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Seven Ways To Energize The Profits of Your Business : 

Seven Ways To Energize The Profits of Your Business

Our Mission : 

Our Mission Catalyst Business Coaching & Development exists to help business owners increase their cognizance in regard to their personal and business effectiveness so that they will be more profitable, efficient and effective starting, operating, and exiting their business. The basic proposition of our business is simple: We will continually provide consistently attractive and quantitative returns to the business owners we work with or we will not ask for payment of any kind.

Housekeeping : 

Housekeeping No Bad Questions Explain the parking lot procedures Q/A after for very specific issues Please turn off cell phones, etc. Discuss breaks Etc.

Statistics You May or May NOT Already Know : 

Statistics You May or May NOT Already Know According to the U.S. Department of Commerce: 80% of all new businesses will fail within 5 years. 80% of the remaining 20% will fail in the next 5 years = 4% survive 10+ years! Only 3% of all businesses reach $1 Million Dollars in revenue. 69% of all business owners take home under $50,000 per year.

So Why Do 80% of All Businesses Fail? : 

So Why Do 80% of All Businesses Fail? LACK OF COGNIZANCE Definition of Cognizance: Having knowledge or awareness Most business owners really don’t know what they don’t know and this leads them to have poor knowledge and thus make poor decisions.

So Why Do 80% of All Businesses Fail? : 

So Why Do 80% of All Businesses Fail? Maslow’s Four Stages of Learning: Unconscious Incompetence: The individual neither understands nor knows how to do something, nor recognizes the deficit, nor has a desire to address it. Conscious Incompetence: Though the individual does not understand or know how to do something, he or she does recognize the deficit, without yet addressing it. Conscious Competence: The individual understands or knows how to do something. However, demonstrating the skill or knowledge requires a great deal of consciousness or concentration. Unconscious Competence: The individual has had so much practice with a skill that it becomes "second nature" and can be performed easily (often without concentrating too deeply). He or she may or may not be able teach it to others, depending upon how and when it was learned.

Objective of this Workshop : 

Objective of this Workshop To hopefully take you from the state of “Unconscious Incompetence” to the state of “Conscious Incompetence” (at the very least)!

The Strategic Seven: How to energize the profits of your business, so you can DOUBLE your profits in the next year. : 

The Strategic Seven: How to energize the profits of your business, so you can DOUBLE your profits in the next year. Do the results suggested in this workshop seem impossible to achieve to you? The reality is that there are Seven Strategic areas that work together to energize the performance of all businesses. Identifying and engaging these essential building blocks allows for enhanced understanding and control of your business. The great thing about these building blocks is that they apply and work universally with any business. This means that after understanding what we are going to discuss today, you can put this information to work for YOU in YOUR business!

The Strategic Seven : 

The Strategic Seven Increase the # Visits from Prospects Increase the # Visits from Existing Customers Increase the # of Visits From Past Customers Improve the % of those who Buy: Conversion Rate Increase the Average Dollar Sale Increase Gross Margin Percentage Decrease Fixed Costs Let’s see how to put these strategies together to ENERGIZE your bottom line-PROFITS!

The Strategic Seven: How they work together : 

The Strategic Seven: How they work together Total Transactions x Avg. $$$ Sale = Revenue x Gross Margin % = Gross Profit – Fixed Costs = Net Profits Contacts, Leads, Referrals Total Transactions       

The Strategic Seven: How they work together : 

The Strategic Seven: How they work together Total Transactions x Avg. $$$ Sale = Revenue x Gross Margin % = Gross Profit – Fixed Costs = Net Profits Contacts, Leads, Referrals Total Transactions       

How to increase the number of visits from Prospects… : 

How to increase the number of visits from Prospects… The Big Difference: Benefit-focused marketing Does your marketing state a clear benefit to the client? Does your marketing suffer from “me”-itis? Does it pass the “so what?” test? Question 1: What could you change in your marketing to communicate a clear benefit to your prospects?

How to increase the number of visits from prospects? : 

How to increase the number of visits from prospects? Other strategies: Referral reward program for existing customers Implement networking strategies Identify an untapped target market or niche Seek out strategic alliances with others who serve the same market Success Ingredient: Consistently utilize a minimum of 10 clearly defined benefit-driven Marketing Strategies

The Strategic Seven: How they work together : 

The Strategic Seven: How they work together Total Transactions x Avg. $$$ Sale = Revenue x Gross Margin % = Gross Profit – Fixed Costs = Net Profits Contacts, Leads, Referrals Total Transactions       

How to increase the number of visits from existing customers… : 

How to increase the number of visits from existing customers… The Big Difference: Keep in touch! – Establish two-way communication! In your communication, let them know what is up and coming, promote complimentary products or services and ask them to come back for more of what they like. Question 2: What methods can you use to keep in touch with existing customers?

