MBA1736 How to Make More Money With the Team You Have

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Ready to save on new tech. It's time for Dell Tech Day's annual sales event, celebrating our customers with fantastic deals and benefits. Perks include Dell rewards, free shipping, premium Support and more. PCs like the Dell 14 with Intel Core Ultra processors will help you do more faster. And with a premium suite of monitors and accessories, you can upgrade your whole setup with amazing savings. Visit Dell.com deals. Hey, welcome to the $100 RBA Show. Because a better business begins with you every single day with our daily 10 minute business lessons for the real world. I'm your host, your coach, your teacher, Omar Zenholm. I'm also the co founder of Webinar Ninja, an independent software company I started with my partner back in 2014. And in today's lesson, you will learn how to make more money with the team you have. Sometimes we think, in order to make more money, I gotta grow my team. I need to bring on new talent. Sometimes we always default to, you need to spend money to make money. But many times that's simply not true. In today's lesson, I'm going to show you how to reevaluate what everybody's doing on your team. How to get them to focus on tasks that bring in revenue, and how to get every team member motivated to bring in more cash. So let's get into it. Let's get down to business.

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Whether you're a team of one or a team of 100, there are certain tasks you can do to bring in more cash. And in today's episode, I'm gonna put on my frugal hat on. I want to make sure we squeeze as Much money out of the current team you already have. Spending money is not the answer. First, let's maximize what we can do with who we have. Once we do that and we want to take things to the next level, then we can consider bringing on somebody else on our team. But we need to maximize who we have right now. And you'll be surprised how much output, how much benefit, how much money we can generate in new sales if you just realign certain tasks for your team members, no matter what department they're in. Before we get into the nitty gritty details, let's discuss what are the ways we can bring in money? Well, really there are three ways ways to make sure we make more money in our business to bring in more revenue. The obvious one is just more customers, more people buying your products or services. That's number one. Now a lot of people just stop here. They're like, I just need more customers. Well, there are other ways to make money. Number two, each customer spends more money. So instead of each customer spending $50, each customer spends $100. You just doubled your revenue. Okay? You just double how much money you make without even bringing in new customers. This is often called lifetime value. Now I want to explain this one before we move on. So yes, you can get bring in more customers, number one. Number two, each customer spends more. It doesn't necessarily mean they spend more when they first buy, they can buy one product but then they come back and buy another or they upgrade their plan or they have an add on added to their plan or they go from your membership to your private coaching. Point here is that the same customer is paying you more money. And lastly is retention is keeping your customers. Now if you have a software company like a SaaS business where people pay you every single month for a membership, or you have a community like a course community where people learn from you every month or you have monthly coaching, any reoccurring model, this is essential, okay? You need to make sure you keep your customers even if they're not spending more. By keeping your customers, you basically plug any leaks in a bucket, right? There's no sense in bringing in or working so hard on marketing to bring in more customers if just as many leave you, okay? Keeping a customer is actually a whole lot less expensive than bringing in a new customer. Now say for example, you run an e commerce store, you're in retail and you might be saying, well I don't have a membership model, Omar. People buy from me and then they leave. Well that's okay, but you need to make sure they continue to buy from you. You have to see this as a membership model. If somebody has bought something from your e commerce store and they haven't bought from you in months, that's a problem. You need to find ways to re engage with them, give them reasons, give them purposes to buy your products. Yes, maybe they bought for themselves. But hey, there's a holiday pretty much every single month. Have you bought something for your mother for Mother's Day? What about Father's Day? What about birthdays, Christmas, Valentine's Day? I can go on and on, but the point is, is that people buy things for other people, not just for themselves. Make it so it is sort of a subscription model to get them to come back and keep buying. That's a reoccurring customer. And if you have great quality products, they will love you for the gift ideas. All right, so these are the ways people can make more money. So how am I going to tap into my team to do that? Well, everybody on your team has a already, right? They have duties. All you have to do is refocus those duties to apply to one of those three things. So I'm going to give you some examples. Let's say you have somebody who's doing customer support. They're not selling, they're not bringing any new customers. But they deal with the customers that they already have. The ones that are asking support questions or asking questions about products or sizing or whatever it is. If you want retention, if you want people coming back, you want people to keep paying you, these people are your soldiers, okay? These people are going to help you big time. Your support team. If you have a sale going on, if you have a promotion going on, they should close off all conversations with a reminder of that. If there's a better way for them to save the customer money. I know this sounds counterintuitive, but if you can save the customer money if they're on the wrong plan for some reason or they're spending their money on the wrong things by giving the customer advice, hey, you can actually do better on an annual plan versus your monthly plan. You could save up to $150 by going annual. I notice you've been with us for a year already. The customer gets locked in. You get upfront cash flow and the customer really appreciates you looking out for them. So get your support team to actively keep your customers happy and keep them retained and continuing to pay you. Now, this doesn't happen by accident. This obviously takes training. But if you allow the metrics that they're measured against to be aligned with this. This is what's going to work. So when you're evaluating your customer support team, make this one of the things they're evaluated on. Retention. How many customers did they save? How many customers did they upgrade? If they hit certain milestones, you can give them a bonus, you can give them a raise, Whatever it is, incentivize them. Because at the end of the day, people need a bit of carro. They need to have a why to the instruction. Let's move on to another department. I'm not going to go into marketing or sales because that's too obvious. But let's talk about product. Who creates your products or services? Somebody who maybe creates your courses, or somebody who develops as an engineer your code for your software? Whatever they do, whatever they create, you can motivate them through that creation. Because the more products, the more features that they can create, the more opportunity you can upsell your customers. You can add things to their plan, add ons. You can increase the cart value. Back when I was running my own clothing line business, I used to incentivize my team of tailors to come up with something that would go along with a new product they're creating. So for example, if they're creating a new dress shirt, we would run a contest and say, everybody come up with something, an accessory, an add on, something that I can get the customer to buy with this shirt to increase the car value. And all the tailors would come up with different ideas. Some people would come up with cufflinks, some people would come up with pocket squares. Some people came up with some brilliant ideas. One of them that took off and became huge, which was embroidering initials on the pocket of the dress shirt. People were willing to pay an extra $35 for embroidered initials on their dress shirt. And it cost us less than a dollar to do. Okay, doing it in the tailor shop as it is, so little things like that. And when we ran those contests, the one that performed the best in the marketplace, that tailor got a bonus. Sometimes we would buy them a weekend trip, or we would buy them dinner and a movie for their loved one. And we would run this contest every single month. So you can definitely incentivize whoever's working on your product, whether it's digital or physical, to come up with ways for you to sell more to your customers with great products.

