Speaker A
So if you doubled revenue across all of these, you'd already be at five, and that's probably about six months of work.
Business growth strategies for a $5M chiropractic chain, focusing on marketing, sales, and operational scaling challenges.
Ask about this video. Answers come from its transcript only — with the timestamp, so you can check them.
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Key Takeaways
- Acquisition strategy enabled rapid multi-location growth but presents scaling challenges.
- High-ticket, insurance-based packages contribute to strong revenue and profit margins.
- Marketing efforts are profitable but could be scaled further for increased lead flow.
- Operational consistency and sales training are critical as the business expands.
- Strong sales metrics indicate potential to increase prices and optimize customer acquisition.
What the video covers
- Raymond Coer runs a $5.2M chiropractic business with six locations and a 23% net profit margin.
- The business growth strategy has focused on acquiring existing locations rather than organic growth.
- Key demographic served is adults aged 35-65 with pain or movement issues, mostly insurance-based clients.
- Revenue is driven by high-ticket packages and niche services like spinal decompression.
- Marketing primarily uses Facebook and Google ads with a combined monthly spend of $1,500-$2,000 per location.
- Lead generation and sales metrics are strong, with an 80% show rate and 71% close rate.
- Challenges include inconsistent lead flow, complex insurance verification, and maintaining operational standards across multiple locations.
- Customer acquisition cost (CAC) is about $700 with a lifetime value (LTV) of $3,400, yielding a 4.8:1 LTV to CAC ratio.
- The goal is to reach $5M EBITDA in three years and prepare the business for potential institutional sale.
- Scaling marketing spend and improving sales infrastructure are identified as key opportunities for growth.
Chapters
- 00:00Introduction and Business Overview
- 02:30Target Demographic and Services Offered
- 04:52Revenue Model and Pricing Strategy
- 08:00Marketing Channels and Lead Metrics
- 12:00Challenges in Scaling and Operations
- 17:30Financial Metrics and Marketing Spend
- 21:40Sales Process and Training Issues
- 26:40Growth Opportunities and Next Steps
Full Transcript — Download SRT & Markdown
Speaker A
Yeah, yeah. So this is Raymond. He's a chiropractor, does $5 million a year, and this is Alex. I'm an investor, and I make
Speaker A
all the money that I have, a golden share with diamonds that I sit on at bed, and I just count how much money I have. The point of today is I'm going to try and help Raymond take his chain to the next
Speaker A
level. Hey Alex, uh, my name is Raymond Coer. I'm the founder of Kyo First of Washington. So just a little bit about my business,
Speaker A
we currently have six brick-and-mortar locations, trailing 12 months revenue 5.2 million. Uh, you better have
Speaker A
around roughly 1.2 million, and our net profit is about 23%. Do you buy those or did you open up, uh, organic so far?
Speaker A
I've bought all of them. Oh, really? Okay. Yeah, but I think moving forward, we're going
Speaker A
to change our strategy a little bit. So overall, the company's doing well, 5.2 million, 23% margin, healthy. I was curious whether he opened them organically or he bought them because there's basically two big expansion strategies: either buy or
Speaker A
you build. And so he chose a buy strategy. That initial kind of sorting told me, okay, these are the types of questions and problems I need to look out for as he goes through the rest of the presentation. So what's the goal? My
Speaker A
three-year goal is to try to get to $5 million EBITDA. Um, I want to try to build a business that can run individually, but then I also want to entertain, um, selling to an institutional buyer. So this is
Speaker A
very much a priority what we talk about. So when someone says they're trying to build it to sell it versus build it to keep it, I see both of those as basically the same path. It just shows how much
Speaker A
they want to work, like super long term. Either way, all paths lead to building a better business. So who do you help specifically? Our key demographic that we help is 35 to 65-year-old men and women, uh, that have some kind of condition that we
Speaker A
can help with, whether it's pain, discomfort, or lots of movement. Insurance or cash, we're about 75% insurance. Oh, interesting. Okay. How do you help them? So the way we help them is, uh, when someone comes into our office, uh, we'll
Speaker A
design a custom treatment plan for them that might be over a period of 60 to 90 days. Uh, it might include chiropractic rehab and spinal decompression. Right, so spinal decompression kind of differentiates us from a lot of our
Speaker A
competitors because it's a niche service that we offer, um, for people that have disc-related injuries. Is that like stretching people out kind of thing? Yeah. Okay, exactly. Well, how do you make money? Our offer, so basically on the front end,
Speaker A
uh, we offer a free consultation. So then when the patient comes in, our packages can range from 2400 to 3600, uh, over a 60 to 90-day period. We're primarily a recurring revenue model. Mhm. And roughly one out of every seven of our
Speaker A
