This is the Marketing That Makes Money Podcast With Kase Dean.
Episode 2. Your Five Steps to Higher Profits
There are five business growth areas that lead to the profits you are seeking.
Now, you hear all the time about revenue, but that’s not really what you need to focus on:
That bottom-line money that gets in your bank account: your personal income.
Those are the profits that you’re really after.
So, those five business growth areas are:
- Average Sales Value.
- And, Profit Margin.
Leads are the number of people showing an active interest in your service or product.
Conversions are the percentage of those leads who become customers.
Transactions. That’s a number of times each customer purchases your service or products.
Average Sales Value. That’s the average amount a customer pays for your product or service and finally Profit Margin.
That’s the percentage of your revenue left after all your taxes and expenses.
The Domino Effect
Each one of these five growth areas needs to be increased and every business owner must focus on them in order to generate more profits.
These growth areas work together like Dominos and once you get the first one right…all the rest will follow.
Therefore, without the first domino: Leads – which happens to rhyme with seeds – your business cannot grow.
Lead generation is the first, the most important growth area.
As I said earlier, a Lead is a person that is showing an active interest in what you’re selling.
So, how are you currently generating leads?
Most businesses generate leads via word of mouth and referrals and do not believe the latest marketing hype.
These are GREAT sources of leads.
However, relying on word of mouth and referrals is an extremely passive, unreliable and unpredictable way to get potential new business because you cannot control when you will get a referral.
The other way, most business owners wish they could get leads is via their website.
Your 24/7 365 Marketing, Sales and Service Delivery Engine
More likely than not, you have a business website.
So, how many sales can you directly attribute to your website?
I mean, you know your website should be helping you make money, right?
It isn’t just there to sit pretty as a static general presentation of your business.
The main reason why businesses struggle to generate leads is a lack of strategy.
Your business website has untapped potential to become your 24/7 365 marketing, sales and service delivery engine.
It could be working hard for you consistently given you more customers.
More sales and …more time.
The Key to Consistently Generating Leads, Sales and Customers
Unfortunately, decades of standard website design techniques, have failed to catch up with the way that we all use the internet nowadays.
And, this leads to 80% or more business websites failing to generate any leads or sales for the business.
Struggling business websites have one or both of the following in common:
- They focus on explaining how great the business is.
- They focus solely on trying to get the website visitors to make a purchase.
Visiting a website like this is like walking into a shop and being greeted by a sales rep at the front door holding one of the company’s products saying:
“Hey there! Welcome to our amazing business. We have worked with so many great people who think we are amazing.”
The key to consistently generate leads, sales and clients, customers for your business is being able to understand things from their point of view.
It’s important to address the two major concerns on your potential client’s mind.
So, how do you do that?
Well, it’s actually quite simple once, you know, and understand the fundamentals of effective marketing strategy.
- Articulating The Problem.
- And, articulating The Result they get once that problem is solved.
We’ll dig more into that next time.