Weekly Snip Report, April 1st, 2015

Yesterday was the deadline for my goal of reaching $1000/mo in revenue by 3/31/2015, which I missed bigtime. My current revenue is about $380/mo. It made me think that for my next goals I should choose something closer to the beginning of the funnel where I have more direct influence.

So here are my new goals. These are all conversion rate goals.

AdWords CTR 1% Already previously achieved
Trial sign-up 5% 4/13/2015
Activation: provide stylist names 50% 4/27/2015
Activation: provide service names 25% 5/11/2015
Activation: schedule at least one appointment 10% 5/25/2015
Paying customer 5% 6/8/2015

So let’s talk math for a second. Let’s say I buy 1000 AdWords clicks for $1000. If I have a 5% visitor-to-trial conversion rate and 5% trial-to-customer conversion rate, then 5% of 5% of 1000 is 2.5. So under that scenario a paying customer would cost $1000/2.5 = $400, which would almost certainly be profitable. I realize the cost of 1000 clicks would probably be more than $1000, but even at $3/click the cost of acquisition would still only be $1200, which I think would probably still be profitable.

As of March my trial sign-up rate was about 11/900 = 1.2%. (That’s 11 trial sign-ups and 900 unique visitors in March.) I’m meeting with my designer later today to kick off a so-badly-needed website redesign. I expect a more professional-looking site to convert a little better even without much in the way of copy/content improvements. I’ll be much more motivated to put effort into content improvements once I’m no longer ashamed of the site, once I “believe” in it.

The next coarse-grained conversion that happens is trial to customerhood, but that’s kind of a big gap inside of which a lot needs to happen. You could put another conversion between trial and customerhood called activation. Many prospects sign up for a free trial but then never even log in once. They really need to put in some stylists, some services, and some appointments. I think I could help grease the chute on that process by creating some sort of multi-step “setup wizard” where the first step is to enter some stylist names, then services, etc. Such a wizard would also make it super super easy to pinpoint the exact step where people fall off the wagon. The only information I have now is that they never logged in after signing up, and that doesn’t tell me much. If I could just get 10% of trial signer-uppers to put in some stylist names, services names, and schedule at least one appointment, that would be a big improvement over where I am now.

So those are my new goals. I think they’re within more realistic reach than many of my old ones. Wish me luck.

One thought on “Weekly Snip Report, April 1st, 2015

  1. Uzo

    Is it possible to have some sort of cron job that checks if a user has actually entered stylists or has a schedule in place and sends a polite, nudging email that they need to do so to really the get most (or anything) out of Snip?


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