patients, they come in for a larger case value, so like a car accident or work injury might be worth up to $10,000. Well, right off the bat, I think the reason that he's been able to expand is that
Speaker A
making a decent amount of money. And so typical, you know, chiropractors who don't know business will sell one crack at the back at a time, uh, whereas he's already selling high-ticket packages, which is the right direction to go for, you know, a
Speaker A
premium service. And he obviously has a super premium with this whole kind of insurance $10,000 thing. And so it's like right off the bat, his price points are right. What's, what's advertising? How do you find him for paid advertising? The
Speaker A
number one is Facebook ads, so we spend about 1,000 bucks per location on that. Uh, the second one is Google ads, so we're spending roughly 500 to a thousand per month on each location. Okay, got it. Uh,
Speaker A
so what's sales velocity? How many do you sell per month on average? We're getting about 35 leads, uh, per month. Um, and out of the 35, we have 28 that show. Okay, it's pretty good. And so we
Speaker A
have a show rate about 80%. That's great. Um, and our closing rate is about 71%. So total sales probably roughly around 20. Cool, solid numbers. So right off the bat, Raymond's got really strong show rates, exceptionally strong close rates, and
Speaker A
mind you, this is one location. So we'll see if that's system one, which then on some part of my mind, I'm like, okay, when you have super high close rates like that, we might need to bump prices like
Speaker A
it just shows that the market is willing to spend more. And so for me, like I would say healthy close rate percentage is usually like 30 to 40%. That's kind of like usually where you find the sweet spot of price versus number of units
Speaker A
sold. Not always, but that tends to be like rule of thumb. But by and large, it shows that he knows how to get people to shop and he knows how to close. What's staying in the way? What's the problem? If I
Speaker A
were to prioritize my constraints, what I think they are, uh, number one I would say is probably lead flow. I think that we could do better in that department. It's not consistent. Okay, when I had one location, it was really easy to
Speaker A
predict that and to change the outcome pretty quickly. But as we've scaled, I'm having a tougher and tougher time to, um, you know, scale the marketing. What Raymond's dealing with is super common when you go from one
Speaker A
location to multiple, especially if it's purchased, let alone, you know, organically grown, because usually I call it founder magic or owner magic. It's like if you have one location, it's like your thumbprint's on it, like your heartbeat's on it.
Speaker A
Everybody knows you, they kind of grew up with you, everyone kind of knows your vibe. You have old customers who remember you, and so it's like always going to be special and different than everyone that you open after that
Speaker A
because you're typically just not nearly as entrenched. Second one would be like our sales infrastructure because we are 75% insurance-based, there's so many different plans out there, right? So we have to, when the patient comes in, we have to determine what kind of insurance
Speaker A
they have by verifying it and then make a customized plan based off of that. So if there's a way to streamline that into one day, I think it'll be much more effective for us. What I personally
Speaker A
practiced, I was able to do it in one day, but I'm having a tough time training my doctors to be able to do that. Okay, and then, uh, people operations, people operations. So obviously when I had
Speaker A
one location, it was really easy to control the standard, right? Uh, but as we expand, it's harder and harder to have that same standard. Okay, so let's see the numbers. So going over the numbers again, so top line revenue 5.2 million, last 12 months profit 1.2, net margin is about 23%. Okay, um, our CAC is about 700, our lifetime value is 3,400, so that's 4.8 to 1, um, LTV to CAC ratio. Uh, marketing spend, we're spending about 1,500 to 2,000 per location right now. The show
Speaker A
rate's 80%, close rate 71%, and our annual ad spend on marketing is about 110,000. So right off the bat, obviously the numbers are really strong. The amount that he's spending per location seems low given how much money he's making, so
Speaker A
I think there's probably opportunity there, but I'm just very curious how it actually breaks down between locations because that'll probably give us more insight. Huh, okay. Do you have anything broken out between channels, between Facebook and Google? So this is
Speaker A
our Facebook data. Um, I was able to put together like our 12-month numbers for all the clinics for us. Okay, and then for as far as the challenge that we have is because we're insurance
Speaker A
based, we don't get paid for like 30, 60, 90 days after, so I had to go back and I picked Q2 for three clinics. Yeah, yeah. Okay, um, so these are the numbers for those three clinics in quarter two.
Speaker A
So looking at this whole sheet, I scanned it, and then the bottom where you can see Q2 there, it's Capitol Hill, Everett, and Kent. And so Kent, you see an 8 Raz there, so that was really strong, the
Speaker A
lowest CAC by a decent margin. And so I wanted to understand whether that was a performance thing or like it just costs less.
