How To Create Recurring Revenue
the Online Tools that make you money automatically
I’m a big believer that most businesses have the opportunity to create some kind of recurring revenue, whether that be through a subscription offering, a membership or regular maintenance or service program.
But what’s this got to do with web design?
Did you know that, with the right website software and a combination of online tools, you can automate your recurring revenue?
From online payment processing to membership sites, newsletters and social media marketing, your online ecosystem can work together to run entire sections of your business on autopilot.
Step 1 | Your Recurring Revenue Idea
Step one really is just coming up with the right offering. Consider what it is your customers already buy from you and create an offering that has them coming back whether that’s weekly, monthly or a few times a year.
Ideally, this is something that is…
- Considered necessary
- Easy/enjoyable for you to deliver
This can be in the form of a membership for your regular services or a service/maintenance program. Here are a few ideas:
- Beauty Salons | 3 treatments per month up to a certain value e.g. nails, hair, lashes & brows
- Mechanics | Offer a membership that covers 2 general services per year, a 10% discount on major repairs and free wiper blades
- Bookkeeping | Weekly accounts receivable updates, reconciling and payroll
- Coaches | A weekly group accountability call, program enrolment and monthly 1:1 check-in.
This is a great way to help prevent customers pushing their appointments off for weeks or months and helps make your cash flow way more predictable.
Step 2 | Map Out Your Recurring Revenue Process
This step actually has a number of sub-steps.
Start to map out all of the…
- steps required to onboard and deliver the above to your customers
- costs associated with delivering everything so far
- different scripts/documents you’ll need to create to proceduralise these processes. This can include email wording, onboarding scripts, thank you and update wording, PDF information sheets…
- List out how long each step will take you or your team to complete
- Work out what you would like your profit margins to be, and
- Identify how often you would like to get paid – You can offer a few options to your customers.
The last part of this process is to identify how you’ll manage refunds and cancellations. This can happen if your customer suddenly moves from the area / can no longer access your services. It’s wise to have this thought out in advance so that you can manage these funds just in case you need to process a refund.
Step 3 | Identify Your Recurring Revenue Tools
There are 3 main areas you need to invest in when it comes to automating your recurring revenue.
Your Website | This is essentially ground central and can be leveraged to store things like payment links, customer downloads and membership/subscription information. Your website can also be used as the portal through which customers can access things like your booking calendar, newsletter subscriptions and even where they can sign up for your membership program at the start.
Email Marketing | If part of your process has you communicating via email, then a dedicated email marketing program is a worthy investment. We recommend Tekmatix and ActiveCampaign as they also integrate a lot of the other tools we are listing here.
Online Payments | To automate your recurring revenue, there are a number of great, cost-effective platforms that online take a small percentage to process your customers’ payments. We LOVE – Pinch Payments for MYOB, Xero or QUICKBOOKS. It’s actually what we use here at Web-Sta. We also love Tekmatix as it also includes an entire section for subscriptions and event bookings… These can be displayed on your website too.
Ready To Create A Recurring Revenue Stream?
We can help you do just this.
Option 1 | We set it up for you. As a web design agency, we can set-up, configure and integrate all of the moving parts to get your online ecosystem working for you and earning you an income on autopilot.
Complete the form below to request a free quote!
Option 2 | As a business coach, I’m also hosting my flagship program called The Profit Program. In this program I run through all of the steps from start to finish, helping you create a recurring revenue stream, but also make your business more efficient and therefore more profitable all round.