ProfitXL: Supersize Profits with the SHUVAM Framework (Part 8)


Here is a short summary of the key ideas discussed in this series.

  1. Marketing Today: facing a leaky customers bucket; serfs to Big Adtech; struggling for profits
    • New customers, performance-linked (unlimited) budgets, rising CAC
    • Reduced or no profits means business future determined by investors / competitors
    • Objective: control own destiny; customers for life; exponential forever profitable growth
  2. Polycrisis Problem: AdWaste and other Profit-Killers create Profit-less Growth
    • Spending on Adtech is 85-90% of brand marketing budgets; Wrong Turn
    • Adwaste is 50%: wrong acquisition and reacquisition; Adtech à Big Adtech à Badtech
    • Profit-Killers: Adwaste, attention recession, data poverty, and more
  3. ProfitXL Solution: shifting from acquisition-centric marketing to profit-centric marketing
    • Break with Badtech
    • Growth at all costs to profitable, sustainable growth
    • Flip the Funnel of Brand-Customer Relationships to solve Marketing’s Polycrisis
  4. Story: a mindset shift from new customers to existing customers, from adtech to martech
    • Existing customers and their growth, else they become exiting customers
    • Among them, identify and nurture Best Customers
    • Encourage referrals and organic acquisition rather than via paid media
  5. Hotlines: to solve Attention Recession and Data Poverty in push channels
    • AMP; Interactive emails (Email 2.0) to convert conversations into conversions and commerce
    • WhatsApp: a second channel for interactivity; the new SMS
    • Atomic Rewards: micro-incentives via Web3 tokens; Pay customers, not Badtech
  6. Unistack: to drive Frictionless Omnichannel Personalisation
    • Martech 2.0 stack: unified customer view backed by a CDP
    • Site Search: AI-powered search and recommendations
    • Progency: product meets agency for performance-based, KPI-driven martech services
  7. Velvet Rope Marketing: to create differentiated experiences for Best Customers
    • Customer-Base Audit: to analyse buying behaviour based on transactions data
    • Customer Lifetime Value to segment into Best-Rest-Test; Best Customer Genome (BCG)
    • SBU for Best customers; eXtreme Retention Tokens; experiences with exclusivity, ease, access
  8. Acquisition: restructured for near Zero CAC
    • Referrals, augmented by ratings and reviews
    • Reactivation: alternative to expensive reacquisition; use AMP and Atomic Rewards
    • BCG-influenced acquisition; along with early identification of future Best from Next
  9. Metrics: to Measure the Right Progress
    • AdWaste: the pool of money that’s available for redeployment
    • MSR: Martech Spend Ratio; percentage of budget on existing customers; get to 50+
    • Earned Growth: from existing customer growth and additions via referrals; get to 50+
  10. Endgame: Build a foundation for ProfitXL
    • Profitable Growth: not just growth at all costs
    • Exponential and Forever: maximising lifetime revenues
    • Profipoly – Profits Monopoly – as the ultimate moat

Published by

Rajesh Jain

An Entrepreneur based in Mumbai, India.