Speaker A
coming cuz it's insurance so is it that they're like filling better like what like how how could they get LTV to be so much higher do you have any other data that's you collected together yeah so this are from Google AdWords well these
Speaker A
obviously do significantly better than your Facebook ads yeah for sure interesting so right off the bat look all the way to the right row ad means return on ad spend so you see 12 to1 24 to1 9:1 I'm seeing really strong roow
Speaker A
eyes here and so I'm thinking okay so if I have a machine that I can put a dollar in and get $24 back out I want to put as much money in that machine as seemly possible and so that's why my next
Speaker A
question I'm asking how much more can can we spend here this is obviously a profitable channel are you maxed out on spend here uh I don't think I am the I work with a a third party company on
Speaker A
this and and I basically go off their recommendations okay I personally would love to spend more obviously on this because the return so high yeah um and these people are in you know immediate need of help yeah so they're much easier
Speaker A
the or case acceptance goes up much higher with these patients High intent yeah really good well I mean shoot this is this is the most promising part so if you think about people's willingness to pay being proportion to their spending
Speaker A
power and the pain that they're experiencing with it now he literally has people in pain and so when you have someone who's being Interruption based I means like they're just scrolling around and they see an ad they're probably not
Speaker A
as in pain as somebody who's like ow I just did something to my back they're on Google they're searching for a solution immediately so the intenses are completely different or rather they're significantly stronger with people that are actually looking for the solution
Speaker A
and so I would wager that those people buy faster they buy bigger tickets and we'll see if that's true walk walk me through the sales process so day one patient comes in we do a consultation we take X-rays we'll do an exam and
Speaker A
actually start me from click to close so the person clicks on is Google is basically the sales process for Google ads different than sales process for meta or how's it how's it flow for you yeah so Google they will call directly
Speaker A
into our we have a centralized uh call center that we have so they'll call in Click to call is the app click to call or click to schedule on our they go to our landing page okay so click a call or
Speaker A
or or they self book got it so then they they talk to a rep that's centralized that rep does some sort of Discovery call do they look at their insurance at that point on the call they don't but
Speaker A
that's the thing I'm thinking of adding in so we can get on top of that so they they do some sort of Discovery they're currently not doing insurance on the call yep all right so then they do what
Speaker A
so then they schedule them uh the the next available time we try to get them in same day or next day right away so some people call and then they book them and the people who self schedu just book
Speaker A
directly exactly and then what's the what's the kind of like reminder sequence there to make sure that cuz you have really good shop rates yeah so we do uh three text messages and then we do a pH call uh if if we uh if they don't
Speaker A
respond to text message do a phone call the night before to confirm we'll do another one like uh you know 2 hours before their appointment So Raven is describing what appears to be very boring work but is one of the biggest
Speaker A
levers that I look at that is often huge holes of revenue for most small businesses that they simply just don't work their leads either well enough fast enough or hard enough they're not responding to them quickly they're not
Speaker A
personalizing the reach outs they're not doing it multiple times and they're not doing it in a timely fashion relative to when they're coming in and so he clearly had a system for for work leads like we text him these three times this and we
Speaker A
do this and so as soon as someone demonstrates that I'm like okay there's probably not immediate holes in Ling fruit there and his numbers kind of supported that said differently when you see 80% show rates you've got somebody
Speaker A
who knows how to work leads okay so three reminders and call if they have not confirmed their and followup call as well if they didn't pick up the first call or the other ones and then if someone doesn't hit any of those five do
Speaker A
you pull them off the calendar we don't pull them off the calendar but we we kind of expect them not to just like double book kind of yeah exactly okay yep okay so then they come in so they
Speaker A
show up to the appointment now what they come in for their appointment uh we'll we'll do a consultation so we have a patient coordinator that does it that gets the preliminary data it's like an assessment yep ex like movement like
Speaker A
move here does that hurt that kind of thing like Z where you have pain kind of like half closer framework okay so like so they'll do the first half of that on there and then uh then we'll take uh
Speaker A
x-rays we'll do an exam and then we'll tell the patient that hey we need to process these films or these X-rays and then can we need to get you back in tomorrow so we can go over the results
Speaker A
of the X-ray yeah that's where Ling people yeah that'ss okay so then we'll release them for we we'll still do treatment that day we'll do a light treatment and then we'll have them come back the next day and by then by then
Speaker A
we'll have everything verified and then we'll have a customized plan for them and then we'll present the fin can you walk me through the ad funnel with the uh Facebook ads we have a video ad out there do you have ads live right now
Speaker A
yeah can you um pull up Facebook ads Library we're going to pull them up and we're going to we're going to see it we're going to see we're going to see for ourselves all right so we have different creative it looks like it's
Speaker A
the same copy all right so I think there's probably just some work that could just happen on the actual ads themselves like I think you could have a clear call out and the first line I would probably separate the
Speaker A
call outs so it's like atten ever in surrounding areas so inste areas I would go to like residents or something like or people basically combine the two where as chronic back pain doesn't have to be life sentence attention efforts
Speaker A
for your uh so be like attention ort like residents with back pain that combines both lines punch you put two Asters on either side it's like okay that's what it is and you're putting proof first and I probably wouldn't he
Speaker A
I'd probably lead with a question which would be like are you so either I would lead with a question that' be some sort of like more specific pain or I would lead with the offer and then have the
Speaker A
proof of why they should believe that I can help them after they've seen the offer cuz like it took us all the way down to actually see what the offer was got it in the headline if you scroll all
Speaker A
the way down Michael avoid surgery try spinal and decompression I would probably just put like the offer there so it's just like a restatement like free spinal uh decompression but $99 value whatever something like like that's what I would what I would put
Speaker A
there there's a lot of words and I think you could probably get just like I combined the first the headline and the excent into just like attention Everett residence with back pain right it's like boom we got that and then it's like
Speaker A
you'd be amazed at how much like just changing tweaking the headline probably compressing the copy into a handful of bullets it's like do you struggle with boom boom boom boom and you probably tried boom boom boom boom but there's a
Speaker A
