I am a new mom and while I was pregnant I got a bunch of free samples, not sure how or what list I got on, but it was fun getting so much stuff! The one thing that really stood out is how many samples and coupons of baby formula I received.

1. Alicia Lyttle & Lorette Lyttle of
Monetized Marketing - Baby Formula & More
Baby Formula..Oh My!
The Value of a Lead – Baby Formula and More Baby Formula…
I am a new mom and while I was pregnant I got a bunch of free samples, not sure how or what list I got
on, but it was fun getting so much stuff!
The one thing that really stood out is how many samples and coupons of baby formula I received.
Now when I say that I received a lot of baby formula, I’m not exaggerating. I would receive boxes of
them! Every time I went to anything like a birthing class, baby care class they were always given
out as samples. When I would go to my doctors office based on what month you are, they give
you goodie bags, and in that goodie bag is formula.

2. Alicia Lyttle & Lorette Lyttle of Monetized Marketing -
In addition, I would also get boxes of
formula in the mail. When I left the
hospital I got samples of more formula.
Formula was just coming out of the
woodworks non-stop. You get little
travel formula, you get specialty
formula, you get powdered formula,
liquid formula, and all the types of
different formula for all types of
different needs.

3. Alicia Lyttle & Lorette Lyttle of Monetized Marketing In addition to just the formula you also get carrying cases and more neat little backpacks, storage
bags, all kinds of fun stuff based around the different formula.
There were two companies that were fighting for my attention; one was called Enfamil and one was
called Similac. Both of them were sending me free samples on a regular basis.
Did you know the amount of money parents spends on formula during the lifespan of when the
baby needs formula is $2000-$3000… that’s a lot of money.
After I learned how valuable I was (as a pregnant mother deciding on what formula to use) I fully
understood the reason why they kept on giving me free samples. These different formula
companies were willing to send me formula that I’m sure cost them some money. First of all
they’re heavy to mail, that costs some significant amount of money for postage. And they’re full
supply, not your typical sample packet but a supply that would last an extended amount of time…
full sized containers.
It is obvious that they understand the value of a lead. If they have to spend $50 or something to
get me to buy their formula then it’s worth it because they know that $50 or whatever they’re
spending on me, can potentially lead up to $3000 over the year.

4. Alicia Lyttle & Lorette Lyttle of Monetized Marketing So now of course if I choose to purchase formula, who do you think I’m going to purchase?
I’m going to purchase one of the companies that gave me free samples because I know how to use
them, I’m familiar with them. These are the only names I actually know. I don’t even know names
of any other formula that are out there.
They did a very good job courting me and getting me familiar with the different types of formula
that are out there and I understand why they did it. It’s because I’m valuable, I would account for
about $2000 -3000 of revenue for their business. So it’s totally worth it for them to spend that
money up front on the lead.
The reason I’m sharing this with you is because I want you to look at your business and
understanding the value of your leads. What do you have into your funnel? How much can you
spend on the front end knowing that your lead is worth X amount of dollars on the back end?
Understand the value of your lead especially the lifetime value of your lead. Is it worth it for you to
spend some money upfront?

5. Alicia Lyttle & Lorette Lyttle of Monetized Marketing This also ties into what we do with local businesses getting them on daily deal sites. Now many
businesses don’t understand the concept of getting on a daily deals site like Living Social or
Groupon, it’s all about the lead and the exposure for your business.
I was talking to a dentist that we were able to get on a deals site and he said he could care less
what he gets in his pocket from the deal, it doesn’t matter for him because he knows the lifetime
value of that particular customer. The same with a vet that we got on Living Social. He said the
same thing, he doesn’t care what it costs upfront because he knows that once that animal gets
there he now has the animal for life. The lifetime value of having that animal come into his
veterinarian office is way more valuable than just a one time shot for buying a voucher. So they
have a solid understanding of what it means for customer acquisition as well as understanding the
lifetime value of that particular customer.
So that’s just a lesson today on lifetime value of your customer and understanding the importance
of lead acquisition and understanding how much your lead is worth to you in the long run.
Understand your funnel and grow your business!