client Acquisition Calculator Tool: for Beauty Businesses
Now calculate your own ...
Click on the calculator to fill your specific numbers for your own beauty business needs.
How many clients would you need to achieve your monthly goal of lets say...100k
If you have a revenue target of 100k, then you'll need to calculate the cost of your average product/service divided by your revenue target.
- Projected revenue /( average cost of product) = Number of sales
Let's use a real life example...
Take for instance, Ajoke- a cosmetics store owner, she sells cosmetics products and offer cosmetics related consultation, downtown.
She desires to generate 100k monthly revenue for her business. Believing that once she can attain that threshold of income for her business monthly, that means her business is somewhat profitable.
If Ajoke's average product cost is #2,500.00, how many actual sales in total would Ajoke need to meet her 100k monthly revenue goal?
If you divide 100k by #2,500... It means Ajoke would need 40 sales.
That's 40 purchasing clients who make a purchase.
But in real life market scenario...
If you would be realistic about your projection, towards realizing your revenue or sales goal, then you would have to increase your chances of getting more than 40 actual clients that will buy from you.
In the video above, i shared with you a 5:1 (client acquisition formula), this in my experience, is an ideal leads projection strategy for your marketing.
Going by the 5:1 formula...
It means out of every 5 leads or prospects that inquire or shows interest in any of your products or services, You'll make a safe projection to anticipate one out of the 5 leads will actually buy!. This is a safe and a more realistic number projection.
NOTE- In some market, depending on the offer... You may need to make a higher or lower projection for instance, a 10:1 (client acquisition formula) in order to achieve same revenue goal. This is based on the value perception that your target leads have for the product or services you are offering or promoting or your brand's reputation.
For Ajoke to finally crunch her revenue target, she would need:
- 5*40 Leads= 200 Leads (people) in total to be able to achieve 100k revenue goal, monthly.
Of course the 200 leads does not necessarily mean you have to acquire New 200 leads or prospects, this may also include your old returning clients. Whom through your marketing campaigns or promotional offer, or by their own sheer will of loyalty, to your brand returns to your business to make a purchase again.
Now what do you think?
What will you do differently in your business, towards you realizing your desired revenue?
Its very important to set a %percent of your income for your marketing , and I can't over-emphasized this point.
Because without you attracting new leads consistently, or not providing the best of value and experience to your existing customers... Sincerely from me to you, it will be very difficult, for you to scale your beauty business.
Most beauty business startups die a natural slow death as a result of their ignorance, Please stay atop of this.
There you have it, dear beauty billionaire in the making...
You can see for yourself where you stand with your revenue projection currently, and how much focus or efforts you'll need initially to build your client acquisition strategy.
To be able to generate your ideal revenue target steadily and consistently. This is by far a most reliable strategy to achieve your beauty business revenue goal, monthly.
Remember, it's a number game!
Use the calculator tool to calculate your revenue and client acquisition cost per lead.
... And happy Selling!