better way this is how we do it we've helped this many people for limited time we're doing X Z and I think I think that would probably work well I cannot guarantee availability we commodate 10 vouchers ofation schedule I do like that
Speaker A
could probably be compressed okay like we can only we can only see 10 new patients per week right scheduling availability is first come first serve for this treatment done so I'm walking Raymond through some improvements to his ads and I wrote a book on advertising
Speaker A
and in the PID ad section the first part of a re ad is a call out right is getting people to notice the most important the ad right that's that's what this is and so the call out is
Speaker A
whatever you do to get the attention of your audience and so there's kind of four ways that I like to do it and the way that I'm presenting for him here is a yes question right which is like it's
Speaker A
almost implied so we're saying this audience of people which is local area and then the like do you have back pain or who have back pain is kind of an implied yes and then we're leading with that for the call out which is the most
Speaker A
important part of every ad it's the only thing most people are going to read so once you have to call out I use a what who win framework when I'm thinking through ad copy and so he's talking about like avoid surgery so this is
Speaker A
opposite nightmare scenario right and so you can basically construct your ads by put piecing these Parts together in the ad copy and then obviously we want to have the offer very clear when we get to the offer section that's where we need
Speaker A
to tell them what to do next which is kind of the last part of the app one of the reasons I love doing these is that I get to take some of the experience that I've had from years of work and actually
Speaker A
just help other people out and so one I had a chain of six locations so I had to work leads and get people to show up all the time and write ads to get people to do that and then secondarily we had a
Speaker A
licensing business that licensed to thousands of brick and mortar locations and so I had to solve these problems at scale across many different markets and so the nice thing is the patterns are the same and you just have to execute
Speaker A
them and so I'm glad that I could CH let's go to schedule appointment uh Kent okay so we just go straight to it straight to the booking okay I would see most of our patient schedule like that versus call there's a couple of things
Speaker A
that I think we can go over in terms of sales process lead magnets things like that honestly I think a big part of it that's not up here is the Ops in this type of business it's so operation heavy
Speaker A
in terms of like kind operational excellence I had a hunch that if he has the same model at all these locations and some of the locations aren't profitable and some of them are the biggest lever is going to be the people
Speaker A
who are actually running the system so I have to be really particular about what recommendations I'm going to make if there's very weak Ops and execution behind it and so one it's going to limit the things that I'm going to do and
Speaker A
change the priorities of what I'm going to recommend and so a lot of times business owners are like oh I need to change my strategy when the reality is that like the team's just not good enough and need to focus on the team
Speaker A
rather than the model you absolutely can run a 10 to1 15 to1 you know uh row well you're already doing on Google but you can do that on Facebook as well um if the offer is right and so right now the
Speaker A
offer is like there really isn't one let's just like try this thing um it doesn't even say free once you come over here and then we'll we'll walk through game plan cool cool yep all right let's on there's inconsistent lead flow
Speaker A
there's the sales process that I want to look at I think the discovery process need something need a better front-end offer increase ey spend so those are those are the really tactical things that I'll walk through I think that
Speaker A
we're going to look at me magnet I think this needs to be better for ads let offer is number one uh number two is yeah copy number three I think we're going to go I think the um Disco process disco dancing the
Speaker A
discovery all right number four process do you have financing oh no you don't have financing because you're Insurance uh we do we do so the decompression is cash so we do offer financing okay do you you have a third
Speaker A
party y okay cool then I I W so Raymond has obviously he's got a successful business he's doing 5 million Top Line 1.3 bottom line so he's not he's not doing he's not doing bad and so a lot of
Speaker A
my questions were probing questions to see if there was lwh hanging fruit that already exist in the business that we could kind of tweak and immediately increase the profit and revenue of the business and so these are the kind of
Speaker A
holes that from asking the questions like oh we can improve something here we can improve something there sometimes I asked and you I was like no that's good you got it all right and move on to the next thing and so to be clear it's not
Speaker A
like I'm trying to say like he has all these things wrong he's making money's he's making more than a million dollars a year like he's obviously good at business and so I'm just trying to find the things that I think I can add value
Speaker A
that are ideally low operational risk for him to execute Raymond's actually on level six which is all the way over there my arm's not that long of the scaling road map he's at 20 to 49 employees right between all of his
Speaker A
locations and to get to 50 he has to do some of these steps now if we're looking at the constraints of his business we can see here that he's having this sales issue so what sales issues occur at
Speaker A
level six well closing efficiency on core product drops becomes inconsistent refunds go down but so do closes and so he's in this situation right now just right out of the book I'm telling you like we spent a long time on this and
Speaker A
businesses behave in patterns and so to graduate he has to install Better sales training individual coaching and a team Cadence for making sure that they operating at kpi or above so key performance indicator kpi and so this is
Speaker A
what he has to do at this level and if you're a business owner and you are curious what stage you're at and what things are kind of plaguing you well you probably know your problems but how to graduate to the next level and how to
Speaker A
solve them this scaling road map is totally free and it's personalized to you so you can go to acquisition. comom roadmap just type in your business info and we will send you the road the the stage that is specific to you across all
Speaker A
eight functions of the business so product marketing sales customer service it recruiting HR and finance you'll have all the problems and the solutions to get the next level it's one of the most valuable things I can give you it's
Speaker A
absolutely free go check it out and if you by the way want to have us take a look at your business uh on the thank you page you can book a call you can come out to our headquarters and our
Speaker A
team would uh love to kind of do what we do here uh with you okay so we're going to start let's actually you know that's actually not a bad not not a bad order okay so um starting with the lead magga I think
Speaker A
that offering $19 $29 somewhere in there first consult or free x-ray or something to that extent would probably go way better um and I do like especially for your your type of business to do a low ticket and
Speaker A
so it's something like this so be like $29 uh x-ray you know plus you know assessment blah blah blah and the reason I like this is because you get the credit card on the phone okay and even though it's an insurance thing it's like
Speaker A
Y no worries we just put a card down just for for show rate obviously we have a doctor who's going to be there we to make sure that you're going to show right and the thing is that if we build
