Understanding the 1000 Days Theory

Posted by Parthiv Shah on May 15, 2019 2:34:34 PM

Parthiv Shah


The initial part of the One System as we offer it is qualifying the client.  As I mentioned, data tells the story, and if it is a start-up or new business with no list or not enough transactions, they haven’t even figured out who their ideal customer or patient is.  There is nothing that tells me what their average transaction over enough time.  The sample data is too small. 

I don’t mean to say that magnetic marketing will not work, what I am saying is that the way eLaunchers approaches matters is through sufficient data. If there isn’t enough there to draw certain conclusions, we cannot in good conscience take on the client.


You see, we want a thousand transactions so we can identify who is purchasing what and by the size of the transactions. Is the purchaser a repeat purchaser, and are they ascending. 

I look for lifetime revenues of $5 Million. I look backward as far as $5 Million will take me.  If they have less revenues than that, I’ll go back as long as the business has been open.  What I am looking for is a critical part of the puzzle.

I mean puzzle because there are three aspects to my data search.  One is overall revenue volume, the next is number of transactions which tells me the average transaction.  Third, I look for the anomalies, like purchases well above the average, and the number of transactions from the same person. This tells me a lot.

I look to see how many of those purchasers exist that seem to match that pattern.  If 250-375 of those 1000 have purchased 3 or more times, and each time the value of the transaction was higher.  Together with the fact that they purchased more frequently than any other customers within the same time frame, I’ve got 2/3 of the puzzle formed. The transaction amount was much higher than the Their ascension is indicative of what types of clients or patients we want to attract. Bingo. We’ve found the target audience we want to model our marketing to attract.

Then, I’ll identify the next best cluster of purchases that are similar, but perhaps less often, or smaller transactions.  Those two clusters separated from the 1000 give me a pretty good idea who their top-tier customers are.  That’s the target for the future to attract, mirrors of the two customer clusters.


By doing this, we know what the future should be like, because the past dictates the future.  If half the customers or patients fit into the two tiers of purchasers, we can custom design our copy, graphics, frequency of contacts for whichever are the most significant product or service.

This isn’t iron-clad, but it represents very favorable conditions going forward.  Humans are unpredictable, but the majority of the formula will usually follow true to it.


Data Mirrors Don’t Lie

While we’re examining the historical data it’s pretty easy to identify patterns of things NOT going so well.  Although this is discouraging, there are valuable lessons to learn from the exercise.


For instance, if only a few of the products or services offered are selling, more research into the why’s and why not’s of what’s going on here.  It could be the messaging, it could be the market targeting, it could be media selected as the distribution.

You see how this falls right back to the message to market match?  If one of the three sides of the Golden Triangle are not holding up their end so to speak, things go wrong.


When the products or services that are selling, why?  Again, research by customer feedback as to what they like about the product makes them buy it?  The information isn’t bullet-proof, but it’s a pretty good indicator.  Should the margin of profit be substantial, additional marketing messages should tout the offering. 

Conversely, if the margins are thin, your business is being supported by what’s known as a “dog.”  It’s nice to sell, but it isn’t the leader.  The best you can do with a dog, is find out what the market will bear in terms of price and get as much margin out of it as possible. Additional marketing expense would be wasted on this particular item.

Without a doubt there is more to this formula than can be shared in this piece, but if you wish to learn more about how this can apply to your business, or if an agency how this can benefit your clients, feel free to go to and book an appointment. I am more than happy to make a new friend and help wherever I can.

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Topics: Implementation, Magnetic Marketing, Business Plan, Strategic Coach

 parthiv shah


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