There is a marketing success secret lurking just within our vision – in any professional sporting competition, from cricket to netball to rugby to NRL to AFL.
They all use a feeder system.
There are layers of competition below them aren’t there?
In the AFL you have the SANFL, VFL, WAFL, the NEFL. On top of that you have the junior competitions, not just the local footy clubs’ Seniors, Reserves, U18, U16, U14, U12, U10s all the way down to Oz-kick. There is also the elite under age competition – where future talent is identified and sent to.
Now there are some 800 odd listed AFL players (808 available for selection in supercoach). My guess would be that the VFL, SANFL WAFL and NEFL probably has 4 times more players between them.
Then you go down to the level of the seniors at local footy clubs and there are at least 4 times as many again.
Then how many kids play at their age level?
It forms a feeder pyramid. Everyone aspiring to get to the next level. With the best players rising to the top.
Your customers do work the same as well. The fewest best should be at the top, giving you the most money, then there is the next tier, good but not quite as good as your best. Then there are some middle guys who might move up a level one day but are otherwise solid citizens. Then there is the rest who should aren’t customers yet, but might become customers one day.
Commonly called ascension – this can be engineered into almost any business. We are currently building into ours.
Most of your revenues can and probably do come from your fewest and best customers (this is 80-20 principle.) Many businesses try and operate outside of this and ignore it. You need to find ways for your best customers to spend more with you. They can and they will.
The amount your customers spend with you should look like this – few spending a lot, many spending some. A whole lot spending not much. That is a business operating in accordance with nature.