Before deciding whether a reactivation campaign makes sense for your business, run this calculation. It takes 5 minutes and gives you a realistic projection.
Step 1: Count your dormant contacts
How many past customers in your list haven't booked a job in the last 12 months? This is your reactivatable audience. For most businesses with 2+ years of operation, this number is 100–400.
Step 2: Apply a conservative response rate
A conservative estimate for a warm list of past customers is 8–12% response rate. At 200 contacts, that's 16–24 people who respond to your message with interest or a booking request.
Step 3: Apply your close rate
Of those who respond, your close rate on already-warm conversations is likely 50–65%. At 20 responses and 55% close, that's 11 booked jobs.
Step 4: Multiply by your average job value
At $450 average job value and 11 booked jobs, that's $4,950 in revenue from a single campaign to your existing list. The campaign itself takes one afternoon to write and send. The cost-to-revenue ratio is almost always the best in your entire marketing mix.