Wednesday, November 04, 2026
Riding a feast-or-famine sales cycle with no idea who to chase? The CLV/CAC method turns a quiet month into a plan, not a panic.
Before you spend on finding new customers, count how often your existing ones buy. Many owners assume customers buy monthly when they buy four times a year. In Kevin D'Ambros-Smith's Know Your Numbers training, lifting that from four to six is "like getting 50% more customers without doing any extra work." This guide gives you the three numbers and a 30-day test.
A disclosure first: Simple-Growth sells the Know Your Numbers training, so Kevin is not neutral. The arithmetic below is free and needs only last year's sales report. Updated 5 November 2026. Written for owners in New Zealand and the United States.
This is one part of a bigger question: why has my business stopped growing? Start there if you are not sure whether frequency is your weak link.
Take the last 12 months. Kevin's worked example uses round numbers so the maths is easy to follow:
Six purchases at $200 is $1,200 per customer instead of $800. Using Kevin's $1.2 million goal as the example: at $800 a customer you need 1,500 customers to get there. At $1,200 you need 1,000. The same goal needs a third fewer customers, and they are the customers who already know you. That is simple arithmetic on training numbers, not a forecast for your business.
Kevin's point in the training is the same one he makes about every number: it is easier to win 1,500 customers than 6,000 separate sales, and easier still to ask 1,000 customers to come back twice more a year.
The US Federal Reserve Banks' 2026 Report on Employer Firms, based on the 2025 Small Business Credit Survey, says: "Reaching customers and growing sales was the most commonly reported operational challenge." Most owners respond by trying to reach more strangers. Reach matters, but a customer you have already reached costs less to ask again. Check how often yours buy before you buy more attention.
Pick one number to watch. Kevin tells of a mountain bike park mechanic who was given a single KPI: greet 50 customers a day and offer a free bike check. About one bike in ten needed work, and daily revenue reached the $500 target. His line: "you've got to feed in people at the top to have the revenue pop at the bottom." Choose the action that feeds your number, then do it every day.
Divide average customer value by average sales value. Average customer value is 12 months of revenue divided by the customers who bought in that time. Average sales value is the same revenue divided by the number of sales.
Usually, because they already know and trust you, but your own numbers decide. Compare what it costs you to win a customer with what it costs to contact an existing one, then see which moves your revenue most.
Then frequency is not your lever, and reach or conversion is more likely the weak link. The eight-link check will tell you which.
Not sure which number to start with? Related reading: break a business constraint in 14 days without new spend and how to know every week whether you are making money. A 30-minute conversation will tell you which of your numbers is the real constraint.
Sources (checked 5 November 2026): Federal Reserve Banks, 2026 Report on Employer Firms (United States; 2025 Small Business Credit Survey, published 3 March 2026). The worked example and the bike park story are from Kevin D'Ambros-Smith's Know Your Numbers training. Last updated 5 November 2026.
Sunday, October 04, 2026
Most owners respond to a bottleneck by fixing something else entirely. Eli Goldratt's Theory of Constraints explains why that backfires, and documented case studies show a mean 69 percent lead-time reduction once the real constraint is found.
Sunday, October 04, 2026
Roughly four in ten B2B purchase attempts end in no decision at all. It's rarely about price. Here's Alex Hormozi's Value Equation, in plain English, and why it explains almost every stalled deal in your pipeline.
Sunday, October 04, 2026
41 percent of consumers now always read reviews before choosing a business, and 31 percent won't use one rated under 4.5 stars. Here's the Review Velocity System that turns happy customers into a steady stream of five-star proof.
Sunday, October 04, 2026
64 percent of executives say they're juggling too many conflicting priorities, and most SME strategies die from addition, not ambition. Here's the three-step Strategic Short List that turns six priorities into the one that actually moves the needle.
Sunday, October 04, 2026
A third of small business owners are absorbing this year's cost increases out of their own pocket instead of raising prices. Here's the three-step Margin Audit that turns that guess into a safe, thirty-day pricing test.
Sunday, October 04, 2026
Before you approve the next hire, run the revenue-per-employee test. Some of the growth you are trying to buy with headcount is sitting in tasks AI can already take off the list.
Sunday, October 04, 2026
Owner-dependent businesses sell for roughly half the multiple of businesses that run without them. Dan Sullivan's Who Not How question is the simplest fix most owners never try.
Sunday, October 04, 2026
The tasks only one person in your business can do are a hidden cost waiting to land. Here is how to clear the backlog in an afternoon using a recorder instead of a blank page.
Sunday, October 04, 2026
Chasing every lead in the run to year end is how you end up delivering the deals that cost you the most. Here is the Right-Fit Filter that catches a bad deal before you quote it.
Sunday, October 04, 2026
Big brands never approve a campaign on gut feel alone. Here is the cheap, 48-hour pretest SME owners can run on any piece of marketing before a single dollar goes to media.
Sunday, October 04, 2026
There is no single best business coach in New Zealand, only the best fit for your stage and your problem. Here are six criteria, an honest map of the NZ options, and where Kevin D'Ambros-Smith fits.
Sunday, October 04, 2026
Most SME strategies are really just revenue wishlists with no diagnosis behind them. Here is the three-part test that separates a real strategy from a wish, and what to fix first if yours fails it.
Wednesday, September 30, 2026
94% of small businesses using AI across multiple functions have cut spending on marketing, data and bookkeeping, and they are more confident than ever. Here is the three-question audit to run before you cut judgment along with the invoice.
Wednesday, September 30, 2026
Chasing a poor-fit customer to hit a year-end number rarely pays off. Here is the Right-Fit Growth Filter SME owners use before saying yes.
Wednesday, September 30, 2026
High satisfaction with your business coach does not guarantee progress. Here is the yearly Re-Contracting Conversation that keeps coaching sharp.