Speaker A
them the 29 then the likelihood show up is super high and this is literally just to take show up rates to like basically 100% so then and this is over the phone so this you do that's a phone I did this
Speaker A
in front of some gen Z kids and they're like What's that like Jesus all right you'll recognize it so we do this now when they walk in the door okay so this is going to be a little bit of a
Speaker A
departure okay yeah so they walk in the door and when you um and I think the reason that you probably sold better obviously you're better at sales than probably your your docs are but if you think about how sales works so sales you
Speaker A
want to sell at the point of greatest pain not the point of greatest satisfaction so let's say to be a normal person they're right at the middle of this line right now they're they're having a bad day because now they're in
Speaker A
pain right then all of a sudden they get something fixed now they're even better than normal if you're a Salesman where do you sell do you sell when they're here when they're in pain or do you sell here when they're super happy at the
Speaker A
point of greatest satisfaction so do you sell it point of greatest deprivation or point of greatest satisfaction AKA pain or value where do you sell here so if I let's say you walk into my restaurant all right and you're
Speaker A
starving and I say hey here's a steak and you eat the steak and then after you eat the steak I say hey how was the steak you say oh my God was the best steak of my life amazing and I say great
Speaker A
would you like another steak you might be like I mean no but I mean hey the steak was great great like I'm I'm not saying the steak was bad I'm like why don't you want to buy another steak you
Speaker A
said it was so good why don't you want to buy another steak does this sound familiar cuz I hear some sales calls from businesses like well if it was good then why aren't you buying more because you're selling at the wrong time now
Speaker A
let's play the let's play the play the tape back you walk to the restaurant you're starving I say hey how hungry are you you say I'm starving and I say cool you want two staks you probably be like
Speaker A
hell yeah I want two staks I'm starving and then I sell you two stakes you sell at the point in greatest pain not the point of greatest satisfaction now here's where it gets tricky sometimes the point of greatest
Speaker A
satisfaction for one thing becomes the point of greatest pain for another so if all of a sudden I help you make more money for example then all of a sudden you have a new problem which is you have
Speaker A
taxes and then I say hey with all that extra money that you made I can introduce you to somebody who can help you with your taxes do you want that yes and so where people canate this in terms
Speaker A
of ORD is you have to make sure that if you're doing an upsell at the point of greatest satisfaction it's opening the loop of pain for the next problem that you're going to solve through your next product and so it's kind of the same
Speaker A
thing here where people are literally coming in pain ideally what I would want to do is we take the assessment instead of doing the treatment then I want to sell the package got it then if you want if they have time they can do it or they
Speaker A
can come back tomorrow and get their first treatment got it so it's the same time scale we just move the order around because like I mean I I've been this patient so like I go go to the caropractor they do some thing I'm in
Speaker A
pain they adjust my back and then they're like hey uh come back for this but I was like I know I'm good like you you fixed it I'm great totally right and then they're like but it's not a
Speaker A
long-term solution and I'm like good enough for me you know like I I'm out and so that might be an immediate like 15 you know 10 to 15% boost in sales so like that's number one but the thing is
Speaker A
is that I think that your close rates are going to go up so one is like you're losing some on the drop off right but I think close rates will go up and like when you're in pain your desire for a
Speaker A
more like all the desire is there in that moment and we're emotions there we're missing it hey guys this channel I make for you business owners this is all I do every day this is what I love I'm
Speaker A
so excited about this new series and so if you have other business owner friends that could benefit from some of the tactics because these tactics work across lots of different Industries not just chiropractors right it would mean the world to me if you just put into a
Speaker A
text and you text it to them or you share it to them in a DM CU It ultimately helps more businesses get better and I believe in private Enterprise and I think that's how the world gets saved no one else is coming
Speaker A
for us all right back to the video I always had this rule at least like with Fitness is like when someone walks in the door first thing I want them to do is expand the gap of where they are
Speaker A
where they want to be so I'd have everybody hop on the scale the amount of people like oh I don't want to hop on this like I know I'm like get on the scale we got to know where it's just a
Speaker A
number we got to know where we're at Mak sense and so it's the same idea with this got it okay so uh lead mag in terms of off- ride do you think this would be good this will increase show up rates
Speaker A
overall getting somebody to get a $29 credit card purchased with fund is like not hard um they do that that secures their spot then when they come in we do um same day sale mhm now what has been the issue with the
Speaker A
docs making this sale like you said they struggled with this so there's two elements you said there was insur like some insurance stuff there so what what's the issue here yeah so the issue is uh patient comes in and then uh we
Speaker A
have to verify their benefits so there's there's like 20 different insurances and and every patient has a different like coverage or whatever right yeah so then we got to we have to we have to make our uh treatment plan then take out whatever
Speaker A
the insurance covers and then they pay the their co-pay Co TRS so just doing that process um I think when they're on the floor seeing patience and then having to switch gears and uh do the math of like what this you know here's
Speaker A
my recommendations here's you know all that I think that part kind of stresses them out how much of it is templated lot most of it like as far as the so we have we know that someone has Blue crossby
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Shield so whatever yeah yeah it's all exhaust BR you we can punch in number we have financial calculator for that so question so someone call so basically there's two spots that we can put this this process so either we can do it on
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the phone right with the go yeah or we can do it the moment they walk in the door so it would work like this so someone walks in and say hey do you have your ID on you I just want to confirm
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your appointment yes I'm Sarah cool great do you have your insurance card on you yeah and so you asked that but that way we can get the templates already like ready to go so that then the doc goes and then he leaves them in there
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and says cool let me get the x-rays and then he comes in with the x-rays and with a template for their specific insurance totally and then you can just match them and just do the sale yeah so the issue is like some of those some of
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those so I centralized where they verify those benefits right um some of them could take like 30 minutes to an hour to so if that's that's the okay so then we have to do it with the phone yeah I
