As described in our last email, LifeVantage partnered with the Gig Economy Group to develop and deliver an AI-driven mobile communications application that effectively guides each seller step-by-step through a set of communications and selling processes that helps them to achieve increased sales volumes in less time than before.
In this follow up email, we’ll share some of the successes LifeVantage was able to realize as a direct result of implementing the Gig Economy Group’s AI-driven communications application.
LifeVantage uses a direct distributor model to sell their products. An important, strategic KPI in direct selling is “getting new distributors to first dollar in 30 days.” Getting new sellers to first dollar in 30 days significantly reduces the likelihood they will churn. As a direct result of implementing the Gig Economy Group’s app, LifeVantage found a remarkable decease in churn because the application’s communication and recommendation engine guided sellers in getting to first dollar. After implementing the application, first dollar went from 5% of new distributors to 22% in the first 30 days. This is an extraordinary increase of 400% of independent consultants getting to first dollar in 30 days.
As a result of this, LifeVantage is able to enjoy respectful retention rates as a direct correlation to getting new sellers to first dollar. In measuring this KPI, LifeVantage looked to measure those independent distributors who were active and ordering products consistently after six months. They looked to compare those who were using the application versus those who were not. Again, the results were astonishing. 49.2% of sellers who did not use the app were active after six months. Conversely, 63.7% of distributors who used the app were active after six months. This an impressive retention rate of 13%. These two KPIs: Getting to first dollar and increased retention rates have significantly helped LifeVantage in their battle to manage churn and to ultimately improve their bottom line.
The Gig Economy’s group of communications and AI experts would like to invite you to a brief assessment where we will evaluate your rate of adoption for new communications, training, or adopting new practices. We will ask a set of questions and deliver a report that identifies the 3-4 gaps between an ideal business state and where your organization lies. I invite you to reach out to Dave Toole to schedule a 30-minute assessment.