When your marketing is bringing in more leads but revenue growth starts to slow down, it is natural to question whether your marketing is still working. But, as a service-based business grows past $3M in annual revenue, lead volume alone stops telling you enough about whether your marketing is producing the kind of work that supports your revenue goals.
In this episode, Kelly Rice talks through why small business growth stalls even when marketing continues to generate opportunities. More leads can still leave you working harder without seeing significant growth if most of those opportunities are lower-margin jobs, are tied to services you are not trying to grow, or are getting lost before they turn into won work.
As your company grows, more people become involved between the first inquiry and the closed job. Your front office handles the call, a technician or estimator meets with the customer, someone follows up, and someone else schedules the work. When conversion rates fall or capacity gets tight, increasing your marketing spend simply sends more people into the same process.
At this stage, the bigger question is whether your marketing is still supporting where you want to take the company. Looking at the type of work coming in, what converts, where you have capacity, and which services produce the margins you want gives you a much clearer picture of whether the slowdown is coming from marketing or somewhere else in the business.
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