You get overwhelmed. You start spinning in circles. The website development is delayed. Business cards are not being printed on time. Jeff, the designer guy does not answer to his phone. Or email. Or texts. The landing pages are in disarray. Another meeting with your teammate is put off because of other commitments.There seems to be so many things to keep track of and there are days you get so frustrated that begin to wonder whether that startup idea was really worth it to begin with.
Calm down. In the business of running a business, dealing with being overwhelmed should become your second nature. Just like being able to quickly prioritize what matters to you TODAY and what doesn’t.
Find a comfortable space. Clear your mind. Relax. Close your eyes. Imagine a serene place (maybe even a fantasy place) where you feel safe and think of just one word that matters to you at this present time.
Think of LTP-100 C O N V E R S I O N.
LTP-what?! What the…?! Is there another thing I need to put on my to do list?
LTP-100 is not as much about adding another thing on your to do list as it is about setting the right priorities. If you are a startup that does not have a system for tracking your conversion, you need to continue reading, as not many things in your business matter more than your CONVERSION and if whatever you plan on doing today is not related to CONVERSION, you are probably wasting your time.
So what in the world is LTP-100 conversion? It has to do with being able to measure 3 very important parameters related to how a market sample of at least 100 of your potential consumers responds to your product, your sales and your marketing efforts. The higher your overall LTP-100 conversion, the higher the chances of your startup being a success. Specifically, the three parameters we are talking about are:
L) Leads (how many leads did a particular sales/marketing campaign generate, per 100 potential consumers)
T) Trial users and (how many trial users came from a particular campaign)
P) Paying customers (how many actual paying customers did a particular sales campaign generate).
Stop. Ask yourself a question.
At this very moment, do you know your LTP-100 Conversion ratio?
If you don’t, you are not alone. Most likely the reason for that is because you are, like so many startups:
a) have never attempted to present your product in front of 100 actual living customers.
b) stuck “perfecting” your product, website etc. and live in denial of the fact that you HAVE to know your LTP-100 number as a pre-requisite to your business moving forward
c) you believe that as long as you make a good product, someone will miraculously discover it and buy it and you will be profitable as long as you have faith in your product.
A “Trick” Question.
Assume you have presented your product to 20 potential customers (leads), out of which 0 customers tried it and 0 later paid for your product. What is your LTP-100 ratio?
At this point the only correct answer is: I don’t have enough data to give you the correct answer. You see, LTP-100 assumes having a minimum of 100(!) actual potential customers who have clicked on your ad, visited your website or your store, were contacted by you personally, or called your toll free phone number, etc.
This means in order to find out your LTP-100 conversion ratio, you have to do whatever it takes to get and, subsequently, measure an actual response from at least 100 potential consumers!
Why do I need to know my LTP-100 ratio?
Remember the 1-1-1 Technique we talked about earlier? Remember how Product Development, Marketing and Sales cannot exist without each other in a startup? Well how do you know where is the problem: is it your product, or is it your marketing and sales?
Your LTP-100 ratio is a unique tool that gives you the ability to pinpoint a particular weakness in either your sales/marketing or your product development (more on this later).
Work on your Product Development, Marketing and, most importantly, Sales (see the 1-1-1 Technique) to hit higher LTP-100 conversion numbers week after week, month after month, or quarter after quarter, depending on a how your beta-product launch periods are set up.
And whatever it is, start working on it today!
Max Azarov “Authentic Spin,” Author