren
So the creative helps curate the audience 100%. That helps allow them to penetrate through markets. And especially with Andromeda, like that’s what Zuckerberg wants. He wants again, that personalization and the relevancy. I want to know that you’re talking to me, Lauren. Elizabeth the true love.
00:31:16:09 – 00:31:17:17
Ralph
Yep. And no one else.
00:31:17:19 – 00:31:20:08
Lauren
Yeah, make it all about me. My favorite subject.
00:31:20:10 – 00:31:37:09
Ralph
Okay, so speaking of making it about you, what we did notice is that we went back. We did an analysis of all their ads that have worked well. They didn’t have this regional targeting or any of that sort of stuff, which is fine. So that’s one of the things that we obviously did. But we also looked at what was the hook that was bringing in what we felt like.
00:31:37:09 – 00:31:58:14
Ralph
According to in platform Metrics, where the strongest hooks and it was clear there was 1 or 2, and we’ll show them here in just a second. I don’t know how much we can show them, but it was really problem based. It was like this enthusiast has this specific problem, okay? Because they see it inside their membership site and they know that that’s the big problem.
00:31:58:14 – 00:32:23:10
Ralph
So that hook like where to find X was the big problem. We identified that hook as the ad type or the hook with regional copywriting, regional lingo, regional dialect that then targets these people that all had the same problem. But spoke to them in a slightly different way. If they’re from Southern California or they’re from Alabama.
00:32:23:11 – 00:32:41:06
Lauren
Makes sense. Yeah. Because if they’re in LA at the 405, you know that it’s going to take you two hours just to be able to participate in this recreational activity. Right. And so you’re concerned about like I need to be on the road by X time, whereas in Alabama you might be walking or biking or like just be have this as your backyard.
00:32:41:06 – 00:33:07:15
Lauren
So again, you’re getting into that personalization and what that allows you to do. What I’m looking at here for those that don’t see online is we have a 52.7% increase of total subscribers year over year. Yeah, almost 20% increase of web subscribers year over year with a price increase. So they’ve made more money and acquired more customers and had a 156% increase in our subscribers.
00:33:07:15 – 00:33:24:02
Lauren
So that was leveraging one of the money models, one of the resources that was probably heavily invested in that was just sitting on the side, like, I built this really beautiful thing and it’s so helpful, but no one’s use it. And you’re like, hold on, let me use it. Let me get it in front of the right people because they would love to have this app or software.
00:33:24:03 – 00:33:31:06
Ralph
Yeah. So the app, the subs, the subscribers, all of this incredible growth within six months.
00:33:31:08 – 00:33:32:05
Lauren
Because, you know.
00:33:32:07 – 00:33:52:06
Ralph
Just just these changes alone, like most of these changes are not even really media buying related. They’re just like, let’s think about the business critically and let’s try and figure out how to solve X problem, which is we’ve had flat growth the last three years. We feel like we’ve tapped out our market. They didn’t know any of these numbers.
00:33:52:06 – 00:34:12:11
Ralph
They didn’t know what was the cost to acquire a new customer. Like, let’s get that up as high as we possibly can. That and it still makes sense for you. And you guys are profitable. You know, including our fees and like great. So we figured out that we hinted at the results obviously great results here. We’re going to show you some graphs inside their membership platform.
00:34:12:11 – 00:34:32:20
Ralph
So here are the results. And once again if you’re not watching this over on professional traffic.com/youtube, I highly recommend that you do so. But actually this is you see active subscribers going from about 3000 to nearing 10,000 active subscribers.
00:34:32:21 – 00:34:35:00
Lauren
Dang dang dang dang.
00:34:35:02 – 00:35:00:21
Ralph
Yeah, that is pretty dang good. The 52% increase in total subs year over year. So as you can see here on this slide, we’ve got active subscriptions of 48,000. And the beginning of the year it was about 44,000. But active subscriptions people that are actually you know in there and using I think that is the difference between these two.
00:35:00:21 – 00:35:19:15
Ralph
So they have subs and then they have active subs and they, they kept talking about like we want active subscribers, not people that are just going to subscribe and then just never log in. We want them actually logging in, using, being part of the community. And that increased from about 3000 to nearing 10,000.
00:35:19:16 – 00:35:44:10
Lauren
Dang. But the thing is they want I mean everyone’s like oh 48,000 active subscribers. That’s money, don’t get me wrong. But they’re doing they’re not active. It’s like when we said, how many people are paying for stuff they’re not using. If you don’t consume it, you’re not going to convert higher ticket or have a strong lifetime value. If you were to look at the lifetime value of an active subscriber versus a non-active subscriber, I’m sure it’s a day and night comparison of the lifetime value of that individual.
