Brian Tracy breaks down seven levers to grow business profits: attract more leads, boost conversion rates, increase purchase frequency, raise sale size, improve margins, lower acquisition costs, and drive referrals. Small changes in any one area compound into major profit gains.
Questions this video answers
June 1, 2017.
Increasing prospects from 10 to 15 increases profits by 50% (example in the video).
Increasing conversion from 1 out of 10 to 2 out of 10 is presented as doubling sales.
Chapters
Engage in mountaintop thinking, project forward in thought and imagine your ideal life. What does it look like? Hello, I'm Brian Tracyn. Today I want to talk to you about different ways that you can grow your business. Growing a small business takes a lot of sweat, hard work, and sleepless nights. When you have your own business, you have multiple options to increase your profits because that's what everyone wants. Here are seven options you have to grow your business more rapidly. You can grow your business by increasing the number of qualified leads that you attract the process that you use to attract interested prospects to your business. If 5 out of 10 prospects end up buying from you and you can increase the number of people coming in from 10 to 15, you will increase your profits by 50%. You can grow your business by increasing the number of prospects you convert to buyers. This is the measure of the effectiveness of your sales efforts. If you can increase your conversion rate from 1 out of 10 to 2 out of 10, you can actually double your sales and increase your profits to same amount. Improving your ability to sell and convert interested prospects into paying customers is one of the most important things you can do. And there's no replacement for ongoing sales training, both for you and for every single person who speaks to customers, either live or on the phone. Look at the key area in your sales process and seek ways to improve a little bit in each area. A small improvement in each area can lead to an enormous improvement in overall sales results. You can grow your business by increasing the number of individual sales that you make to each customer that you acquire. By increasing the frequency of purchase by 10%, you increase your sales and increase your profits by the same percentage. What are some things that you could do to get your customers to buy from you and to buy more frequently? You should be continually looking for ways to upsell each customer so that he or she buys more each time. Fifth, you can increase your profit margins for each sale. Profit margin is the gross profit that you make from the sale of each product or service that you offer. By continually seeking ways to raise the price or lower the cost of the product or service without decreasing the quality, you can increase profits per each sale with every dollar that you raise in price. If you hold cost constant flows straight to the bottom line as profit. Every dollar you reduce in expenses. If you hold sales and revenues constant, also go straight to the bottom line as net profit. Sixth, you can lower your cost of acquiring a new customer. The amount that you have to pay to acquire each paying customer is an important number for you. You should be continually seeking creative ways to improve your advertising and promotion so that it costs you less to buy each customer. This can impact and increase profits of your business dramatically. Seventh, you can think of ways to increase customer referrals. The customers who come to you as a result of referrals from your satisfied customers. Developing one or more proven referral systems for your business can have an inordinate impact on your sales and your profits. When you practice continuous improvement in all of these areas in your business, you will make more money. You will increase your profit in your business and help contribute to your future financial success. If you enjoyed this video and feel it was valuable in teaching you how to grow your business and increase your profits, share it with your friends or anyone else who might benefit from this information. Before we wrap up, I'd like to leave you with a thought to share with your friends and followers. Engage in mountaintop thinking, project forward in thought, and imagine your ideal life. What does it look like now? I'd love to hear from you. So my question today is what are your financial goals? Leave a comment below and I'll be sure to follow up with you. Thanks for watching. And remember, if you want to change your future, take action and and take action now. If you enjoyed this video and feel it was valuable in teaching you how to grow your business and increase your profits, subscribe to my channel like this video and share this video with your friends and click the button on the screen for a free gift. Thanks again for watching.
