Results 1 to 5 of 5
  1. #1
    Join Date
    Oct 2011
    Location
    USA
    Posts
    4,983

    Default Do you calculate $value of each client?

    I am pushing to increase my weekly housecall cat clients. 4 visits a month. I only have 3 of them now.
    Depending on number of cats and services, each weekly client adds at least $5,000 to my gross annual intake. The 3 clients have a "value" of over $15,000. Of course, I do not see them as just numbers. I care about the cats and their humans a lot!
    Do you calculate these things? I have read about how add-ons add a ton of income. So far, I have not explored cat add ons.

  2. #2
    Join Date
    Aug 2007
    Posts
    3,958

    Default

    Yes!

  3. #3
    Join Date
    Feb 2007
    Location
    Washington state
    Posts
    1,418

    Default

    My mother PROVED, and I mean PROVED that back in 1990 the value of a new customer on average then was $25,000 if you were a growing business willing to grow and take more customers. This was ALL verified by CPAs, cost her thousands for them to audit it even. Now in a rural area that might be $5K or so.

    She found teaching this to her client reception people made a MEGA difference. First question to your new hire reception person, to start and to help them. How much is a new customer coming in today worth to the business. Normal answer, about $40 or $50 whatever the most common fee for grooming is,

    See? No one thinks (well some so, good going Emma) this new customer might come back for 10 years and 8 times a years. That's in the thousands of dollars. So you should see the look on the trainees faces when she showed them that. Usually they were speechless. She would say that is why I hired you, because you are important. Our groomers are important to give the best grooming, but your services treating our clients with respect and attention and courtesy is just as important.

    So if you think this customer walking in today is worth $50, try $5,000, try $10,000. Yes the CPA's said $30,000. We published this over 25 years ago. WHY? Because each customer also brought her business about 10 referrals, and each referral was worth thousands. It was not ever about greed to build a great business like she had, it was CUSTOMER SERVICE matched with loving styling grooming.

    Let me say looking back I was trained myself to respect and give premium service to every customer as if they were going to the fanciest place in town. It was easy, that is just attitude, sincerity, and a few minutes of time of the receptionist to make the customers happy and respected. In fact if you have not studied Marriott's courses in the hospitality industry to learn customer service there you have it. Do you know how many other major hotels and motel chains studied Marrriott's service regime? MANY. I remember my mother studying it.

    OK so back to Emma, it was hard for us sometimes to get receptionists to understand WHY is that so important in grooming. We found that showing like Emma is talking about and these numbers I showed here that apply to every grooming business owner that ever reads this board, no matter, EVERY new customer is easily worth $5000 today. Don't value them by today's grooming fee, but YEARS of grooming fees. This is the nature of the grooming industry. REPEAT BUSINESS.

  4. #4
    Join Date
    Oct 2011
    Location
    USA
    Posts
    4,983

    Default

    Quote Originally Posted by Stephen View Post
    My mother PROVED, and I mean PROVED that back in 1990 the value of a new customer on average then was $25,000 if you were a growing business willing to grow and take more customers. This was ALL verified by CPAs, cost her thousands for them to audit it even. Now in a rural area that might be $5K or so.

    She found teaching this to her client reception people made a MEGA difference. First question to your new hire reception person, to start and to help them. How much is a new customer coming in today worth to the business. Normal answer, about $40 or $50 whatever the most common fee for grooming is,

    See? No one thinks (well some so, good going Emma) this new customer might come back for 10 years and 8 times a years. That's in the thousands of dollars. So you should see the look on the trainees faces when she showed them that. Usually they were speechless. She would say that is why I hired you, because you are important. Our groomers are important to give the best grooming, but your services treating our clients with respect and attention and courtesy is just as important.

    So if you think this customer walking in today is worth $50, try $5,000, try $10,000. Yes the CPA's said $30,000. We published this over 25 years ago. WHY? Because each customer also brought her business about 10 referrals, and each referral was worth thousands. It was not ever about greed to build a great business like she had, it was CUSTOMER SERVICE matched with loving styling grooming.

    Let me say looking back I was trained myself to respect and give premium service to every customer as if they were going to the fanciest place in town. It was easy, that is just attitude, sincerity, and a few minutes of time of the receptionist to make the customers happy and respected. In fact if you have not studied Marriott's courses in the hospitality industry to learn customer service there you have it. Do you know how many other major hotels and motel chains studied Marrriott's service regime? MANY. I remember my mother studying it.

    OK so back to Emma, it was hard for us sometimes to get receptionists to understand WHY is that so important in grooming. We found that showing like Emma is talking about and these numbers I showed here that apply to every grooming business owner that ever reads this board, no matter, EVERY new customer is easily worth $5000 today. Don't value them by today's grooming fee, but YEARS of grooming fees. This is the nature of the grooming industry. REPEAT BUSINESS.
    I am staying at a Marriott now! Love Marriott. I did not know they had a course. I will look online for that.

    It is funny, but I can not tell who will turn out to be a repeat client. I often guess wrong.

  5. #5
    Join Date
    Jun 2011
    Location
    Northern NV
    Posts
    4,637

    Default

    Yes. Every year, I do inventory of my clients, how often they book, how many groomings a year x the $$ amount they pay me to see if I'm going to hit my target amount. This year I'm taking some big hits, like my weekly dog moving out of my area. That's 2500 this year alone in missed income. Time to take on new clients.

Bookmarks

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •