Your Business Might Be Leaving Money on the Table

Every business aspires to generate more revenue and make more money. But what if there was no huge secret to earning more money to your business? What if with a few small tweaks, you could significantly boost revenue? Well, chances are you can. Believe it or not, lots of businesses inadvertently leave money on the table that could otherwise be picked up. To make sure your business isn’t leaving money on the table, be sure to keep the following in mind.

You Only Send out a Few Emails to Your Prospects

Converting leads takes time, and it is something that, more often than not, can’t be done in a few emails. Did you know that while just a mere 2 and 3 percent of sales close on the first and second call respectively, an impressive 81 percent of sales will close on or after the fifth call? The takeaway is clear: sometimes, it can take awhile to win over a prospect. If you’re giving up after the second or third call, chances are you’re leaving money on the table.

“People are ready to buy at different times and for different reasons, so the best way to go is simply to accept this and stay top of mind with your prospects until they decide that they need what you’re selling,” Shaun Buck explained in Entrepreneur. “You’re not going to understand what your prospects want right away, and in fact, neither will they. It takes time for them to get to know you, your business, and your products or services, just as it takes time for you to get to know them. And until those prospects feel confident that they need what you’re selling — and that yours is the business to hire — they aren’t likely to come on board as paying customers.

Never assume a prospect isn’t interested after a few emails or calls — if you do, you could very well be leaving money on the table.

You’re Being Cheap When It Comes to Marketing

As the old adage goes, you have to spend money to make money. While you don’t necessarily need to throw down millions to have a successful marketing campaign, success does require a fairly substantial commitment of time and resources in most cases. Not sure how much you should be spending on marketing? As a general rule of thumb, you should typically strive aim for somewhere between 10 and 20 percent of your business’s targeted gross revenue. If you’re more established, go for somewhere around 5 percent.

This might seem like a lot, but it’s ultimately worth it. Businesses just end up leaving money on the table when they don’t do enough to make contact with their target audience and boost their brand visibility. No one can buy from you if they’ve never heard of you — even if they have a demand for your product or service. Just make sure you’re spending wisely on activities with a high ROI to maximize your bang for your buck when it comes to marketing.

You’re Not Upselling or Cross-Selling

Upselling and cross-selling are among the easiest and most effective ways to boost revenue. In fact, did you know that Amazon attributes a staggering 35 percent of its revenues to cross-selling? If a customer is already buying from you, it is easier to convince him or her to buy something else from you. Just make sure you keep your customers’ needs and wants in mind so that you offer something that is actually relevant. You should also consider tracking things so that you know what kind of upselling and cross-selling combos are producing results.

“Whether you choose to cross-sell, upsell, or both, strongly consider tracking your data,” Chuck Cohn explained in Forbes. “Which of your products pair well for cross-selling? What features drive your upsells? What moment in the purchasing decision process is the best time to suggest a cross-sell or upsell? Metrics can help you fine-tune this portion of your sales plan, and carefully developed cross-selling and upselling initiatives can enable you to dramatically increase your company’s growth.”

You’re Not Investing in Your Customer Service  

Poor customer service will cost you money. It is estimated that businesses lose a staggering $62 billion a year as a result of poor customer service. When customers experience poor customer service from a business — for example, when they feel underappreciated, when staff is rude or unhelpful, when they have to be redirected to various agents, when they are put on hold for too long, or when they can’t actually get through to a person on the phone — they often take their business elsewhere. A study by NewVoiceMedia found that close to half of all consumers had switched from one business to another because of poor customers service, while over two-thirds had switched more than once.

These days, it is not just about call centers. Great customer service means making your brand and your business available to your customers across a variety of different channels, including social media, email, and live chat. You need to invest in getting great customer support going across these channels. A failure to do so translates into lost dollars.

“If you don’t provide a good customer service experience, someone else out there is going to gain half of your existing customers.” Stephen Hyken explained in Forbes. “For many companies, the big problem is in the customer support center. And it’s not just phone calls. Today, there are multiple channels that customers can use to reach out to the companies they do business with. Many customers are finding the phone to be a problem for the reasons listed above. So, they turn to other channels such as instant chat, email, social media, and self-service solutions. Even if your company doesn’t have a customer support center, you are not immune from losing business due to bad customer service. Every statistic and fact out there indicates that service gives any company a competitive advantage, and the lack of it can be the demise of the business.”

Ultimately, great customer service is one of the best ways to ensure that you aren’t leaving any money on the table and that you are able to fully capitalize on demand for your products and services.

In conclusion, from making more sustained content with leads to diverting more resources to your customer service, small changes to your business can have significant impacts, helping you to pick up any money left on the table. You will see increased revenues and an improved bottom line, which is advantageous for the long-term health of your business.

To learn more, contact 10twelve.