Secrets of cash conversion cycle marketing
If you want to scale your business, there are two metrics you absolutely need to obsess over:
- Lifetime customer value (LTV)
- Sales velocity
In plain English, that means “how much is one of your customers worth?” and “how quickly can you turn a lead into revenue?” Optimizing the intersection of these two juggernaut KPIs is the world of cash conversion cycle marketing.
To dig into this juicy topic, SegMetrics CEO Keith Perhac sat down with Paul Ace, CEO of Amplify C-Com, a growth agency that’s helped businesses leap from 7-figures to 8-figures. Together, they explore the key tactics and under-utilized tricks of cash conversion cycle marketing.
If you want to turn your leads into cash faster – and scale with confidence – this conversation is a must-watch.
Inside this video…
Jump to the juicy stuff:
- 00:00 – Intro
- 03:39 – Who’s Paul Ace?
- 07:23 – The Cash Conversion Cycle
- 12:26 – What’s your sales velocity?
- 16:07 – How do you find the most profitable path in your business?
- 23:19 – How to mine insights from customer journey data
- 26:55 – Self-liquidating offers
- 28:48 – The strategic difference between scaling 7-8 figures vs scaling 8-9 figures
- 34:00 – How to speed up your cash conversion cycle
- 37:09 – 3 steps to optimize your most profitable path
- 40:03 – Rapidly scaling LTV: Three case studies
Understanding the Cash Conversion Cycle
The core concept Paul explains is deceptively simple but incredibly powerful: the faster you can get your marketing spend back, the faster you can grow.
This works in three ways:
- The sooner you get a positive return on your marketing spend, the sooner you can reinvest some of that profit into more growth
- The more confidently you can track your ROI and LTV, the more competitive you can be in investing your marketing budget.
- The sooner you start bringing in cash from new leads, the more time you have to keep growing your lifetime value from those leads.
And each of these benefits compound on each other. When you know your cash conversion cycle, each of these benefits can snowball into a profit-driving machine.
What’s your Sales Velocity?
One of the most valuable segments of the video is Paul’s live demo a SegMetrics’ Sales Velocity report. Once you connect your marketing data sources to SegMetrics — which you can do for free here — SegMetrics will graph your cash conversion cycle for you.
Our Sales Velocity report will show you how much your average lead is worth at Day 1, Day 7, Day 14, etc.
You can also filter by specific tags to identify which customer actions correlate with higher lifetime value. That means you can optimize any touchpoint in your customer journey for a faster ROI or higher LTV.
Do Things That Don’t Scale
While Paul’s approach to accelerating your cash conversion cycle leverages automation, he also points out the power of using high-touch strategies. Many marketers avoid this because it “doesn’t scale” – but that just makes it a super power.
Here’s an example from Paul about how he used a high-touch approach to handle the abandoned carts in a bridesmaid dress business:
- Paul set up instant notifications so he’d get pinged when someone abandoned their cart
- Then he’d call them immediately with a friendly, non-pushy approach
- Ask if something went wrong or if they had questions
- Right there, on the call, Paul would address any objections
- At the end, if appropriate, he’d offer a special discount code as thanks for their feedback
- And finally, he’d guide them through completing the purchase while on the phone
The result?
Paul closed approximately 50% of abandoned carts using this method. Plus, every call provided customer research that helped improve marketing messages, FAQs, and future promotions.
Going from 7-figure to 8-figures
The most powerful insight from Paul’s presentation is this: If you want to scale faster and higher, you have to know your numbers.
As Paul explains it:
“A lot of people say, ‘What got you here won’t get you there.’ We actually have a philosophy that to go from seven figures to eight figures, it’s not about doing things different—it’s about doing more of what works and less of what doesn’t. The problem is most people don’t know what’s working and they don’t know what’s not working.”
When you can measure your cash conversion cycle with precision using tools like SegMetrics — this is where the magic happens.
Want to find the leaks in your cash conversion cycle?
Start a 14-day free trial of SegMetrics and discover your sales velocity today. Or book a demo to learn more about how SegMetrics can help your business grow faster.