00:35:44:11 – 00:36:04:17
Ralph
Yeah, and you know, the best revenue that they’ve ever had in the ten year history of the company all of a sudden just came out of nowhere. So I mean, that’s like a huge win. And this is great. Like and they do such a good job of engaging the community. You know in this, you know, in this recreational activity that we’re not going to name here.
00:36:04:19 – 00:36:17:12
Ralph
The point is it’s like they know what they’re doing. Their retention rates are insanely great. I think it’s three four years wow of subscribers, which is great. Like this just reinforces yet another money model.
00:36:17:12 – 00:36:18:18
Lauren
Printing money.
00:36:18:20 – 00:36:28:13
Ralph
Printing money. Yes. And these guys are doing this like the founder of the company. You know what he does all day? He he does the recreation.
00:36:28:14 – 00:36:29:17
Lauren
Like, oh, so he’s dragging.
00:36:29:17 – 00:36:30:12
Ralph
Videos on it.
00:36:30:15 – 00:36:33:03
Lauren
Is this dragging on living his best career life? Got it.
00:36:33:05 – 00:36:51:21
Ralph
He’s living the best life. Yeah like super smart. But anyway, great results here. So all we really needed to do is just sort of figure all this out and putting it all together now. Now we’re actually focused on enhancing the conversion rates on the site. So for the subscriber model that we have our zero division that’s going to be doing that.
00:36:51:21 – 00:37:10:10
Ralph
And then secondary to that will probably do the same sort of thing for their e-commerce business, which as I said, is like as a secondary business. So it’s membership, it’s apps like downloading the apps, which I believe is pay. There’s a paid version, so there’s money model there. And then last but not least is an e-commerce play here for discounts.
00:37:10:12 – 00:37:33:19
Ralph
You know, if you’re a membership site, think of like what else can you potentially sell or serve your customers even better with. And it might not be a a product that you have. Maybe that might be an affiliate relationship. Maybe that might be something that, you know, you work out a deal with that other affiliate to get a yeah, we do this all the time on perpetual traffic, you know, like we have an advertiser or somebody that comes on board like they give a discount.
00:37:33:21 – 00:37:53:21
Ralph
It’s an affiliate deal. Yeah. So work that in your business. And obviously the money model stuff we absolutely love here. And they have got this figured out. So anyway I’m not going to name names here of course because this is going to be blurred out. But this is what they had to say about us. Tier 11 has helped us reach more new customers and ever before, by taking on the challenge of speaking to people at the local level.
00:37:53:22 – 00:38:09:09
Ralph
And we’ll show you an example of that in just a second. Tier 11 is going above and beyond for the good of our company. And so anyway, pretty, pretty proud of the results here. So yeah. All right. So let’s take a look at one of their ads here that says obviously this is going to be blurred out.
00:38:09:09 – 00:38:42:16
Ralph
Look at this. You know we’re talking about a specific state a specific type of like everything is specific to this state. And this is the state of South Carolina. We’re talking in their language here. And they’re talking about the biggest pain point that they have. And then it’s literally it’s like, it’s it’s founder video, face to camera with some B-roll sells the app, the system itself, some of this, you’ll be able to see, some of it you won’t be able to see.
00:38:42:16 – 00:38:54:17
Ralph
But anyway, they’re trying it. They’re pulling them in with what’s your biggest struggle? What’s your biggest pain point. You know, even with a little emoji with that little red cross out thing. What’s that called? An emoji land?
00:38:54:19 – 00:38:57:04
Lauren
I don’t know the do not enter.
00:38:57:06 – 00:39:01:07
Ralph
The do not enter. Yeah. Still struggling to exit.
00:39:01:09 – 00:39:02:23
Lauren
The circle with the strike out.
00:39:03:01 – 00:39:24:17
Ralph
Got it. It’s not your ex. It’s not your Y. It’s definitely not your luck. It is this. This is your problem. Because you can’t find this thing that you’re trying to do. The ad itself sells and also addresses the number one pain point and shows the solution. And then that then leads.
00:39:24:19 – 00:39:43:23
Lauren
So we’ve got an app demo that’s like again, it’s you couldn’t be more hyper relevant to that audience where what they’re looking at is like, what a lot of the people do here is not add in hyper specificity down to the localized level, so that again, you’re just talking to everyone and hopefully some are listening, but often no one maybe.
00:39:43:23 – 00:40:03:11
Lauren
And here when is that local? Geographically speaking, you have topographical maps of that area. Do people that are deep into this dragon boating stuff? Can you see so much relevance. So why this is pertinent to them that it’s almost like a no brainer. Yeah. Why wouldn’t you.
