Los Angeles, CA (PRWEB) May 29, 2012
Co-founder and President of Growthink Inc., Dave Lavinsky, has revealed 4 proven methods that any entrepreneur can use to accelerate the growth of their business.
Lavinsky encourages entrepreneurs to approach his methods with an open mind and a new create outlook in order to help take their business to the next level.
"I have outlined 4 powerful strategies to help increase your company's revenues, net profit and overall value," said the President of Growthink Inc., a leading entrepreneurial consulting firm that offers a extensive suite of services and products that solve the key needs of entrepreneurs and help accelerate business growth.
"Importantly, don't discount any of these ideas. It's too easy to say 'I'm already doing that,' or 'that won't work in MY business.' When, in fact, in most cases you can 1) do a better job doing what you're doing, and/or 2) creatively adapt the idea in your business," said Lavinsky.
Lavinsky's four methods to achieve faster business growth are as follows:
#1 Sell to and Serve More People
"This one is obvious: get more customers," says Lavinsky. "So break it down further and look into all the possible channels by which you can advertise and reach new customers. Print, internet, signs, trade shows, direct mail, and so on."
"If you're like most of us, you're probably advertising in some places but not yet in others. You need to start testing lots of different marketing channels to find new ones that can work for you. Start with the one that, as best you can tell, stands out as the one most likely to pay off (getting the most qualified people to contact you per dollar spent)."
"Remember: the more marketing campaigns you try, the more likely it is you'll find the few that are solid gold. And these oftentimes become long-term assets, generating you profits month-after-month, year-after-year," said Lavinsky.
#2 Increase Average Order Size
"Restaurants know this one well. Once someone has come in to your store (or online property, or calls you) your goal is to maximize their total order amount. In doing so, you should simultaneously maximize your revenues and completely fulfill the needs of your customer," says Lavinsky.
And according to Lavinsky, "it doesn't have to be done obnoxiously. For example, when you're in a restaurant and the waiter suggests entrees, appetizers and/or asks if you want dessert, it's not seen as being pushy, and maximizes the restaurant's profits."
"Another example of this you may have seen if you've rented a U-Haul or moving van. In those stores, you've probably noticed all the packing and moving supplies they sell. You could add to your customers' order sizes by finding out what accessories or related items they might need, and have them available."
"Online, you can see this done when you're adding items to your cart and going through 'checkout.' Often, other items are suggested at the last minute when you're in buying mode. Amazon.com is the master of suggesting products (think "Those who bought X also liked...") and it's no wonder they have one of the highest conversion rates among online stores," he said.
3. Increase Order Frequency
Lavinsky encourages entrepreneurs to think about how frequently their customers will need their product or service.
"Is it something totally out of your control, like a real estate client not needing to buy another house for several years? Or are there things within your control that can help customers to come in more often or purchase more often from you, like a restaurant inviting its customers in for specials on slow nights?"
Loyalty and reward programs is one way to achieve this, according to Lavinsky. "As an example, most coffee shops will give you a card to punch each time you buy a coffee to get the 10th one free. If you have 7 of 10 punches already, you know you'll be a little more likely to choose that place over others to get your reward sooner."
Lavinsky also recommends that continuity programs are offered wherever possible. "If you can offer any kind of product or service on a recurring, monthly basis... do it. A winery or liquor store could offer a wine-of-the-month club. Bakeries can offer weekly batches of cookies to local businesses for team meetings," he said.
"The odds are that whatever you're offering, a certain percentage of people want it every month like clockwork and will pay accordingly for it."
4. Increase your Monetization Methods
Lavinsky encourages entrepreneurs to look for byproducts in their business that might be of value to someone else.
"An example of this is when sawmills and furniture manufacturers stopped throwing away the tons of sawdust accumulating on their floors, and began selling it to other businesses who could use it (such as for making "starter logs" for burning in your fireplace)," he said.
"Another interesting example is a group of real estate investors who built a brand around their vanity number, 1-800-NO-AGENT, offering homeowners a chance to sell their house to them at a discount instead of listing it and waiting. They found they could sell the leads (those who responded but didn't' want to sell to them) to local real estate agents (who would contact them to see if they could represent them). They company ended up generating nearly as much revenue from selling 'dead' leads as it did from their core business of 'flipping' houses!"
"Doubling revenues just by thinking outside the box...that'll add value to your company," Lavinsky says.
Lavinsky urges entrepreneurs to identify how they can implement these methods into their own business to increase revenues and profits.
"Add one new idea to your To Do list to accomplish in the next 30 days. And you'll start seeing the benefits!"
Growthink, Inc. is a leading provider of business planning services. Growthink has also developed several training products and tools for entrepreneurs, including a simple business plan template, sample marketing plan template, and strategic planning template. To learn more about Growthink's products and services, call 800-506-5728.