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agree so what we're trying to do here is we're trying to decrease the friction associated with them giving us money and so there are three major levers to providing value the the fourth is obviously the dream outcome that they
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want to they have to want what you're what you're selling right but the other three correspond to the risk aka the perceived likely of achievement how long they have to wait and what they got to do that they don't want to do or they
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got to stop doing that they do want to do AKA ease or difficulty so you want it to be easy you want it to be fast you want it to be risk-free what we're doing here is saying okay well he had this big
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delay in the process that people had to wait another day in order to get the solution presented to them and so wouldn't it be better if we could just have that happen prior to them coming in so that from a speed perspective and a
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friction perspective they don't have to do anything besides say yes and then we can get we can get paid and they can get helped and for those who are curious that was the value equation chapter in the $100 million offers book The $29
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gets in the way then we can still just do the it's like a you can either do a free offer like free x-ray free assessment whatever just if that's an issue I mean personal preference get the credit card and the insurance card yeah
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over the phone if it seems like a training issue then I would prioritize the insurance card but then that way it's like you already have everything they're pre-loaded and so then they can come out after the x-rays get it printed
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out from the scheduler the front desk and I mean shoot the morning of add theop print all the print all the the packets out for everyone and then the doc gets them in the clipboard when they walk in the door perfect yeah I mean you
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think that would work I I think so okay um and then if they ask like hey why do you need my insurance I thought it's $9 bucks then we'll say like hey just in case the doctor thinks he can help you
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that's want to know while your insurance yeah better I'll give you a different one this is just how we always did it okay so the reason I gave Raymond that line is because it only always works and I'll tell you the story behind this so I
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used to try and sell free trials and believe it or not there was a time in my life where I couldn't even get people start free trials with me they literally get in their car drive to my gym and i'
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be like hey you want to 14-day free trial and they would say yeah and I think cool do you want to put you know your credit card down and they'd be like why do you need a credit card if it's a
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free trial I'd be like I uh I mean it well I know I didn't know it like cuz I want to bill you later like you know like I didn't have anything to say and so one time it just came out and I was
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like well this is just how we've always done it and and after I started saying that no one objected and so despite how ridiculous that may sound it's unbelievable how well it works so if you're in one of the situations where
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you have like a tiny little process change or something that you need to do or introduce you know into a sales process like why are you collecting my information now it's like oh that's just how we've always done it and people just
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know that a lot of employes just do what they're told or they just do whatever someone you know taught them to do it's policy and so then what they do is they just stop asking that person questions cuz they're like it's not really up to
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me it's it's just like oh this is how we compete our our patient profiles okay perfect like it's better to appeal to policy totally they'll get this if this for whatever reason ISS you you'll you'll prioritize the insurance they'll
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come in they're going to have the printed out stack yeah of all the insurance the doc gets this on a clipboard yep right in order of the patients that he sees that day um he's like okay Mrs Johnson I've got your
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X-ray here I've got your insurance here okay this is what we're going to do for you and then this prescriptive close makes sense okay so right now are there some locations that are having like way higher close rates than others or like
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what's the highest close rate probably I would say Capitol Hill and uh what's the difference though the docker has a lot of certainty no no no uh percentage difference oh um so let's say Auburn is let's say they're averaging about 55 60%
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okay and then uh Capital Hill might be at like 80% okay no I mean they're both okay you terrible yeah they're not terrible but if you look at um cuz cuz a lot of these people have insurance so
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their entry level uh like Financial is not like super high on so so the ones that are just 10,000 case they have zero out of pocket yeah so I mean you got you're going to have 100% so kind of so
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this is how I would so I would imagine that the packages themselves are going to be similar it's just how much is being covered is going to be the difference right yeah and then also the fact that I think if if a clinic sees a
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lot of those 100% coverage ones then they kind of skip then they start they don't work on their sales skills for the ones that are and then they can say oh these are crappy leads or shitty leads or whatever yeah but just cuz you have
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to work a little bit for them right so I think just creating that training that's that's how I'm you to train them and role play more I'll give you something that will help you a lot with brick and
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mortar so I've done a lot of brick and mortar sales processes in my life and um as much as possible I like them to be like clicks and check boxes when we sell something for example it's like you
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literally just turn a laptop around and then you just like punch through it and you literally just say the words and then at the point that you ask for the thing you ask for the like you really can machine it that way yeah and that
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will eliminate so much of the variability between people and so I would look at what the top 80% guy is doing consistently make that into the basically the deck so that they have a visual aid to go through it and then it
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just feels like oh this is this is the next step I do this this is what you need this is what we cover he circles the thing on their on their thing turns it to them and then they they they rock
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and roll and then they just book out their next appointments I'm assuming so they're kind of looking at a tele proper almost like okay but they can show it to them okay so there's two ways to do it
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one is you have the laptop and you turn it towards the customer and then you basically read the words on the slides that is like the perfect sales pitch but with visual aids and whatnot got it the second way of doing it is you have that