00:40:03:13 – 00:40:31:15
Ralph
That the type of activity that’s done in South Carolina is very I will tell you this, not really knowing this activity all that well, but it’s very different than in Massachusetts and very different in Southern California, different type of, you know, target specifically that this recreational individual is trying for you guys can probably like, piece this together because we’re making it sort of super hard for you to kind of get to know exactly what the business is doing is, is that you’re trying.
00:40:31:15 – 00:40:55:00
Ralph
But yeah. Yeah. And we’re leaving nothing to chance here. But the point is this is that then you hooked him in with all of this regionalized language. Okay. Which makes sense. And then it goes to and we’re looking at this over at perpetual traffic.com/youtube. We’re going into we could even do this you know by state. So in which state do you x dragon.
00:40:55:00 – 00:40:55:22
Lauren
Boat the most.
00:40:56:00 – 00:41:04:09
Ralph
Dragon boat the most we could even and we know we we see 7 or 8 states here. We could actually have an individual landing page for each individual state.
00:41:04:10 – 00:41:07:05
Lauren
That’s what you could do to make it better for the next step, next level.
00:41:07:05 – 00:41:25:13
Ralph
That’s sort of our next stage when we do the CRO side of the equation. But it’s basically it’s a it’s a quiz funnel. And, you know, it solves the problem. But you’re also going to be grabbing information on who this individual is. So let’s actually just kind of go through it. Okay. This, that.
00:41:25:18 – 00:41:33:11
Lauren
So it’s like where do you go? What type of Dragon voter are you describe your experience level as a Dragon voter.
00:41:33:13 – 00:41:55:03
Ralph
Yeah. What type are you? You know, where do you do this activity exactly? Next step is which of these best describes you. Beginner. You know, intermediate expert level like that kind of thing. And it’s basically it’s it’s four questions. And then you submit your email. So it’s a nice it’s a cool little quiz funnel here that they do.
00:41:55:03 – 00:42:31:20
Ralph
It’s brilliant. They’re applying in essence for the club the the membership site. Yeah. And the Insider club. Well so it’s it’s an amazing fast, super, super smart business model. The point is this is that if you can figure out a way in which to have continuity in your business, think about it from an e-commerce standpoint. Like if you’re an e-commerce business, you’re listening to this podcast, watching this podcast like Lauren Petrillo, what would be a great model for an e-commerce business that would run this money model that we’re obviously huge fans of?
00:42:31:20 – 00:42:33:23
Ralph
What what comes to your mind immediately?
00:42:33:23 – 00:42:45:04
Lauren
If you’re an e-commerce business and you want to have a membership subscription? I mean, I think of the gentleman in Australia who did it really well, and it’s going to be a bit of a in the gutter kind of thing. But he sells micro bikinis.
00:42:45:06 – 00:42:45:18
Ralph
Okay.
00:42:45:18 – 00:43:04:22
Lauren
Your customer, there are two types of customers that he has because he sells micro bikinis. And then he has a membership portal for people that want to view the content of micro bikinis, because there’s the person who wants the e-commerce product, and they will want to show that off on Instagram a lot. But a lot of the times, those micro bikinis are so micro that those posts get flagged.
00:43:05:00 – 00:43:26:21
Lauren
To which then the guy he set up, this membership community, the membership is doing like a million a month. Wow. And he has it set up where it’s like if you post pictures or post content inside this membership community, you will get $250 worth of store credit. So if you post a picture wearing a product, we’re going to reward you with more money to spend on the product.
00:43:26:21 – 00:43:50:09
Lauren
And you want to post these pictures anyways. And maybe you have connections to other portfolios and ways that people can engage. But when you post to and you participate, I think you distribute some of the membership money back to the people based off of how much engagement they’re different posts. He’s essentially created his own OnlyFans account specifically for his e-commerce products, and he’s just giving away the products almost to the people that provide the most valuable content.
00:43:50:09 – 00:44:10:18
Lauren
And he built a membership where if you’re not the end user of the product, but you like seeing stuff about the product, you have accessibility to the membership as well. That was just like a small thing where I when I think of if an e-commerce brand can make a membership community, what’s worked well for that brand, if it’s not your end user getting together and people want to see the end user result, you can do it that way.
00:44:10:18 – 00:44:30:16
Lauren
Or if you’re an e-commerce, you can just have an application, right? If you’re in the skin care space, you’re having conversations your customers are having and you’re talking about the application. If you’re in the weight loss space, your membership community of like what’s driving you directly? It might be like premenopausal weight loss, weight gain, postmenopausal weight gain, pre-baby like healthy stuff like all those different things.
