Jay Abraham's Case Study #232
From: Joe Accurso
To: Jay Abraham
Sent: Thursday, August 01, 2002 4:36 PM
Approximately 10 years ago, my home based graphics design business was turning over $15-$20,000 P.A., growth was slow and I needed help. I attended my very first seminar, conducted by Jay and it literally turned my world upside down!
Over the next 18 months I was out of my garage and grew my business to a point where I now employ 3 people and the business turns over $450,000 P.A. and growing. I can confidently say that without the marketing education I received from Jay, I would not be in business today.
If I was to pin point a single concept that I believe gave me the best benefits and turned my business around, it would be to recognize the life time value of client and what you are willing to spend to acquire the new client.
When I first implemented this idea years ago, we used it with business card orders. We offered 250 cards (low quantity) to new clients absolutely free. It introduced new clients to us and we eliminated all risk to the client, they had nothing to lose and plenty to gain. Our real costs were $38 per client. The average client would then go on to order 2 lots of 2000 business cards per year (at a retail cost of $240 x 2 card orders which amounted to $480) and continue to do so for on average, 5 years, grossing $2400.
Therefore our initial investment of $38 gives us an annual return of 1263% for 5 years, try and get that return from your bank!!!!
The good news doesn't stop there, the bulk of them would in the future also order other things like letter heads, brochures, signs etc.
Today eMedia Lounge has a wide range of clients from small businesses to Corporate companies and whenever we take a phone enquiry or send out a package to a perspective client we'll offer something free or a discount voucher to encourage them to take the first step and start a relationship with us. By doing so, we find our enquiry conversion goes from 22% to 80% and that's the difference between a company struggling and a company thriving.
My testimonial is true and provable and you have my permission to use it in your promotional and marketing endeavors. Please visit our web site and see for yourself how my company has grown from nothing to where it is today all thanks to Jay.
P.S. If you'd like to save a truck load of cash next time you need a designer send us an email as the US dollar is worth almost double the Australian enabling you to save on your design.
Joe Accurso
eMedia Lounge Pty Ltd
338 Moore Park Road
Paddington NSW 2021
Phone 02 9331 1455
Facsimile 02 9331 4177