We improved insights to help increase revenue streams.
Challenge:
The challenge with JFA automotive was that they’d had a great business that had built over the last seven years. The problem was the director wasn’t making much money himself out of the company, he’d fallen into the trap of living month-to-month to pay the overheads and the salaries and there wasn’t much left for him.
He was spending a lot of money on marketing that just wasn’t getting the desired results. He was struggling to increase the profit as they didn’t have a handle on the marketing figures and where the results and sales were coming from.
As we know leaders eat last but it seems crazy that I had a great turnover a sensible amount of staff the opportunity to be more productive with the same amount of money being spent on marketing but just wasn’t getting the results.
Solution:
The solution was to identify the cost within the business and where the marketing money was being spent. We needed to implement a CRM, we used HubSpot we needed and get a handle on which leads we are generating the best profit and more importantly which leads we’re not making a profit.
Once we started tracking the Leeds in the CRM, by updating the website capture form, we quickly identified which car manufacturers were making the most profit.
The next step was to ensure we got the right vehicles coming into the workshop. We did this by ensuring our PPC campaigns and budget was being spent on the type of lead that we wanted – it was like being in a helicopter looking down in a car park and choosing the exact cars that we wanted to retune.
Results:
Once we knew what the average sale was from certain manufactures, we had a benchmark that we to improve on. The previous PPC and marketing campaigns were generating an average sale of between £300-£400. Within a couple of months, we had increased the average sale to £800 – a revenue increase of over 20% per month.
More importantly, we could work on fewer cars and achieve more profit. Obviously, we have the opportunity to increase the profit margin more by working with the sales team and implementing CRM tracking data. This knowledge provides us with the power to spend our marketing budget more wisely.
Within the CRM we also identified different customer personas, which will provide us with data on how we market to our database of clients. To begin with, we were blind, but once we implemented the CRM it was like getting a pair of binoculars, and we now can dial our marketing spend to the point where we have crosshairs on the type of vehicle we want to come into the workshop.
The website performance and user experience dramatically improved. PPC conversions increased from 2% to 3.54% and there is still room for improvement.
