Revenue and Profit Growth
We’re not surprised you clicked that button.
Meeting growth targets and satisfying investors/parent companies is a huge challenge for any business.
With the risks of failure so enormous, the level of competition in the market, and the fact that people just don’t want to be sold to nowadays, it seems that every opportunity for revenue growth should be enthusiastically seized…
But not at the expense of profit. After all, profit is what drives our shareholder value, and hence it’s what drives almost every decision we make as business owners. Figuring out how to increase revenue without decreasing profits - that’s the problem.
It’s a problem that comes with a whole host of possible solutions, but that actually tends to make things harder as opposed to easier. When there are hundreds of signposts all pointing in different directions, all labelled ‘Exponential Growth This Way!’, how do you know which road to take? Especially when seemingly every road presents its own unique set of bumps, potholes and risk of sudden death along the way.
Here are some of the more traditional methods of increasing revenue and the potential risks/problems they present:
SELECT AN IMAGE
Hire more salespeople
Problem: expensive to recruit the best salespeople. Cost of salary + bonus (2017 average of $125,000) poses huge risk.
Problem: Chance of new salesperson hitting the ground running, delivering consistently, and maintaining profit levels is relatively slim.
Problem: High administration cost of maintaining employment.
The truth is that any revenue-increasing strategy you implement will come with a certain degree of risk, and it will also come at a price. That’s unavoidable. You’ve got to spend money to make money, yada yada.
The road you want to go down is the one that involves the least risk, as well the one that can actually increase your profits at the same time as growing your revenue.
We are aware that sounds more like some too-good-to-be-true fantasy than something that actually exists in the real world, but it does exist, and you need to know about it.
Hint: it’s none of the methods above.
And to do this, you need to start automating a large section of your sales pipeline.
It is entirely possible to digitise the process of converting cold leads into hot opportunities. You can do this by setting up an automated system that drives leads into a funnel that will push them through from the beginning of the sales journey to the end. This frees up your sales team, allowing them to catch hot prospects as they race out of the bottom of the funnel and nail down the final sale.
A digitally automated pipeline won’t just prevent your sales people wasting their time on cold leads, either. It presents far fewer of the risks associated with the more traditional methods of increasing revenue, it’s entirely scalable, and the ability to track individuals wherever they are in the pipeline means it’s easy to track ROI in turn.
You may well think this sounds like fluff. If digitising the sales pipeline is the holy grail of increasing both profits and revenue, then why isn’t every business doing it?
Well, the truth is that a rapidly increasing number of businesses are doing it. Companies across the planet are fast catching on to the fact that the world has changed, that traditional methods of reaching customers are no longer working, and that they need to take action before the digital method of driving sales takes over and they are left without a seat at the table.