Phil Risher tells home service businesses spending $5k-20k monthly on marketing to track five metrics: leads year-over-year, jobs run, quotes, closing rate, and new customers. Pull your CRM data to find out if the problem is marketing or operations.
If you're spending five to twenty thousand dollars per month on marketing for your home service business and you're not growing, there's a serious problem. And here's probably what's happening. One is leads year over year. If you're not getting more leads than you were last year, it's going to be harder to grow your business. And if you're spending money on marketing, you presumably want more leads or better quality leads, and you need to track that all the way into return on ad spend. The second number is jobs run. This was a big issue that I had at a home service business was we weren't even tracking how many jobs we were running. But if you're going to grow your business, you need to do more jobs. The third one is quotes. Quotes is literally the number of estimates that you generate. And even if you don't get any more leads, you don't run any more jobs, but you just generate more estimates. You can grow your business, which is why you need to track this number. The fourth one is your actual closing rate. If you don't know that you're generating a hundred estimates and you're only closing 30 of them for 30%, but you should be at 40 to 60%, that's a problem. And the last number to track is new customers. If you don't know if you're getting more new customers year over year or not, how do you know if it's actually working? This is why when I built our company, I said we need to track these numbers. We need to go into everyone's CRM and pull this data out because it might be a marketing problem, it might be a leap problem. But how can we fix this? With automation, marketing, sales strategy to actually grow businesses, which is what all that matters if you're spending money on marketing.
