Page 34 - My Marketing Sucks Book

for you. Doesn't sound like much, but multiply that by the lifetime value of that

one restaurant customer and you’re looking at real money.

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Lifetime Value is the amount of money a customer
will spend over their entire relationship
with your business.

Click below for more on how this is
CRITICAL to understanding your business:
http://MyMarketingSucks.com/Lifetime-Value

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In the case of our upscale restaurateur, let’s say their average customer’s lifetime

value works out to be an average bill of $100 per visit and 15 visits over time.
That's an extra $59,280 for a small, incremental 10% improvement in merely the

number and quality of new potential customers.

That's not bad for a $500 ad spend. Wish my stockbroker could get those type of
returns!

But that is not where the big gains come from in our Exponential Growth
equation. The biggest return for our restaurant (and YOUR business too!) comes

from getting your existing customers to spend more and last longer.
Let's say our restaurateur offers some new and creative dessert options to his
guests after every meal. This owner has 2,250 regular customers who spend, on

average, $300 per year. He rolls out these amazingly delicious dessert options,
resulting in people spending a mere 10% more a year - $30; on average.