| There is nothing more exciting than taking the | | | | getting you the clients you want--time to get |
| entrepreneurial plunge and building your own | | | | more of them. One thing to consider--lead |
| business. It is a rare combination of anxiety, | | | | generation requires an investment. Lead |
| excitement, and a little bit of "all in" Texas Holdem. | | | | generation is the one you have to watch before |
| One of the consistent pursuits for businesses is | | | | the financial investment gets away from you. |
| more customers. Without customers, frankly, | | | | What are you doing to drive traffic to your |
| there is no business. However, once a business is | | | | business?o Conversion Rate--this is the process of |
| up and running, there is a structured growth | | | | turning those qualified leads into actual paying |
| methodology that will not only lead to more | | | | customers. The reality is that you can drive |
| customers - but also profitable customers | | | | traffic to your business all day--but if you don't |
| (because, it is not necessarily how much you sell - | | | | convert them to paying customers it is merely an |
| but rather how much you get to keep). We find | | | | activity in marketing (which won't pay the bills). |
| that there are six predictable steps in building a | | | | Some ideas to improve your conversion rate:o |
| business which include: | | | | Ask for the sale--too many people wait for the |
| 1. Mastery--understanding the way the business | | | | customer to ask if they can buyo Document |
| works | | | | your sales process--how does it work and what |
| 2. Niche--developing a marketplace where price is | | | | are the best sales people doing to get the great |
| not the key competitive angle | | | | results?o Test and measure your conversion |
| 3. Leverage--putting process in place for | | | | rates--where is the biggest opportunity to |
| consistency | | | | improve. If you double your conversion rate, you |
| 4. Team--having the right people on board so that | | | | can double your sales with zero investment in |
| as the owner you can work fewer hours without | | | | marketing. |
| panic | | | | For your business to succeed--you have to have |
| 5. Synergy--positioning for sale or GM | | | | sales. Understanding who you want to sell to and |
| 6. Investor--freedom as entrepreneur | | | | how well you convert them, will go a long way to |
| In this article, we will address the first three - | | | | building a great business. |
| Mastery, Niche and Leverage. | | | | Leverage |
| Mastery--focuses on what is happening inside the | | | | OK, you understand the inner workings of your |
| four walls of the business. Topics that you need | | | | business and have raised your sales working with |
| to have under control in mastery include:o | | | | the kinds of clients you love--congratulations. You |
| Margin--do you know which products you make | | | | are well on your way to owning a commercial |
| the most money on and which ones you don't.?o | | | | profitable enterprise that runs without you. |
| Testing & measuring--do you know the | | | | The increase in sales is going to put pressure on |
| numbers in your business? Do you know if your | | | | internal systems to become more effective and |
| current advertising strategies are actually driving | | | | more efficient. This is what the LEVERAGE level is |
| leads to your business? If not, how do you know | | | | all about. What we are going to accomplish is |
| whether to continue investing in them?o | | | | basically teaching paper how the prime processes |
| Efficiency--how does your product or service | | | | run in your business. The benefits of doing this |
| move through your organization? Is it "turning | | | | include:o Owner Saves Time--now, instead of |
| around" as fast as you expect it to or is there an | | | | answering each question you are going to be able |
| opportunity for a great deal of improvement?o | | | | to reduce your hours as the processes (and |
| Financial mastery--do you have a feel for where | | | | decision criteria) are well documented for 75+% |
| you are from a financial perspective. Specifically, | | | | of what happens in your business. Your team can |
| do you understand your cash gap (difference | | | | make the decisions on your behalf in the same |
| between when you get paid and when you pay | | | | manner you would make themo New Team |
| your suppliers and team)? Do you have a cash | | | | Ramps Up Faster--as you bring people into the |
| flow budget with reserves to tap into when you | | | | organization (or move them around within it) they |
| need to? Do you have an annual budget for | | | | will be able to accomplish their roles faster as |
| expenditures that you review on a monthly basis | | | | there is a proven manual for them to follow. This |
| (at a minimum) as well as a consistent method | | | | will save you money on training as it will be |
| for tracking the expenses?o Customer database | | | | quicker and more effectiveo Customer |
| management--do you have a record of your | | | | Experiences Consistency--one of the largest |
| current and past customers that you can | | | | challenges for a business is consistency as |
| manipulate for information? The easiest customer | | | | experienced by the customer. Think of a |
| to sell to is one that has bought from you before. | | | | restaurant you found that was great when you |
| Can you identify your "A" & "B" clients (the | | | | went, but not as great when you went back with |
| kinds you really want more of)? | | | | your friends. Inconsistency can kill a business as |
| Before you increase sales in your business, make | | | | customers do not come back--and don't tell you |
| sure your business is ready to handle the | | | | why. The LEVERAGE level allows you to build a |
| profitable increase. | | | | repeatable experience for your customers that |
| Niche | | | | will turn them into raving fans who will actually |
| Now that you have the inside of the business in | | | | help you build your business. |
| shape with good understanding of the clients you | | | | Entrepreneurs start business for a variety of |
| like to work with--it is time to go get more of | | | | reasons - more time, more money, leaving a |
| them. | | | | legacy, etc. I have yet to run into an |
| Niche is all about growing the revenue number. It | | | | entrepreneur who started a business because |
| primarily focuses on lead generation and | | | | they wanted more stress, less money and more |
| conversion ratios.o Lead Generation- how do you | | | | work. |
| currently drive people to your business? If you | | | | By following the Six Steps, and building a business |
| are not sure, ask this question of every person | | | | correctly, an entrepreneur can truly have a |
| that comes into your business--"do you mind if I | | | | Commercial Profitable Enterprise that Works |
| ask you how you heard about us?". Once you | | | | Without Them. |
| know what marketing is working well for you and | | | | |