If you have been setting up start-ups for years, I will not tell you anything new. When I started with Coguan I was aware that data is important but I didn’t give it the importance it deserved from day one. They can tell you about it but until you live it you will always think that your case is different. I assure you it is not.
When you start your data consists of estimates and figures that you have found in market research. To be honest, this information is not going to help you much. What you really need is your own real data because the success or failure of your project will depend on it.
1 Control of monthly expenses
2 Sales Forecast
3 Management of marketing and sales campaigns
4 Web analytics to improve the online experience and usability
Control of Monthly Expenses
Costs are the only thing you control. There are some Guatemala B2B List very basic rules. Avoid fixed expenses and replace them with variables. It is much more important to collect than to invoice. Take care of your cash flow.
Fixed costs: this category includes rent, server costs, payroll, licenses, etc. Avoid hiring staff until you have no other option. Maybe the idea of managing teams makes you excited, but when you are forced to lay off workers, you will suffer both financially and on a personal level due to the stress you suffer.
Variable Costs – These are typically costs that you like to have. They are related to your sales. The more the better as long as they leave you a net profit margin, of course.
Cash Flow – It is very easy to fool yourself. At first I took it for granted that an invoice is collected. For me there was practically no difference between generating sales and having the money in the bank account. You can die of success if your clients pay you too late and you have to maintain a structure to keep things going.
Successful entrepreneur François Derbaix has recently published a blog post where he discusses some of the following topics in more depth. Never justify a higher cost because you want to hire someone, change offices, etc. because your sales forecast allows it. You do not control this data and, contrary to the previous one, it depends less on you than you would like.
Estimate the cost of acquiring a client : how much do you have to spend to get a client? The sum of all shares gives this figure. It has no more secret.
The recurrence of income : are your sales recurring or do you have to start the race from scratch every month? In Coguan we had the problem we had to capture new campaigns every month. Few customers immediately repeated. At Quondos we now have a subscription model where a customer generates recurring income if they don’t unsubscribe.
Customer Value – Also called the Life Time Value (LTV) of a customer. It is the sum of all the income you generate with him while you are selling him services or products. The goal is obviously to be as high as possible.
Management of Marketing and Sales Campaigns
Yes, you need a good product. Do not trust all those who tell you that this is enough to get sales. Viral marketing cannot be planned. If you don’t move your ass and invest time and money in the promotion you won’t sell anything at all.
CRM for sales teams: from the moment you start with the massive acquisition of clients and/or you have a sales team, a CRM becomes absolutely essential. It helps both for the control, management and continuous improvement of the sales process.
Cost of capturing emails: email marketing is still king in the world of online marketing. Its bad image stems from the relationship with spam. Many start-ups do not take care of basic aspects such as personalization in sending emails, so the value perceived by the user is very low in these cases.
Cost per click (CPC) to attract visits: if you want to set up an online store and sell from the first day, you have no other option than to pay for each visit. For your express online marketing plan, you need the cost per click to calculate the budget for your promotional campaigns.