The ACQ & Why it only looks at the previous 90 days

The ACQ (Acquisition Cost Quotient) score is a critical metric that evaluates the effectiveness and efficiency of a residential cleaning company in acquiring new, recurring clients. The ACQ score is calculated based on five key attributes:

1. Estimates Delivered: The # of people who have gotten a price from you regarding your house cleaning services.

2. Clients WON: This shows the total number of new clients successfully acquired — both 1x and recurring—, demonstrating the company's client acquisition proficiency. Winning clients has the greatest influence on the ACQ as it adds 25 points to the score and slashes the Cost Per Acquisition (CAC) metric.

3. Opportunities to Estimates Ratio: This measures how many of the generated opportunities convert into actual estimates, assessing the quality and relevance of the opportunities pursued. Getting in touch with new sales leads and providing them a price estimate in an efficient manner are hallmark traits of Top RCF Members. Yes, wins matter most, but we're not ignoring what comes before.

4. Cost Per Acquisition (CAC): This represents the average cost incurred to acquire a new client, factoring in all relevant expenses, and is crucial for understanding the financial efficiency of acquisition efforts. If you never win a new client, this metric will begin to balloon and, eventually, put a chokehold on a Member's ACQ score. Once this begins, it's very difficult to dig out of.

5. Estimates to Won Ratio: This ratio compares the number of estimates delivered to the number of clients won, providing insight into the effectiveness of the estimates and the sales process. Once the estimate has been delivered, the game has only just begun. Now, we work to get these folks onto the schedule.

The ACQ score is used within The RCF to categorize members into four levels of standing: Good, At-Risk, Probation, & Expelled. This categorization helps maintain the program's quality standards and offers members clear feedback on their performance, guiding them on areas for improvement. Granted, there are other ways an RCF Member can decline in Program Standing and even be expelled, the ACQ is the primary governing metric for this. If the score is positive, you're in the clear & you'll continue to receive house cleaning sales leads.

If your score is negative, it's a clear sign to right the ship. Something is not working and by letting it remain negative, you let us know that you are no longer the Member we are looking for.

The ACQ score is a reflection of a member's adherence to the program's standards and their overall success in leveraging The RCF to grow their client base. It publicly displays the strength of their client acquisition capabilities as a company. And, most importantly, it lets us — The RCF Board — know where to put the most funding. It lets us know who to send the most sales leads to.

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The ACQ is the "credit score" for RCF Members

Just as a credit score reflects the creditworthiness of an individual, the ACQ score represents the effectiveness and efficiency of a residential cleaning company in acquiring new clients.

It's a comprehensive metric that evaluates a member's performance across various dimensions of client acquisition, such as the delivery of estimates, conversion of leads into clients, and the cost-effectiveness of their marketing and sales efforts.

Much like how a higher credit score can unlock better interest rates, loan terms, and credit opportunities for individuals, a higher ACQ score in the RCF program can lead to more favorable terms and opportunities within the program. For instance, members with higher ACQ scores may be deemed more reliable and successful in acquiring clients, which could influence their eligibility for market area funding and other program benefits.

Market Area Funding

The ACQ score plays a significant role in determining how much funding an RCF Member receives for their market area.

A higher ACQ score indicates a member's proficiency in client acquisition, suggesting that their market area is ripe for investment and can sustain more growth. On the other hand, a lower ACQ score might signal the need for additional support, training, or intervention to improve performance in that market area.

In this way, the ACQ score not only serves as a barometer for individual member performance but also guides the strategic allocation of resources and funding in The RCF.

It ensures that investments are directed toward areas with the highest potential for success, thereby maximizing the program's overall effectiveness and the success rate of its members in securing new, recurring clients.

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Why does the ACQ only look at the previous 90 days?

The focus on the previous 90 days for calculating the ACQ (Acquisition Cost Quotient) in the Recurring Client Finder (RCF) program aligns with both operational efficiency and a profit-driven ethos:

1. Recency: Concentrating on the last 90 days ensures the ACQ score reflects the most current strategies, market conditions, and practices. In order to stay atop the ACQ Top 10 Rankings, you'll have to be bringing your A+ game every. single. day.

2. Improvement & Correction: This timeframe allows members to quickly see the results of changes or improvements in their strategies. It mirrors the corporate approach of timely reflection and adjustment to maintain or enhance profitability, ensuring that operations are continually optimized for better outcomes. Ultimately, revenue/profit are the most important metrics in any business model. However, we bring in the ACQ to show us how our client acquisition efforts are going — and it'll let you know far before your bottom line ever will.

3. Goal Setting & Tracking: Setting goals and tracking progress over a 90-day period is akin to corporate quarterly planning. This approach not only keeps members engaged but also ensures that objectives are closely aligned with the broader goal of profitability, encouraging a structured and focused effort towards improvement. Shorter, more bite-sized goals are much easier to accomplish that the year-long trudge through the mud. By looking at the ACQ, you can see exactly how your last 90 days went and immediately adapt so that the next 90 are set up for success.

4. Data Relevance & Management: Managing data from a 90-day period makes it more relevant and manageable, reflecting the corporate practice of efficient data handling for actionable insights. This approach facilitates informed decision-making, driving strategies that enhance profitability. And this really touches back on point #3. Decisions can be made much quicker and faster if the data is reliable. Reliable data is relevant and recent. The ACQ score could not be more relevant to you as a house cleaning company. And its only looking back 90 days ensures its recency.

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How the ACQ is calculated

ACQ (Acquisition) Score Calculation:

1. Number of Estimates Delivered x 12

2. Number of WON Clients (both recurring and one-time deep cleans) x 25

3. Opportunities to Estimate Delivered x -3

4. Cost per Acquisition (CAC) x -3

5. Estimates Delivered to Win (WON) Ratio x -3

The ACQ score is the sum of these five scores.

>> See more at RCF University

>>> See Public RCF Scorecard