Workshop: welche Kundengruppe soll skaliert werden

0:00I sell cleaning services to homeowners as well as vacation rental hosts. We do 1.2 million in sales. Uh I would like to be at 3 million in 18 months. >> Okay. >> And what's stopping me is similar to her. It's an avatar issue, I think. >> Mhm. >> Um like I said, we sell to uh homeowners and then vacation rental hosts. So, about 60% of our business is recurring for uh the homeowners and then about 15% is the vacation rental hosts.

0:29So, I'm not sure which one to focus on or if I >> LTV to CAC. >> LTV to CAC for the recurring services 9:1, vacation rental hosts 6:1. >> Okay. And are there more residential than than a lot more? >> A lot more. >> So, why do you What's Why is this a hard decision? I'm being genuine like I'm not trying to like you know, why is it a hard decision? >> It's not. I kind of knew the answer coming up here. >> Okay. >> [laughter] >> So, I've got this thing where I've got a ton of these customers and it costs me less and they're super sticky and then I have these other ones that are super price conscious and I have lower LTV to CAC and there's fewer of them.

1:01>> Which one should I do? >> Yeah. I guess I was attracted to the vacation rentals because they're higher frequency. Homeowners is like max you could do is weekly cleaning services. >> I still care about LTV to CAC though. >> Okay. >> That's As long as I mean as long as logistically there's not a huge operational difference between the two besides the fact that each Basically, it's like should I sell homeowners or HOAs? So, this represents, you know, many cleanings or many at once and I have to drive down my my my my net profit per but my absolute is higher.

1:29So, like my margin's lower but my the absolute ticket size is higher. It's a classic decision. But long-term, I would just rather have like unlimited demand where I'm making, you know, 9:1. >> That makes sense. >> And then just continue to machine that thing cuz the thing is is like if you just focus on just that thing, your life will get a lot easier. >> So, just completely eliminate vacation rentals? >> I would let it just die. >> Cool. All right. >> As cuz I'm I'm assuming that the the customer journey and the process is different for that avatar. >> Correct.

1:55>> Right. So, why have two businesses? >> Yeah. >> Like if you're like, you know, we're doing a hundred million a year and we see this is a segment that we want to attack, that's a different question than like I want to start it from the ground up. Uh where's my yoga chocolate factory? Thank you. All right. So, last night we talked about uh her business which is uh a yoga studio. There's a point to this. There's a yoga studio uh that also it says aerial silks and there's also like some therapy and wellness components, wants to build an empire of wellness.

2:24And bought a chocolate factory uh that's vertically integrated cow to bar, wanted to use the one store as distribution for the for the chocolate, right? Right? Okay. Um and because she wants to build this kind of uh empire, right? With all these different don't want to leave money on the table. Um can't can't let those Hershey bars you know, take it all. Um I'm kidding. I know it's special chocolate. Um but but the point is um a business like that doesn't you don't It doesn't grow like this. Businesses will grow like this and then all at once and then all at once. And so it's you you have to get so much bigger before you start really attacking verticals and that's when like M&A and things like that become more in the conversation. Do we buy it or do we build it? Because we've actually maxed out our addressable market. You probably haven't even gotten close to maxing out the market. So it's like it just begs the logical question like why do we have a second service for a second avatar? And the answer is just like we need the money and we said yes because yolo. But like from a business discipline perspective, it's very like straightforward.

3:29Here's a ton of customers. We make nine dollars for every dollar you put in. Let's do this as much as we can as well as we can. And the thing is is that you might with operational efficiency, improvements in process, be able to get to like 12, 13, 14 to one and it makes that side even sexier, but you won't get that if it's split in terms of your attention. And then what happens is both become kind of mediocre. >> Is there Is there a point that I would look at adding the vacation rental service? >> Not even close. >> Not even close. Okay. >> Yeah. Like, we'll keep working with you for another 2 years and then we'll be at, you know, 10 million and you'll be like, "So, am I ready yet?" And we'll be like, "Let's get to 30." And then we'll talk about it. And then at 30 we'll be like, "Hey, what if we talked about it 100?"

4:04And I'm just going to keep deferring this decision until eventually you're like, "I don't think we should do anything besides this cuz we're absolutely [ __ ] killing everyone." And I'm like, "Yeah." But I would but it's very hard to say no forever. And so, just say no for now. >> [laughter and snorts] >> Yeah, thank you. >> You bet. If you're a business owner and you are not growing as fast as you'd like, I'd like to give you a free gift. So, my team and I put together the $100 scaling road map, which is basically 200 hours of us looking over all the portfolio companies we've had and what stages of growth they went through and more importantly where they got stuck and how they got past it. And so, we broke it in these 10 stages and we made this little kind of quiz thing where if you put in your business information, it'll tell you where you're at and the most important part for you, what to do for each of functions of the business across product, marketing, sales, customer success, recruiting, IT, human resources, and finance. And so, no matter what you're struggling with, someone else has already struggled with it and solved it. And so, I'd like to give you this thing absolutely free. You can go to acquisition.com/roadmap, plug in your business information, and if you want us to actually help you deconstruct the business and you're trying to scale, we'd love to help you out. On the thank you page you can just book a call with my team and we will look at the business, see if we can help. And if we can, we'll invite you out to Vegas and we'll do this in person live.