Chapter 2 – Financial Control – Rule your money
This is part of the ‘How to’ coaching series. An ongoing series of activities to make your business successful. Follow it step by step and see positive results as you develop a robust business model, set on a solid foundation.
Activity 29 – I have more than 5 strategies in place to increase my Gross Profit.
Do you consistently work on increasing your profits? Do you have a plan of actions that you, and/or your team, can measure and follow?
There are many simple ways to grow your overall sales (or reduce your costs of sales). What works for one company may not work for yours, so define and implement your own strategies.
The ‘How to’ bit:
Here are some ideas, based on the 6 ways.
If you want to increase the number of prospects work on finding where they are looking (such as on Facebook) then build relationships and market your product so they can see it. When you engage prospects, they will usually have a look at your offerings to see if they have an interest.
To increase the number of conversions, from interested through to purchasing, develop enticing offers via the platforms that the prospects look at. You can use a social media platform or even more traditional types of marketing. there are some amazingly ingenious adverts ‘often known as gorilla marketing’ that are very cost effective.
Turn purchasers into regular customers. Build a relationship with your customers. This could be via a membership, such as a loyalty card. Make your customers feel valued…. AND most of all, let people know everything you sell. One client put ‘you may be interested in this’ items on their quotes. They found an amazing 800% uplift for one particular product. This is up-selling, and a well-known fast food chain is really good at this.
Get your customers to come back for more. Sometimes it’s a simple as making the customers feel they got great value, and they wouldn’t want to go anywhere else. Could you set up a Direct Debit for suppling your products? For example, an optician has a monthly supply process. You get a month’s supply of contact lenses and lens fluid each month on a direct debit. When it’s that easy, people tend to stay.
Another way to increase your gross profit is to increase the price of the goods/services you sell. This is often an area that worries clients. Won’t I lose customers if I raise my prices? The simple answer is, you might. Typically, customers realise that costs do go up. If they feel they are still getting great value, they like the service, and still want what you are selling, they will stay.
If you would like to learn about the many strategies for increasing your Gross Profit, follow this link and Contact Us…