Working with NBA players and elite athletes in NYC, Andrew Page realized that the 7-foot,45lb Olympic Bar struggled as a functional tool for most people.
Andrew realized that you could simply string together a couple BMX bike wheels, a cable cross bar and some 2” end, and you have what is, effectively, an ultralight Olympic Barbell that anyone can lift.
Axle was going direct to consumer (B2C) via Facebook ads, which was just not a profitable avenue for them. Realizing they needed to pivot, they decided to go fully B2B where they would introduce their products, training modules and software systems directly into a wide range of fitness facilities. Axle needed a partner who could quickly get things in motion while pivoting their business model on the fly.
As a CEO, Andrew had a dual goal: like all business owners, he aimed to generate profits, but he was also exceptionally driven by his mission. Andrew sought to not only help individuals achieve their fitness goals through his product Axle, but also to aid gym owners in boosting their revenue by introducing innovative Axle Workout Classes.
Upon recognizing the need, Axle decided to assist their gym partners by offering marketing services for their Axle Workout Classes. It became apparent that not only were gyms seeking unique class options for their members, but they also needed assistance in ensuring class participation.
Of course, this was an extremely tall order, but we are always open to a challenge.
• Create Pitch- Create a pitch to fitness facilities which yields a high response rate.
• CRM- Setup and integrate Customer Relationship Management software.
• Licensing- Create a paid licensing model.
• Create Marketing Program- Create marketing program enabling Axle partners to fill Axle classes.
• Automations- Help Axle automate their marketing program, freeing up time, enabling them to scale.
• Outreach- Start aggressive outreach.
definition: In marketing, Customer Lifetime Value (LTV) is calculated by finding out the average churn and average spend of a customer over the course of a specific period to predict their overall spend. Basically, identifying how much your customer will spend from the start to end of your relationship.
Unfortunately, the thought of incurring unavoidable costs often eludes many business owners. However, if you aspire to grow your organization on a large scale, it is essential to acknowledge and prepare for these costs that simply can't be avoided, such as:
• Cost to generate leads
• Sales rep commission
It's frequently the case that a successful B2B outreach program can only be achieved if your business eventually generates more than $5,000 in revenue from your customers. This is an inescapable reality; it's not possible to sidestep expenses. Acquiring leads for a low cost such as $1 or paying a sales rep commission of only $10 is not just unlikely, it is impossible. The bigger issue at hand must be addressed, as solving more problems for your customers and increasing revenue is essential.
Given this universal truth, we at Centergrowth have collaborated with founders to modify their business models, a task we have accomplished for over 100 businesses. Our objective is to support businesses in their marketing endeavors while ensuring profitability; otherwise, we'd be merely contributing to a house of cards.
Andrew was receptive to broadening the scope of outreach efforts. It's always a pleasure to collaborate with forward-thinking founders like him, as unexpected positive outcomes often result. This proved to be one of Andrew's wisest decisions as a founder. As a result, the Axle brand suddenly gained interest from various youth organizations, disability centers, and unexpected sectors beyond just regular gym facilities.
"Centergrowth has been a great partner for us because they have all the tools and technologies out-of-the-box that we needed. This has saved us valuable time and effort, as we did not have to invest in figuring out these resources on our own.”
CEO @Axle Workout
• Accountability- Since the beginning of our relationship until now, we have not heard a single complaint from Andrew. He takes complete responsibility for all aspects of his business.
• Hard Work- Andrew's open-mindedness to engage in conversations with anyone, regardless of whether they fit his Ideal Customer Profile (ICP), was a huge asset. This approach allowed him to gain valuable insights and knowledge in a much shorter period of time. In just one month, he was able to discover and address problems that might have otherwise gone unnoticed for an entire year.
• No ego- Andrew has been seeking truth since the outset and has always been open-minded and adaptable in his approach. His sole objective was to achieve victory, not to prove himself right.
• Fast Communication- Andrew was quick to respond to prospects via email within 30 minutes and was flexible in adjusting his schedule for a sales call with them. This made all the difference in the world.
• Mission Driven- Ultimately, authentic effort can't be faked. Andrew's genuine passion for the fitness industry drives him, fueling his excitement and giving him a clear sense of purpose to drive the industry forward, which is the key to his accomplishments.
To summarize, Axle's future is brighter than ever, as demonstrated by the growth in their demo numbers and partnerships. The company is now powering marketing programs for many gyms across America and has demonstrated an ability to execute cost-effective, profitable marketing campaigns in partnership with these gym partners. The increase in both Axle's LTV and their customers' lifetime value has resulted in a predictable, steady growth of their MRR.