How to Maximize Revenue in Home Services

Smart contractors don't wait for customers to call. They predict exactly what customers need next. Here's the 6-figure insight most service businesses miss: -- When homeowners invest in one major project… They predictably need complementary services. Instead of waiting for them to find you, you predict their next move and be there first. & this isn't theory, it's pattern recognition. -- 1. The Pool → Fence Connection When someone installs a pool, they almost always need fencing for safety requirements. Average pool project: $45,000 Average fence project: $8,000 If you're installing pools… You should own the fencing business, too. -- 2. The Solar → Electrical Upgrade Most solar installations require electrical panel upgrades to handle the higher load. Solar companies often sub this out and lose thousands in additional revenue per job. Smart contractors either hire an electrician or build partnerships for referral fees. -- In my roofing business… I've noticed customers often need or want additional services after a roof replacement: • Gutter work • Siding repairs • HVAC updates Instead of just doing roofs, build partnerships with contractors in related services (or do it yourself). -- Here's how to identify your patterns: • Track what clients buy after working with you • Monitor permit filings in your service areas • Notice seasonal timing between projects • Use AI to analyze renovation patterns Most contractors never track this data. -- Most contractors think ↳One service, one customer, one transaction. Correlation thinking: ↳ One customer, multiple services, lifetime relationship. A $50,000 pool installation becomes: • $8,000 fencing project • $15,000 deck addition • Ongoing maintenance -- Why this works now: • Homeowners aren't moving, they're improving • Digital tools make tracking patterns easier • AI can predict future service needs The data is out there… Most people just don't connect the dots. -- While your competition fights for individual projects… You can build systematic revenue from every client relationship. The smartest contractors aren't just service providers. They're ecosystem builders. -- If you want to see more insights on scaling service businesses systematically... Make sure to follow me 🤝

How to turn your $3k client into a $15k client. Making more money isn’t just about new customers. It’s about keeping the ones you have. • Upsells unlock growth • Retention drives revenue • Cross-sells maximize value Lifetime Value (LTV) is the ultimate metric. But increasing LTV isn’t just about selling more. It’s about creating a seamless customer experience. Retaining customers is far more cost-effective too. • Studies show a 5% retention boost increases profits. • Profits can grow by 25% → 95%. Loyal customers trust your brand. So they're more likely to try new offerings. They also recommend you to others more often. So, how do you turn your $3,000 client into a $15,000 one? 1. Map Their Journey to Identify Upsell Opportunities • Your customer’s journey doesn’t end at the first sale. • Map out every step of their experience with you. • Identify pain points they encounter after the initial purchase. • Then, create upsell opportunities that solve those problems. For example, if you’re a SaaS company: → A $3k client might need advanced analytics later. So you offer a $12k enterprise plan with those features & position it as the natural next step for growth. Upsells work best when they feel like solutions. Not sales pitches, but logical extensions of value. 2. Build a Hyper-Personalized Cross-Sell Strategy • Cross-selling isn’t about pushing random products. • It’s about understanding your client’s unique needs. • Use data to identify what they’re likely to need next. For example, if you’re a marketing agency: → A $3k client might need email marketing services. Offer a $5k add-on to complement their current strategy. Bundle it with their existing plan for a seamless upgrade. Personalization is key. Make it impossible for them to say no. Show them how the add-on solves a specific problem. 3. Create a Retention Loop with Ongoing Value Here’s how: • Send monthly performance reports showing their ROI. • Host exclusive webinars or workshops for your clients. • Offer quarterly strategy reviews to refine their approach. For example, if you’re a consultant: → A $3k client might need ongoing strategy adjustments. So offer a a $10k retainer for quarterly reviews and updates. This keeps them locked into your ecosystem long-term. Retention loops turn clients into partners. They see you as indispensable to their success. When you focus on these strategies, magic happens. Your business scales sustainably and profitably - without having to take on more clients than you can handle.

🚨 Your Cost Per Lead (CPL) Means Nothing If You Don’t Understand CAC (Customer Acquisition Cost) If you’re spending money on marketing but only tracking CPL, you’re playing the wrong game. Let’s break down why CAC is the real MVP and how you can control it. A thread 🧵👇 1. What Is CAC? CAC = Total marketing spend ÷ Number of new customers acquired Example: • You spend $1,000 on ads in a month. • You acquire 10 new customers. • Your CAC = $100 per customer. Why it matters: You’re not trying to collect leads—you’re trying to get paying customers. CAC shows you if your spend is sustainable or just burning cash. 2. Why CPL Can Be Deceptive Getting leads for $10 each sounds great—until those leads ghost you. If only 1 in 20 leads books, your CAC skyrockets: • $10/lead x 20 leads = $200 • Only 1 customer books → CAC = $200 Moral of the story: Low-cost leads don’t matter if they don’t convert. 3. How to Lower Your CAC: A. Improve Your Close Rate Most home service businesses don’t have a lead problem—they have a sales problem. • Refine your pitch (focus on solving their pain point). • Follow up consistently (most customers book after 5+ touchpoints). • Train your team to handle objections. Even a small improvement in your close rate can slash your CAC. B. Craft an Irresistible Offer Your offer is everything. • Weak offer: “$50 off first service.” • Irresistible offer: “We guarantee arrival within 60 minutes—or the first hour is free.” When your offer solves their biggest fear (trust, reliability, cost), you’ll close more leads faster—and cheaper. C. Focus on Retention and Upsells Want to lower CAC fast? Get repeat business. • Upsell other services (e.g., restoration customers → cleaning packages). • Build loyalty so customers refer friends and family. If the same customer hires you again, you spread your CAC across multiple jobs. The Big Picture: CAC matters more than CPL because: 1️⃣ Your leads are high-quality. 2️⃣ You’re closing more jobs. 3️⃣ Customers keep coming back or sending referrals. Takeaway: Chasing cheap leads is a trap. Focus on reducing your CAC by: • Improving close rates, • Crafting irresistible offers, • Retaining customers. Want to drop your CAC and grow your home service business? Start tracking what really matters. What’s your current CAC—and where do you think you could improve?