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clipboard M but they don't know what's on the clipboard right and so the clipboard just has the script got it and so it's like cool I'm just ask a couple questions and so you basically go through the sales process and you just
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look like you're checking off the boxes as you're going through a script but then they always say the script and then the doc can visually showare this which they then staple to the the patient contract that way you know they follow
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the process and then it just keeps it consistent every time so either of those work I've done them both okay so leads page 207 if you have employees and you want them to do what you want them to do
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then there's three steps document you make a checklist demonstrate you do it in front of them duplicate they do it in front of you and so right now the who's actually doing it is that he wasn't the the salesperson he did say he is good at
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sales though and say okay I need you to document this by putting this into a checklist give it to someone else for them to follow it so now that you have it in a checklist now you follow it in
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front of them so they can you prove that the checklist works that and if you keep changing things while you're not using the checklist then keep changing the checklist until you actually follow it and then once you have the checklist
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right have them followed in front of you and then once that happens then you've been able to duplicate the skill into somebody else and that's going to be a huge issue or rather a huge opportunity for Raymond and his business so the next
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one is I think ad spend needs to go up so what cuz you're not spending very much yeah I know you know it wasn't until I had to do this process I was like [ __ ] we can
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because the return is so high on some of those things and if I I mean I would spend like a million dollars a month on Google AdWords if I could yeah yeah so how do we like I guess that would be one
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thing to increase well the first thing I would do is just literally tell them like I need you to double the ad spend and I need you to find more keywords so just find more for me got it the other
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thing that might be worth looking into um would be uh local SEO okay because SEO especially for intent based so it's like obviously there search but it's not hard to win at SEO locally like nationally you want to win back pain
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it's good luck but like you want to win Everett you know chiropractor Everett spine Everett pelvic Health Everett low back ever lumbar ever like you mean there's so many sciatic like all those I think you could probably win on longtail
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keywords so I'll put that as number seven um so right now Raymond is is doing the core for so this is page 49 of the leads book all right so this is about advertising getting leads and so he is
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currently running payad so one of the core four but I think that he has an opportunity on posting free content on his site to drive SEO if you don't know SEO is it's search engine optimization so that people who have high intent who
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are looking for a chiropractor in my area or other keyword or longtail terms will get sent to that site to maybe read a blog arle or something that sounds interesting and then while they're on the site they can take one of the call
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to actions in order to kind of take next steps in the funnel and then one thing that helps us on that I think is we're pretty good about getting reviews we have more reviews than everybody in our cities oh that's great and then I think
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that helps with the local SEO um but yeah and the the I guess the big question is like with the ad Spin A lot of these so the agencies that we hire like they work with uh many chiropractors right so those most
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chiropractors don't do what we do which is sell packages of 2400 they do visit to visit which is which is a nightmare um so I think that they base our ads Ben they're recommending our ads Ben based on that but my return on is so much
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higher than the average guy oh yeah so then out spend everybody totally so if you might have to talk in um in marketer speak for them okay and just give them this a Target CPA like cost to acquire or CPL and just say like
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listen I can I can pay up to this so like Make It Rain dude if as long as it's under this I'm good if you're managing an agency the more specific you can be the better and so you have to
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kind of learn some marketing language so that you can talk to them like marketers and I also tell you they'll respect you way more if you can speak their language what you're going to be looking at is either CAC depending on you know what
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IND it's either CPA or CAC typically CPA means cost per acquisition CAC is cost you acquire a customer both terms fundamentally mean the same thing and or uh CPL so cost per lead I like to kind of break this down into two numbers one
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number is what I will tell them is my acceptable range and then the number that's actually my acceptable amount because sometimes they tend to overshoot this is just me with a history of agencies and so I'll give I'll build in
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a little bit of padding between what I tell them and what I'm actually willing to pay but the more you trust the agency the more those two numbers can be closer together because if you build trust build a good relationship the higher up
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that number is the more traffic they can ultimately send you because they can spend more to get you a customer and would you have when would you consider bringing that all in house um cuz I kind of I hate dealing with these no I get it
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I get it it probably wouldn't be my priority right now cuz like if I look at this I'm like okay we got 12 to1 24 to1 91 so I'm like we're doing pretty well on this right um and do you not have do
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you have Google on the other three as well yeah okay it's just not there I picked a one like a high middle low for so that's low 9 to1 is a low one yeah for sure oh that's great jeez okay cool
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I would say basically I I'd stop it at 5 to one okay and say like so basically double or triple whatever the CPA there currently is and sometimes what you'll find though is that if you can double or
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even triple how much you can spend to get a customer you might be able to like 10x lead flow it's not like it's not it's not it's not proportional uh because you just all of a sudden you outs spend this many more people to to
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illustrate that what what I'm explaining to Raymond I'm going to give you two hypothetical examples all right so let's say I say you you could spend $11,000 in scenario one and that'll turn into $10,000 now you might think wow I should
