Blog

3
May

Increase your revenue by 20% without one new customer

3 May 2017 Posted by Tim Stanford Blog , , ,

 

Sounds too good to be true doesn’t it? Based on 12 years of analysing customer data we know its true. Its actually on the low side. And it makes sense. There is GOLD left sitting idle within your current customers.

To make it even more attractive you don’t need new sales people, new customers or additional marketing spend. Incremental revenue falls direct into your bottom line. Its called “backend” marketing because its targeted at people who know you, your products, service and should convert more easily. It’s the most profitable form of marketing but is often ignored. M&T Growth Partners identified how one client could triple profits with a mix of revenue opportunities plus fixing poorly structured pricing.

It always seems ironic that growth causes complexity because you do lots and when you do lots (sometimes poorly) you stop growing because your business gets too complex!

Understanding customer insights about your sales is highly profitable, gives your business real focus. So why don’t businesses do it?

  • Very busy and certainly no time
  • Doing lots of “stuff” but not confident its the highest value stuff
  • Looking for sales growth..but frustrated as its illusive or very expensive.
  • Wasting time fixing/compensating poor implementation of initiatives
  • More time thinking about the “cost” rather than “value”

Sound familiar? M&T Growth Partners have never found data we couldn’t work with. Sometimes its not perfect but its workable. We have never failed to find opportunity and loads of it. More importantly a deep dive into your data can tell you where you are wasting resources too. It simplifies a business that has become complex.

What a client gets are:

  • Quantification of issues and what its costing. How big is the hole in profits?
  • Insights on how to fix the issues.
  • What these opportunities are worth
  • A predictive model of the future. In steady state and if opportunities are fixed.
  • A blueprint for growth. An action plan.

We charge a fixed fee for the above stages and some clients may qualify for M&T to work on a performance basis for ongoing implementation. We back ourselves with the right clients.

With experience in many sectors we will have come across a business like yours.

If you have more than 2000 customers, their details and regular transactions (buy something) more than once per year then you have a big upside sitting unrealised in your business. Its likely you are missing the BIG OPPORTUNITY to fuel the next stage of your growth.

Two to three years of invoices and a customer file in digital format are needed. That’s all. If you have information on quotes, meetings, services and any other forms of interactions then great but its not essential.

7
Mar

Every company can achieve growth immediately, by looking within

7 March 2017 Posted by Tim Stanford Blog

There are rivers of gold sitting in most companies totally unrealised.
Over the years we have worked with large multinationals, big locally based corporate’s and mid sized local businesses.

They all have one thing in common. They leave a lot of untapped revenue on the table.

Why…? Maybe because they have been conditioned to think that the way to grow is through new customer acquisition or to introduce new products or services.
And while these are both valid growth measures they both come at a significant cost and risk.

More often than not existing customers are easier to focus on.
They know you, are presumably reasonably happy with what you are providing them… plus you have a whole lot of knowledge about them.

And it is in the area of knowledge and their buying behaviour that you can exploit to gain an increased share of wallet.

In the case of a major finance company we found that by identifying the repayment behaviour of customers we were then able to profile those that represented better up sell potential, and conversely those that were effectively of little value to the business.
The knowledge then allowed us to frame products and messaging only to those customers that presented future value.
Resulting in an improved level of lifetime value per customer.

For an eCommerce business in the IT space we profiled customers by range of products purchased in the past, and identified categories not previously purchased or lapsed.
The opportunities were then evaluated to ascertain the unrealised revenue not being achieved just from the current customer base.
It presented the business with an account plan by customer, requiring minimal marketing cost or risk to achieve.

Typically a company has most of the data required to analyse its unlocked value of opportunities.
It may be housed in different data sets or it may be in different formats.
Bringing it together into an overview by customer, customer type and by aggregated current and future sales is the basis upon which we then seek to develop insights and actions to better harness the customer base.

Our bespoke solution is a comprehensive Growth Probe that presents you with the sales composition of your customers, an estimate of the share of wallet that you enjoy and a forecast of the untapped revenue.

A small B2B company in Adelaide is now re structuring its sales strategies as a result of a Growth Probe (see graph above) identifying there were many cross sell opportunities not being captured, and many smaller transaction types that could be migrated into a self serve platform. The latter being more cost effective to service and potentially offering increased frequency of purchase.

The Growth Probe analysis is an inexpensive way to get an objective, clear picture of the unlocked revenue value in your business.
It comes with a guarantee that if the Growth Probe cannot demonstrate at least a $400,000 of additional sales revenue then it will be provided for no charge.

If you are interested in seeing first hand how a Growth Probe is presented, and the level of depth it covers we are only too pleased to take you through a sample version.

It may well be the most important analysis that can accelerate your revenue growth quickly.

To find out more about how a Growth Probe might help you visit www.mandtgp.com