Look, if you’re running an online shop, you’ve probably spent a lot of late nights staring at your bank balance wondering where all the money went.
You’re getting sales. The orders are coming in. But by the time you pay for your ads, your stock, and your shipping, there’s bugger all left for you.
Most people think the answer is more traffic. They think if they just get more people to the site, they’ll finally be rich.
Honestly? That’s usually the quickest way to go broke.
The real money isn’t in the first sale. It’s in the second, third, and tenth sale. If you’re constantly paying Google or Meta to find you a brand-new customer every single time you want to make a dollar, you aren’t building a business. You’re just a donation service for tech billionaires.
Here is the cold, hard truth: it costs way more to find a stranger than it does to sell to a mate. We need to stop worrying about "new" and start focusing on the people who’ve already given you their credit card details.
Why your first sale is usually a loser
I’ve sat down with heaps of business owners in Brisbane who are frustrated that their ads aren't "working." When we look at the numbers, the ads are actually doing fine. They’re bringing in customers.
The problem is the cost of that first click. If it costs you $40 in ads to sell a $60 product, and that product cost you $20 to buy and $10 to ship... you’ve just paid $10 for the privilege of working.
You’re literally losing money on every new customer.
But, if that same customer comes back next month and buys another $60 worth of gear because you sent them a nice email? That second sale cost you $0 in ads. Now you’re actually making a profit.
That’s what the fancy marketing types call "Customer Lifetime Value." I just call it common sense. It’s the total amount of money a person spends with you before they disappear forever. If you can move that number up, you can afford to spend more to get people in the door, and you’ll actually have some cash left over at the end of the month.
The three ways to actually grow your bank account
There are really only three ways to make more money from your shop.
1. Get more customers (Expensive). 2. Get them to spend more when they buy (Good). 3. Get them to come back more often (The gold mine).
If you only focus on the first one, you’re on a treadmill that never stops. You need to look at making more sales from your shop by focusing on the people who are already there.
Stop being a stranger after the checkout
Think about the last time you bought something online. You got the confirmation email. Maybe a shipping update. Then... nothing.
Unless you’re selling coffins, your customers probably need what you’re selling more than once. Or they need something that goes with it.
If you aren't talking to them after they buy, you’re leaving money on the table for your competitors to grab.
"Most business owners treat the 'Thank You' page like the end of the conversation, but it's actually the most profitable place to start the next one."
— Lisa Nguyen, Digital Strategy Consultant
How to get people to spend more right now
Before we even talk about getting them back next month, let's talk about the sale they’re making right now.
If someone is standing at your counter with their wallet out, that is the easiest time to sell them one more thing. In the online world, we do this with upsells and bundles.
If they’re buying a pair of boots, do they need the leather cleaner? If they’re buying a bag of coffee, do they want three bags for a 10% discount?
It sounds simple, but most people don't do it because they don't want to be "pushy."
Look, if it helps them use the product better, it’s not pushy. It’s helpful. And it’s how you turn a $50 order into an $80 order without spending another cent on ads. You can start getting more sales just by showing people what else they might need while they're already in the mood to buy.
The power of the "Check-In"
One of the easiest ways to get people back is just to be human.
Send an email 14 days after they get their order. Don't try to sell them anything. Just ask if they like it. Ask if they have any questions.
When you treat people like humans instead of just an order number, they remember you. Then, when you do send them a cheeky discount code or a new product launch a month later, they’re actually happy to see your name in their inbox.
Loyalty isn't a plastic card
You don't need a complex points system where people earn "stars" to trade in for a keychain. That’s for big supermarkets.
For a small business, loyalty is about recognition.
If you see someone has ordered from you three times, send them a handwritten note in their fourth package. Or throw in a small freebie. It costs you a couple of bucks, but that person will probably tell five mates about it and keep buying from you for the next three years.
That’s how you build a real business in Brisbane. Word of mouth is still the best marketing there is, but you have to earn it.
Don't ignore your product pages
If you want people to keep coming back, their first experience has to be top-notch. If your website is a pain to use or looks like it was built in 1998, they aren't coming back no matter how many emails you send.
You need to fix your product pages so they work perfectly on phones and actually answer the questions people have. If the first experience is rubbish, there is no "lifetime value" because the lifetime ends at the first delivery.
What should you do first?
I know this feels like a lot. You’re busy running the show. But if you want to stop burning cash on ads, here is where I’d start:
1. Check your numbers. Do you know how many of your customers come back? If it’s less than 20%, you’ve got work to do. 2. Set up an automated email. Just one. Send it to people who haven't bought in 60 days. Tell them you miss them and give them a reason to come back. 3. Add an upsell. Put one related product on your checkout page. Just one.
You don't need to be a tech genius to do this. You just need to care about the customers you’ve already worked so hard to get.
If you’re sick of seeing all your profit go to Google and want to actually keep more of the money you make, we can help you figure out a plan that actually works for your specific shop.
Give us a shout at Local Marketing Group and let’s have a yarn about how to get your customers coming back for more.
Check us out here: https://lmgroup.au/contact