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do that but wait there's more what if I said you could spend $10,000 and make $50,000 which one would you rather have well hopefully hopefully this one because here you make $40,000 net and here you make $9,000 despite the fact
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that this is a 10:1 versus here you have a 5 to1 so you have half the efficiency but you have four and change times the amount of absolute return and I see many small business owners get stuck in this
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trap of being like I have to optimize this I have to optimize this and you do to a degree but at some point sometimes you just got to spend more you need to expect efficiency to drop at scale it's
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just part of the game cool so local SEO add that in all right so let me do this so what I want to do is I want to reorder these okay um so that you have kind of like next steps does that work
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yeah okay sweet I feel like we can I feel like we're making profit I I like that pres I like the doing it before this makes total SI dude it's it's all it makes all the change in the world so what I'm about to outline
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is the next six months of work for Raymond and I would say a relative amount of increase that these tactics can do for his business and so one of the key parts of laying out a plan like this is making sure that the person has
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the right resources and that they're doing them the right priorization order right if there's something that takes 5 minutes and can double the business well let's do that first and I tend to say the heavier things for later unless it
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it absolutely has to be done first and the other ones are contingent on the execution of that and so by and large I will do light work high impact first and then often times there's the heavy work heavy impact that has other things that
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tail or are attached to it as the order of operations for him now we started this whole conversation around operations to make sure that they had the right people in the right seats to actually execute these strategies and so
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that's also something I'm taking into consideration when I'm laying out this plan so I'm going to use black here so we're going to go um in order so number one oh you're good as increase Google spend so that's number one and
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you're going to try and spend as much as you possibly can Facebook wead magnet $29 offer three tighter ad copy what I would do honestly is I would look at so this is how I would how it how i' spy on some
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[ __ ] so I would look for chiropractor agencies that specialize in higher ticket and then I would look at their customers okay and then I would look at their ad accounts and then I'll bet you that they run the same ad copy that
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seems to work really well for all of them right and that's where I would look at for if I was like if I had to do my 1.0 version okay so number four um this is going to be the credit card plush
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insurance card uh setter this is cool number F [ __ ] there we go number five print out morning of insurance plans six um we need the sales manager to take over the process right manager takes sale one location test if it works well
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you can roll it out yeah I already do that oh perfect I got that right I would add in local SEO to get more traffic this is a long-term investment though but I think it's so worth it for what you're trying
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to do because the thing is SEO is going to have the highest return yeah for sure like in terms of Ro so to actually it be more profitable it's just like you got to be able to wait a year but you're
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looking at a multi-year timeline so I think it's just going to be worth it and that's it's not worth doing that like with all my individual locations yeah you just ranking each of the yeah each of those local markets and then like as
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soon as you know you're going to open up another one it's like you just yeah exactly you start spinning it out I'll just put a sub Point here same day God I love that four step sale and we'll add
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in sales preo SL checklist for integer so I think if we do these things we put a little estimator here I think this is probably an easy 2X in terms of lead flow and and making more money this can absolutely double
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the return that you're doing there this kind of these two are together so I'll just like mute there this is probably going to give us the 10% back that we're that we're losing between day one and day two right now so this is plus 10%
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now this one I think like the thing is with this one that I like so much is it like doubles the efficiency of each store like this one's like super super sexy because all of a sudden it might be
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able to take your Kent from like 1.5 to like three and like you might not have to open any more stores like if you could cuz like if you can double Revenue the fixed costs are more or less the
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same right and so if you doubled Revenue across all of these then you'd already be at five like you'd already be at five in terms of Eva you wouldn't even have to do anything else would that be attracted to the insal Wi oh yeah even
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small okay yeah got it yeah local SEO is probably like you might be able to get like a 30 to 50% boost okay it'll just take like a year but it's the nice thing is this all margin it's all margin and
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then the sales pres will probably be ble to smooth out your your closing percentage probably be somewhere like a 20% lift that would be kind of like my guess and so we've got a double a double 10% this could be a double depending
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this is more in terms of volume right volume this is uh yeah 30 to 50 and probably 20% lift here and that's probably about 6 months of work well dude that's the plan thank you so much dude 100% thank you man so I
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just sat down with Alex and uh he broke down my business and all the marketing experience that we have and gave me some pretty easy to implement things that we can do to grow right way so Raymond was
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amazing I'm so pumped to be able to work with him in this business and help him out here this was lots of fun for me probably more fun for me than it even was for him and hopefully even more fun
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for you and if you like this style of content really tactical business stuff you're going to love the first one of these that I did with Ashley who is a stylist and I think the tactics I laid out there could out many businesses blow
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up
Topics:chiropractic businessbusiness growthmarketing strategysales optimizationlead generationcustomer acquisition costlifetime valueinsurance-based businessmulti-location scalingspinal decompression