00:44:30:18 – 00:44:56:17
Lauren
Your e-commerce products just become an afterthought and no, an assumption. But people don’t sign up for memberships because of community. They stay and memberships because of the community. Which is why you’re dragging voting. People probably wanted to increase the active subscriber because the more members in the community, the more you feel a part of something. So yeah, if you’re an e-commerce product and you have a discussion that’s a hot topic that your team can get on.
00:44:56:17 – 00:45:12:22
Lauren
If you have podcasts that they listen to us. So you’re bringing the conversation together. It’s like a post-Covid world. We saw that everyone wanted to connect. Connection is so big, and if you can bring that together and have a place where they can have conversations with other individuals that nerd out on the same thing, like I think of.
00:45:13:02 – 00:45:17:17
Lauren
This is why anime cons are so successful.
00:45:18:12 – 00:45:41:14
Lauren
So successful. I know businesses that are doing 50 to $100,000 a day selling styrofoam products at these anime cons, because they’re getting people coming together to show their excitement for a very specific TV show or a very specific type of show, like you have opportunity, and the e-commerce product is just like a byproduct that your community would like to join.
00:45:41:14 – 00:45:51:13
Lauren
So yeah, I think it’s a great idea. I just would plant that fun seed of if your end customer doesn’t want it, maybe you can have other customers that will celebrate the people that are buying your book.
00:45:51:14 – 00:46:11:09
Ralph
Yeah, absolutely. One of the examples that, there’s a couple of different ways to do this in e-commerce, and that’s sort of our last point here. Because I do have to catch a train to go to New York, but, is, auto replenish option, like, for example, like you’re in the beauty and wellness niche. Auto replenish is sort of continuity to a certain degree.
00:46:11:09 – 00:46:23:12
Ralph
It’s auto replenish like, you know, it’s going to be used up within 30 days, 45 days. You give that as a as an offer, but also potentially even some kind of discount for doing the auto replenish. Sure. The other part to it is.
00:46:23:13 – 00:46:25:00
Lauren
Like subscribe and save discount.
00:46:25:00 – 00:46:48:23
Ralph
Yeah. Subscribe and save discounts obviously. So auto replenish, subscribe and save the same kind of thing. A client of ours actually does a beauty box, so includes like, full size and sample size, like deluxe package that they get every single month to try other products from their brands. You know, Birchbox does this really well. They’ve got like a beauty subscription service.
00:46:49:00 – 00:46:55:07
Ralph
Yeah. And that’s a continuity program. Obviously. You know, that monthly mix of like, beauty samples, makeup, skincare, hair care, all that.
00:46:55:07 – 00:47:12:20
Lauren
What’s great if they’re not paying for their cogs, their cogs is shipping and the relationship building. Because I looked at it and it’s like, do you say, hey, I’m going to I was looking at like, how to be a redhead. There’s an amazing Instagram, and they do a box every quarter. And like there was a product that we had that’s like really specific and great for redheads.
00:47:12:22 – 00:47:23:10
Lauren
And you have to donate five donate 5000 units. And then this is the same. It’s just the way you’re advertising. You’re getting in front of 5000 people that are introduced to your product, to which it’s your chance to lose.
00:47:23:12 – 00:47:39:11
Ralph
Tremendous. Well, these are all great ideas. And so think about this. If if you know, you’re like, I don’t have a subscription brand like this isn’t really relevant to me. Well, actually it is. Think about a way in which to get your customers, get your clients more sticky. And this is oftentimes the way to do it. Continuity is killer.
00:47:39:11 – 00:48:06:09
Ralph
These guys have got a great business, and we’re very excited to continue to work with them and get them to their ultimate goal, which is to double yet again, in 2026, which is the goal of, a lot of businesses is to obviously scale and grow and have wider influence, which is, and they’re doing a lot of great things for this community that we have yet to name of recreational enthusiasts in the, dragon boat niche, for lack of a better word.
00:48:06:11 – 00:48:33:07
Ralph
Anyway, make sure that if you’re listening to this head on back over to our YouTube channel, Perpetual shark.com/youtube. Subscribe. Watch this episode killer case study here. I think you can apply it to just about any business. So, thank you so much, Lauren Petrillo, for all your insights here on today’s case study. Yet another money model touting her Moses book, which, once we finish it, we’re going to do like a bunch of episodes in that, too.
00:48:33:09 – 00:48:57:22
Ralph
So make sure that wherever you are listening to podcasts, you subscribe. Of course, leave us a rating and review helps us get to a wider audience. Teach people how to do this stuff. The right way. And of course, all the resources in show notes are at professional traffic.com. So on behalf of my Amazing Genius co-host Lani Petrillo for blessing again, that’s why you should be on the YouTube channel.
00:48:58:00 – 00:49:07:09
Ralph
Until next show. See you.
