This document discusses customer value optimization (CVO), which focuses on increasing the lifetime value of customers rather than short-term conversion rate optimization. CVO involves using a lead magnet to attract potential customers, a low-cost "tripwire" offer to qualify leads, testing the conversion rate of core offers, and maximizing profits through upsells, cross-sells, and returning to past customers with additional offers to increase their lifetime value. The goal is to spend the most to acquire customers and nurture long-term engagement through continuous offers and communication.

1. Customer Value Optimization

2. Customer Value Optimization
 CRO = Conversion Rate
Optimization, which is
short term thinking
 Customer Value
Optimization, is
increasing the value of
every customer that
comes thru the door
 When you have the
highest customer value,
you can spend more to
get a customer
If You Are Able To Spend the Most to Get a Customer… YOU WIN!!!

3. Customer Value Optimization
1. Lead Magnet
2. Tripwire
3. Core Offer
4. Profit
Maximizer
5. Return Path

4. Customer Value Optimization
• Hits them right between the
eyes with irresistible bait to
get them to raise their hand
• Must be specific, actionable,
and provide value beyond
what is expected. Can’t be
boring.
• Since the lead magnet is
typically the start of the sales
funnel, it’s usually the highest
leverage point

5. 10x-Times RESULTS
Remember, Almost Nothing
Good Happens Automatically,
Only Bad Happens!

6. Customer Value Optimization
• Once a customer takes
out their wallet,they’re
far more likely to leave
it out.
Spending more ….
• That’s why we engineer
• This is what the “Tripwire”
is all about. Weeding out the
lookers

7. Customer Value Optimization
• The core product is your
flagship product or service
(by category) your
company is ultimately
trying to sell
• Secret is optimizing the
conversion rate of your
core offer through split and
multi-variate testing
• It’s all about the traffic
and leads before and after
visiting your store.
• Your list is your most
valuable asset, if you
nurture it with value

8. Customer Value Optimization
• Always be thinking “What Next”
for optimizing their experiences
• Up-sell, what they already
bought. Cross-sell a related
product or service. Or a
membership, offering them
access to the special community
• Every offer needs something on
the back end to increase
immediate average customer
value and overall engagement
with the buyer
• “Always be thinking Continuity”

9. Customer Value Optimization
• Thanks for the lead magnet
offer, we now have the
ability to go back to the
non-buyer
• Equally important, going
back to the buyers to
increase lifetime values
• You want a “bag of value
added tricks” you can
deploy to generate
additional revenue from the
traffic and leads you’re
already receiving