Phil Risher says home-service rollups reactivate past customers instead of chasing new ones. A targeted offer to dormant accounts lifts revenue 20-30%. Monthly emails, texts twice a year, and check-in calls cost almost nothing and turn existing customers into free leads.
Yeah, you paid to acquire that customer once, but you gotta stop paying to acquire them again. A lot of home service businesses are focused too much on getting new customers in when they have a honey hole of customers sitting in their database that know, like, and trust them. And they think, oh, well, they'll just call us when they need us. And they forget about you. They go online, they search for the same service, and then they come back through the funnel again. Oh yeah, we used you before. We work with like 3 or 4 companies that private equity buys and plugs us in. And every single time, the game plan is to reactivate the past prospects and customers. And it usually is because they can generate 20 to 30% more revenue just by using the customer database that already knows, likes, and trusts them and retargeting them with offers. So if you have a database of people and you're spending money on marketing to get new customers in and you're not sending out a monthly email, you're not doing text message marketing at least 2 times a year, you're not calling these people to check in with them and see if they have any services they need done, then you are missing out on the gold mine and literally free leads coming into your business. It's a lot more expensive to get new customers than it is to get repeat customers.
