The only way you can guarantee the long term growth and
success of your business is to continually increase the
amount of money coming in. There are only 3 ways you can
increase the flow of money coming into your business:
1. Increase your number of customers (Get more new
customers).
2. Increase the average dollar amount of each purchase (Get
bigger sales).
3. Increase the frequency of purchases by your average
customer (Get more repeat business).
You'll be amazed at the impact a small increase in each
category can have on your total volume of business. Do you
think you can increase each of these 3 categories by just 5%
or 10% or maybe more? An increase of only 10% in each
category will increase your total income by 33%. A 25%
increase will almost double it. Look at the following
illustration to see how this works:
Number of Average Purchases per
Customers x Purchase x Per Customer Total Income
500 x $30.00 x 2 $30,000
If you increase each category by only 10% you'll increase
your total income by 33%...
550 x $33.00 x 2.2 $39,930
Suppose you can increase each category by 25%...
625 x $37.50 x 2.5 $58,594
A 25% increase in each category almost doubles your income
Apply these numbers to your business and do some
experimenting. Most businesses find it impractical to
increase all 3 categories by exactly the same percentage.
It's easier and less expensive to increase the average size
of each purchase and the number of purchases than to get
more new customers. For example, you can double your total
income with the 3 following increases:
20% more new customers
20% bigger sales
40% more repeat business
There are many ways you can increase your growth in these 3
categories. The following lists include only 3 for each
category to stimulate your thinking. All 9 are simple and
inexpensive methods any business can put into action.
TO GET MORE CUSTOMERS...
Implement an automatic follow up procedure to periodically
contact previous prospects who didn't buy. (This one
procedure alone can increase your number of new customers
by 50% or more.)
Set up a proactive referral program to automatically ask
every prospect and customer for referrals.
Establish a procedure to get free publicity on a regular
basis.
TO GET BIGGER SALES...
Increase your prices.
Find or develop some higher priced products or services to
offer.
Propose an "Upselling Offer" in every transaction. Offer
an upgraded product for a higher price. Or, combine the
original product with one or more related products to
create a special package for a higher price.
TO GET MORE REPEAT BUSINESS...
Develop a special offer for existing customers.
Find or create additional products or services to offer
your customers.
Communicate regularly with customers. Keep reminding them
of the benefits you offer.
There are only 3 ways to increase the flow of money into
your business. A small increase in each category will
substantially increase your total income. Use the
information in this article to develop your personal
marketing plan to double your business income. Be sure to
include a realistic deadline. You'll discover it's easier to
double your business income than you thought.
About the Author
Bob Leduc is a Sales Consultant with 30 years experience in
generating low-cost leads. He recently wrote a manual for
small business owners, "How to Build Your Small Business
Fast With Simple Postcards", and several other publications
to help small businesses grow and prosper. For more info:
Email: BobLeduc@aol.com Subject: "Postcards"
Phone: 702-658-1707 After 10 AM Pacific Time/Las Vegas, NV