When you are experiencing a slump in business, whether sales are dropping or stagnant you begin to think of how you can boost your bottom line.
You might be overwhelmed by the task ahead but the truth is that it is quite less daunting then you might think.
In truth there are only three ways to really increase your income.
1. Increase your customers.
2. Increase the amount each customer spends per purchase.
3. Increase the number of times a customer buys
That’s it. It’s that simple.
Let me show you have powerful these three strategies can have on your business when used together.
- You have 500 customers.
- The average customer spends $75/transaction.
- They make one transaction per year.
Lets look at the numbers
500 x $75 x 1 = $37,500
Now lets see what happens when you use these strategies and increase theses three areas by 10%.
550 x $82.50 x 1.1 = $49,912.50
A 10% increase in customers, average sale, and transactions/year grows your income by 33.1%.
Its called geometric growth.
And if you increase these areas by 20% your income grows to $64,800. That a %72.8 growth.
Are you starting to get the picture?
Doubling and tripling your business is suddenly a lot less daunting.
Which of these strategies are the easiest for you to tackle right now?
What are the steps that you need to take to make it happen?
I would love to help you put this into action. Sign up for a free coaching session.