£126k
£126k sitting in your conversion rate right now (and most brands will spend £135k on ads to avoid going to look for it) 🤡 let's do the Dani maths: 50,000 sessions a month 1.17% conversion rate - the DTC median, and average £60 AOV 585 orders. £35.1k a month. £421k a year. now don't touch the traffic. don't touch the price. move the conversion rate from median (1.17%) to top quartile (1.52%) 760 orders. £45.6k a month. £547k a year. that's +£126k a year and u didnt buy a single extra click here's the bit that ✨annoys✨ me: to make that same £126k out of traffic instead, you need 15,000 more sessions every month. at 75p a click that's £11k/month £135k a year you'd be spending £135k to buy £126k of REVENUE. not profit. revenue 💀 but here's what u didnt realise: traffic x conversion x AOV is a multiplication, not an addition. the weakest number caps every other number in the equation you cannot out-traffic a 1.17% so how do u actually find the weak one? not 'wE nEeD mOrE tRaFfIc' not 'hAvE wE lOoKeD aT tIkToK sHoP' → site CVR against the DTC median - 1.17%, top quartile is 1.52% → mobile vs desktop CVR - mobile is ~86% of your traffic and converts at 2.29% against desktop's 3.74% (!!) → add to cart rate - average is 5.95% → checkout completion - average is 48.4%, which means HALF the people who reach your checkout walk 🚶♀️ → AOV against your price point - under £60 converts at 2.42%, over £200 at 0.79% → biggest gap wins. that's your next 90 days. the rest of the list does not exist!!! what i see literally every week: the weakest number is almost never traffic. but traffic is the only one anyone will f**king fund (because it's the only one with a salesperson attached to it) 😭 that doesn't make you bad at this, by the way. paid is a lever u can pull on a monday morning. CRO is a project with no obvious owner. so everyone pulls the lever but every pound into a broken funnel gets multiplied by the same broken number. that's what it does to your CAC too fix the weakest one first. then buy the traffic and watch the exact same spend do WAY more i've watched this run in million dollar and billion dollar brands. it is always the same order xx
Working on this for your own brand? This is exactly what I do with clients — agency model for health & wellness brands.