After auditing 155 home service businesses, the speaker found they book only 42% of paid leads, losing $1,200 per 10 leads. Adding a text and email follow-up sequence over seven days lifted one company's booking rate to 60%, generating an extra $1 million in revenue with no additional ad spend.
I audited 155 home service businesses. This is where they leak money in their lead intake process. Let's say you have 10 leads that come in and you convert five of them into a job for 50%. If you were to increase that to six jobs or seven jobs, those two extra jobs, let's say your average ticket is $800. That's $1600 per day per CSR. The problem is that most companies are not even doing 10 to 5. They're doing an average of 42% booking rate. That means that the other six leads that they paid for, let's say it's 200 a lead, that $1200 is gone. And this is the part that leaks the worst. They usually get one shot at the lead. So they spent $120, $200 to get that person to call and they get one shot at it. This is why they're bleeding money out left and right. What they need to do is implement a lead nurture sequence. When a lead comes into their business, there needs to be a process of we didn't book this job, so they need to get a text and an email and follow up with them. The next day a form came in and we called them and they didn't answer. We need a text and an email to go out over the next seven days to nurture this lead to try to get them to book a job. We had a company that went from 42% booking rate to to 60% booking rate just by fixing this thing without spending any more money. And it helped them make an additional million dollars in their business without spending another dime on ads. So if you don't have a lead intake process call, script, lead nurture sequence, I guarantee that you're bleeding money.
The companies that win the next five years won't be the ones gaming the system.