We've all been there. You hold onto a coupon but forget about it and suddenly it's Expired.

Expired in 2012. Dang it.

Fortunately, by switching to Geico, you could save about $900 on car insurance without ever touching a coupon.

It feels good to save big. It feels good to geico.

To wrap up today's lesson, it's time to get the creative juices flowing. Look at everybody on your team, including yourself. Look at what they're doing and ask yourself, what can they do instead? Or in addition to that, can bring in more revenue that can increase the cart value, increase the average spend per customer. How can they retain customers in their job? Any of these three? Or maybe they could do a combination of the three. Once you identified what they can do, find a way to incentivize them in their KPIs in their evaluations to push that forward, to make it fun, to make it interactive. This creates a lot of positive vibes on the team. And at the end of the day, your customers benefit. They get great products, they get great service, they get great savings. It makes your business and brand better. All with the team you already have. Thanks so much for listening to the $100 MBA show. If you love what you hear, smash that subscribe button on whatever you use to listen to. Podcasts, Apple Podcast, Stitcher Radio, Spotify, we're on them all. It's absolutely free to hit subscribe and to get all our episodes automatic. Also, by hitting subscribe, it's absolutely free to subscribe to get all our episodes automatically. And by hitting subscribe, you get access to over 1700 episodes in our archives. It's the only way to get access to Go ahead and do that right now. Before I go, I want to leave you with this. Sometimes we get into this hamster wheel of like, I need more marketing in order to bring in more traffic so that I can make more sales. Step away sometimes and question the way you're trying to bring in more money. I'm not saying take your foot off the gas of what you're doing right now, but think, hey, maybe while I'm doing this, let me experiment with these projects internally and you might find that one might perform better than the other. Thanks so much for listening and I'll check you in tomorrow's episode of Free Art Friday. I'll see you then. Take care of.

We've all been there. You hold on to a coupon, but forget about it and suddenly it's expired.

Expired in 2012. Dang it.

Fortunately, by switching to Geico, you could save about $900 on car insurance without ever touching a coupon.

It feels good to save big. It feels good to Geico.