Another day another dollar. It’s something we hear all too often and we should be striving for better.
Personally I want tomorrow to be another day another 2 dollars, the day after another 4 dollars, 8 dollars the day after that and so on.
As we were saying in part 2, most of the time when business gurus talk about growing your business what they mean is doing more of the same. More customers… Get bigger, growth for the sake of growth.
It’s the path most travelled and it does have its drawbacks. The chief reason being the additional headaches it creates, you don’t get the profits necessary in order to make it worth your while.
Otherwise, we wouldn’t be reminiscing about the good ole days when everything was easier.
However it doesn’t need to be that way. Since financial freedom is determined by net profits not by turnover we as marketing professionals, entrepreneurs and business owners actually have to figure out how to increase profits not turn over.
That is the nub of the doing more problem.
Sure you can get there just by doing more of the same but it is actually the hard way to get to the point where you live your life on your terms.
The second option is to figure out how to get more profits from what you already have and leverage your business’ assets to the max rather than just going around adding more assets.
The terrible truth is that most businesses leave far more on the table than they ever hope to pick up.
How do we know this?
We know this because that is what we really do for our clients. We help them make more from their existing clients (and leads in some cases).
A client of ours Triumphant Property services had on multiple occasions lost business because their clients ‘didn’t know they did that.’
Triumphant’s Managing Director Shannon would go and see a client and see they had say a new lighting system put in and then as “Why didn’t you at least get us to quote on that”
The client would reply “We would have if we knew you did that”
Cariss Printing was able to 4X a sizable percentage of their database’s purchasing. For example before they worked with us, their clients were spending $1,000 per year. Now they are spending $4,000. That money was going to someone else either directly or indirectly (it was being spent at another printer or on something else)
But now it is in Cariss Printing’s pockets rather than anyone else’s.
I could go on but I feel I have made the point. Until they educatred their customers properly that business was floating out in the ether. Now they are both getting more from their customers than they were in the past. Their business is getting bigger but their asset base is staying the same.
The reason this is so important is because the relative costs of sale vary greatly between new and existing customers.
You can do this manually but it is a lot of hard work. The real secret is to create a machine that can do it for you.
Unless you have a machine to do that work for you then you are the machine!