How to increase the number of visits from existing customers… : 

How to increase the number of visits from existing customers… Other strategies: Regular upgrades on product or service Closed door sales, client-only sales Customer repeat business loyalty program Success Ingredient: Customer Database

The Strategic Seven: How they work together : 

The Strategic Seven: How they work together Total Transactions x Avg. $$$ Sale = Revenue x Gross Margin % = Gross Profit – Fixed Costs = Net Profits Contacts, Leads, Referrals Total Transactions       

How to increase the number of visits from past customers… : 

How to increase the number of visits from past customers… The Big Difference: Find out the real reason they left and fix it A good customer service system must include feedback mechanisms, surveys, phone calls, etc. Question 3: How can I improve my customer service system?

How to increase the number of visits from past customers… : 

How to increase the number of visits from past customers… Other strategies: Win them back with targeted special offers Develop other product lines/offerings tailored to their needs Success Ingredient: Implement customer feedback system

The Strategic Seven: How they work together : 

The Strategic Seven: How they work together Total Transactions x Avg. $$$ Sale = Revenue x Gross Margin % = Gross Profit – Fixed Costs = Net Profits Contacts, Leads, Referrals Total Transactions       

How to increase the percentage of those who buy by improving your conversion rates. : 

How to increase the percentage of those who buy by improving your conversion rates. The Big Difference: Use a selling system! This includes flowcharting the sales process, using sales scripts or techniques and employing tools for tracking results. Question 4: Are you using a selling system or are you “winging it”? How’s that working for you?

How to increase the percentage of those who buy by improving your conversion rates. : 

How to increase the percentage of those who buy by improving your conversion rates. Other strategies: Practice Active Listening! Remove obstacles to buying Down-sell Success Ingredient: Implement Sales System

The Strategic Seven: How they work together : 

The Strategic Seven: How they work together Total Transactions x Avg. $$$ Sale = Revenue x Gross Margin % = Gross Profit – Fixed Costs = Net Profits Contacts, Leads, Referrals Total Transactions       

How to increase the average dollar sale. : 

How to increase the average dollar sale. The Big Difference: Up-sells and add-ons! A good sales system pokes around looking at some underlying and unexpressed needs and wants –OR– creates them! Question 5: Do you have products or services that you can use as add-ons in your selling system?

How to increase the average dollar sale. : 

How to increase the average dollar sale. Other strategies: Exclusives and specials to target market Support the up-sell tactic with easy payment options Remove obstacles to buying Success Ingredient: Sales script for add-ons

The Strategic Seven: How they work together : 

The Strategic Seven: How they work together Total Transactions x Avg. $$$ Sale = Revenue x Gross Margin % = Gross Profit – Fixed Costs = Net Profits Contacts, Leads, Referrals Total Transactions       

How to increase your gross margin percentage… : 

How to increase your gross margin percentage… The Big Difference: Increase your prices! Are you thinking “DUH?” Most entrepreneurs have under-valued their offering and their prices show it! Question 6: Why are you not asking for more money? What is holding you back?

How to increase your gross margin percentage. : 

How to increase your gross margin percentage. Other strategies: REDUCE COSTS OF GOOD SOLD! Ask for better prices, terms and incentives from your vendors Tie incentives to profits, not sales Success Ingredient: Build customer and vendor loyalty through consistent delivery and service.

The Strategic Seven: How they work together : 

The Strategic Seven: How they work together Total Transactions x Avg. $$$ Sale = Revenue x Gross Margin % = Gross Profit – Fixed Costs = Net Profits Contacts, Leads, Referrals Total Transactions       

How to decrease your fixed costs. : 

How to decrease your fixed costs. The Big Difference: Review your overhead Review inefficient overhead systems, re-evaluate all equipment needs, materials, and implement systems that help reduce excessive waste. Question 7: When was the last time you reviewed your overhead and support system costs?

How to decrease your fixed costs. : 

How to decrease your fixed costs. Other strategies: Outsource low-value, non-strategic activities Inventory carrying costs

How does this all work in real life? : 

How does this all work in real life? The Big Difference: Continuous improvements over time create large results Your goal is not necessarily to make a huge improvement in all areas immediately! Small changes accumulate. For example, don’t try to DOUBLE EVERYTHING, just increase the areas by 10%. If you improve everything by only 10%, then…

RESULTS!! : 

RESULTS!! Incremental benefits of 10% in each of these strategic seven areas results in DOUBLE the profits.

Question 8: How do I get started and make all this work for me? : 

Question 8: How do I get started and make all this work for me? Start by answering/reviewing your answers to the questions in the handout honestly Then implement measuring techniques for your business Document the existing conditions in your business Implement/Test An Idea For improvement Measure The Results Of The New Condition Repeat (Continuously testing and measuring results)

Any Questions? : 

Any Questions? Any remaining parking lot questions? Feel free to stay for individual Q/A Help us make this better! Please complete the Survey!

Slide 36: 

“Your Business Profitability and Efficiency Experts” 2631 W. Central Avenue Toledo, Ohio 43606 877.427.GROW (4769) www.catalystbcd.com scott@catalystbcd.com ASK ABOUT OUR 500+ TOOLS TO HELP YOU GROW YOUR BUSINESS AND ABOUT OUR WRITTEN, NO-QUESTIONS-ASKED, MONEY-BACK GUARANTEE.

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