What is the actual cost for my Customer Relationship Management (C.R.M.) tool?

A Martial Arts Dojo/Dojang had been in business more than 5 years successfully. Around the end of its 6th year the owner noticed that the student count had dropped way below normal.

We sat down with the owner/manager to do some research into what the issues may be and what had changed.

It didn’t take long before for our expert team started to see some of the issues and what the cost and effect was.

The attrition rate was the same for the last 6 years so this was nothing new and was within normal business parameters. However the new student count had fallen.

Advertising expenses and where ads were placed and the sales pipeline had not changed. Since the owner now had started to add other areas of training to his school curriculum he hired someone to answer the phone. He had his own way of following up the calls and the new hire didn’t.


Let our teams take a quick look

When you first contact one of our team members they will ask just a few questions about the issues may be experiencing.


Depending on your issues

A specialist or a small group of industry experts or a whole team can be assembled to solve your problems.


Plan of action put into place

Our team can work with your team to implement the solution and get your company back on track to success.

What was the solution? What really is the cost?

Our team sat down and and probed into how it was done previously to the new hire. It was suggested to the owner to incorporate a customer relationship manager (C.R.M.). After some exploration we found one that fit however it needed some re-writing to work within the operational pipeline how this karate school did business. Our team delivered a finish product along with the metrics and procedures for the owner to monitor so this issue would not arise again. 

Simple metrics, this particular school had a marketing budget of $1000 a month which generated an average of 35 calls a month and 10 walk-ins. So each contact cost $25 to generate.

With a closing ratio of 30%. The charge per student a month was $65 so a one year contract totaled $780 in revenue. 12 was the magic number of new students required per month to cover the advertising cost. 

The C.R.M. was custom tailored for how this school operated. With a goal of driving down the cost per contact that was measurable monthly and defining the sales pipeline, the closing ratio increased.

That was 16 years ago and once a year our team is called into not only to review its C.R.M. but to inspect the metrics and the gathering of the information making small adjustments as needed.