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Do you have a pot of Gold in your Business?

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Are you on track to achieve your goals for 2017? Have you stopped and taken a moment to see where you are? Often small business owners are way too busy working ‘IN’ their business to work ‘ON’ their business.  Have you taken a moment to review how they are doing?

If you find this yourself in this position I find the best thing to do is Communication skillsbook half a day into your calendar or even a couple of hours and go to a hotel or get a meeting room somewhere other than where you normally work. I like to do this as I feel inspired and not caught up in the everyday of work. I also close outlook and turn my mobile to flight mode so I am not distracted by an email or phone call which can wait for a couple of hours. If you were in an important meeting, the email or phone calls would have to wait till you were free, well this is an important meeting with yourself to work ‘ON’ your business.

Most businesses are keen to increase their profits, so where is it best to start?

Most businesses are constantly looking at new ways to gain clients, how to improve their business development. I say stop! Unless you are just starting out stop, you have a treasure trove within your business already that just needs a little nurturing.

Review where you are now:

  • Where is your business going?
  • What’s the vision for your business goals?
  • What milestones are you currently working towards?
  • What milestones have you recently achieved? 

Then take a look at your current clients, get a list of all your clients and ask yourself the following questions:

  • Now look at what your clients are spending with you?
  • How much did each client spend with you over the last year? or two years?
  • How often are they buying from you?
  • What is their average spend with you?

Also in the recruitment sector:

  • Review what % fee you charge which clients.
  • Which clients give you the easiest roles to work?

If you can not answer any of the above questions are you capturing the metrics you need to?

Review your answers, did you instinctively know the answers? Or are you surprised by which client is spending the most with you? Maybe the client whose average sales value is low but the number of sales is high is the client who is spending the most with you. Do you have clients on your list who you felt you made more sales with but are surprised to see they are fairly far down on your list? Which clients take the most of your time and does the time correspond to realised revenue?

Remember the 80:20 rule

Does the 80:20 rule apply to your client list? Does 80% of your revenue come from 20% of your clients? Are the clients you spend 80% of your time only bringing in 20% of your revenue?

The most common mistake businesses make is to they keep going after new business and new clients when in actual fact they more than likely have a pot of gold hidden in their existing client list. It is much more expensive to get a new client than it is to get more business from existing clients.

So, review at your client list, who on that list is purchasing/hiring more that you are providing? Who can you improve the relationships with? How can you do this? I’d love to know what little actions will you do within your business TODAY to increase your revenue from your existing clients? Please share below.

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