Why Home Service Marketing Breaks at $5M

Jack Carr (0:00)

What actually breaks at 5 million from a marketing standpoint?

Sam Preston (0:03)

The first place that things are breaking is actually knowing your numbers and where people are at in the funnel.

Jack Carr (0:09)

All these tools are just getting more and more sophisticated to be able to work on that data source, but there's still huge data in data outpoll. So a big portion of where it's breaking is they don't have good data.

Sam Preston (0:18)

Yeah, I mean, I think the first thing is, can you track to revenue? It really does matter to what you should be doing from a marketing standpoint.

Jack Carr (0:25)

Anything else that breaks in that kind of sector?

Sam Preston (0:29)

Yeah, so.

Jack Carr (0:36)

Welcome back to Owned and Operated. Today, you're here with Jack Carr in place of John Wilson. Owned and Operated is a top 100 podcast that talks everything home services. We talk about our business that we're currently in and John's business, who's not here today.

So today, I have sorry, if you are watching, we are in studio today at Wilson Company doing Breaking Five. So we have some really cool stuff and some really cool content that we're going over. And Sam from Service Scalers is here as well. How's it going, Sam?

Sam Preston (1:06)

What's up, my guy? I'm just excited to be here.

Jack Carr (1:08)

Yeah, it's been fun. This is a we say it every time like there's a bad cohort, but every single Breaking Five has been unique and has been a lot of fun.

Sam Preston (1:17)

Yeah.

Jack Carr (1:18)

So interesting group.

Good size, good mix of business types. I mean, we have people from Inceptic to roofing, to fencing, to then the big three, and then sizing all the way up to 10 million from 600,000. So a big cohort. And interestingly enough, there's been not too many questions about leads just yet. No. Which is unique. It's super unique. Usually it's like, hey, if we need leads, we need leads. And then it's us spending a day and a half saying, you don't need leads. You need to get your infrastructure, your call center and everything else right.

But this is the first group that was like, hey, yeah, we actually have infrastructure issues. Hey, we have org chart issues and no lead issues. So we'll see. Tomorrow's where we go through it in depth and it's going to be fun.

Sam Preston (2:08)

This is the first breaking 5 million. Where, and tell me if I'm wrong, that we've had quite a few people above 5 million. Six, seven, and 10, where they're like, we have some of these issues and we don't know how to keep growing and get to the next level.

Jack Carr (2:23)

We've always had some level of above 5 million. Usually what happens, shout out Peter, is part of their business that they're trying to grow is smaller than 5 million. They'll run a $10 million company and 7 million is construction or 7 million is installation of septic systems and 2 million is service. They're trying to wrap their head around the service side of the business, which is sub 5 million. But yeah, this group does have its fair share of above 5 which has been awesome.

Usually they're super interactive groups just because they have some level of understanding that maybe somebody at sub 1 doesn't have. But in the best interest of breaking 5 million and marketing, Sam, you run an awesome company called Service Scalers, which focuses on marketing. So you are the resident expert.

With that, we were going to go through what actually breaks at 5 million from a marketing standpoint.

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Sam Preston (4:03)

You got to figure out where things are breaking at in your funnel.

So the first place that things are breaking and we're having these conversations is actually knowing your numbers and where people are at in the funnel. The first thing I want to talk about is revenue attribution. Because even still today, we've got hundreds of clients. The vast majority of my clients can't actually give me revenue information. And the problem with that is that we are making lead decisions at this point. So where's your best cost per lead? How do I get you as many leads as possible? And not what is actually making you money?