“I need more customers!”
That’s been the underlying thought of every business owner since the creation of capitalism.
On the surface it makes sense. The more paying customers you have, the larger your revenue.
It’s true that it’s usually good to prioritize bringing in new business. We’ve even wrote a whole report on how to do it.
But for over three years we’ve helped companies add $300,000 to $1,000,000 in additional sales within 12 months. During that time we’ve learned that focusing on bringing in new customers is not always the best strategy.
In fact, it can distract you from easier and quicker ways to supercharge your growth.
There are two situations in particular where this tends to be the case.
Situation 1: You have a business that’s grown successfully for the past few years.
You’ve acquired more customers, grew your brand awareness, and scaled your marketing.
But suddenly everything has slowed down.
The cost per sale is climbing at a dangerous speed. Competitors have started to respond to your success. All the low-hanging fruit is gone, so you have to fight for every new sale.
Situation 2: You have a business that operates on slim margins.
Slim margins encompasses more businesses than most people realize.
For instance, you may have a service based company. Every client means hours of extra work. But, those clients might not pay enough to bring on additional staff.
Eventually, you’re going to hit capacity. But even though you’ll be fully booked, you won’t be in a position to grow. You won’t have the time or money you need to move forward.
So when we say “slim margins”, we’re talking about all the resources you need to grow. Money, time, attention, staff, etc.
In both situations, bringing on new customers is either very difficult or counterproductive.
But a solution is needed. Businesses that don’t grow will become stagnant. They might last for a little while, but sooner or later, they’ll be killed by a competitor whose grown too big to fight.
We’ve created this post to give you an alternative option.
We’re going to start with the overall idea. How to grow without adding extra clients.
That means you won’t need to learn a new marketing system, increase your ad spend, or hire an agency. Plus, this strategy is doable for any business.
Afterward, we’ll give you three actionable steps you can use to implement this idea right away. We’ll also break down each step in detail.
By the end, you’ll have a clear map towards bigger profits.
The Simple Way To Bring In More Money
What we’re about to discuss is going to seem simple at first. But the fact is, no matter how obvious it seems, most businesses don’t pursue it.
Some companies claim that they’re too busy trying to generate new sales to focus on anything else. Others want to try it but aren’t sure how to implement it for themselves.
But it’s vital to execute on this idea if you’re serious about growing your business. And we’re going to give you all the tools you need to do it for yourself.
The idea we’re talking about is…maximizing your revenue per customer.
Let me be clear. This is NOT about lowering the quality of your product or service to cut costs. You should never compromise your ability to deliver results to your market.
Instead, it’s about continually helping your customers solve their problems. Which will lead to more sales.
Too many businesses see their relationship with their customers as “one and done”. The successful businesses realize that every customer is a mutually beneficial lifelong connection.
Now you may be thinking that you only have one product or service to offer. Or that you only offer a once-in-a-lifetime service.
Don’t worry, I’m about to go over three ways that you can bring more value to your market.
Some of which won’t even require any work on your part.
Specifically, we’re going to go over:
- Implementing An Upsell Process: We’ve talked to many businesses that just hope their customers will buy more of what they offer. Instead, there’s a strategy to lead your clients to everything they need.
- Creating Affiliate Deals And Joint Ventures: Partnering with other companies is a great way to increase your revenue. We’ll go over how to find the right businesses to work with.
- Continually Nurture Your Clients: It’s possible to keep your clients coming back for 1, 3, and 10 years down the road or more. We’ll explain how.
Study the three sections you’re about to read and take some time to think about how they apply to your company.
Even if they seem obvious, ask yourself if you’ve implemented them. If you haven’t…get to work!
Have An Upsell Process
There are two big mistakes that we see entrepreneurs make.
- Revolving their entire business around one product or service
- Just hoping that their customer will want to buy everything they offer
In both cases, those entrepreneurs are leaving money on the table.
Even worse, they may be doing a disservice to their clients.
Imagine I brought my car in for an oil change. The mechanic noticed that I needed new brakes, but didn’t suggest anything.
Instead, he just stood in front of me hoping I’d say “by the way I want to replace my brakes”.
He’d be an awful mechanic. But many businesses run the same way!
To make sure this doesn’t happen in your company you need an upsell process.
It’s a system that makes sure your clients get offered everything they need at the right time. Just by having this system, you’ll take a big step in maximizing the ROI you get from every customer.
Plus, if you do it correctly your clients will appreciate it. Because you’re solving their problems and bringing more value to their lives.
So here’s how you do it.
Start by taking stock of everything you offer. Categorize each product or service into a “front-end” offer or an “upsell”.
Here are some examples to make this easier.
A routine cleaning might be the front-end offer for a dentist. He can then offer a discount on teeth whitening if they book it right then and there.
A web designer’s front end could be the creation or redesign of a website. Then he upsells ongoing SEO maintenance.
A real estate agent buys a house for their clients. Then, through a partner, they offer them moving services.
The front-end is what most of your clients will come to you for. The upsell is what you’ll offer them after they buy the front-end if it makes sense.
If you don’t have an upsell think about the next logical step in solving your clients’ problems. Or how to improve the experience. Or make the offer even more enticing. Use that to make a new product or service.
If you don’t have the bandwidth, that’s fine. We’ll go over that in the next section.
Figure out your front-ends and upsells. Then, incorporate them into your sales process.
Depending on the product or service there are two times where you may offer the upsell.
The first is right after they bought the front end.
The second is after you delivered them the results they wanted.
If the right place isn’t obvious, experiment with both and see which one works better. You may even find that presenting the upsell both times works best.
(By the way…you can have an upsell to an upsell!)
Remember to keep track of where your revenue comes from. How much the front end brings vs how much the upsells bring in.
You may find that it’s more profitable to offer the front-end at cost. So you can capture more of the market, and make money off the back-end.
Affiliate Deals and Joint Ventures
There’s a reason that the upsell process is so powerful.
The easiest people to sell to, are the ones that have already bought something from you.
They already trust you enough to give you their money. You’ve built a sense of rapport and connection. In some cases, you’ve already delivered results so they know you’re reliable.
You can monetize that trust even further with Affiliate Deals and Joint Ventures (JVs). They’re also a great substitute if your company isn’t in a position to offer an upsell by itself.
There are plenty of services or products related to your business that you don’t provide. But you can act as a “trusted guide”, and point your clients to the very best providers.
In return, those providers give you a cut of the business that you bring them.
A wedding planner could point their clients to the best travel agent to plan their honeymoon.
An investment advisor might partner up with a CPA.
A personal trainer would find that many of his clients could use the help of a massage therapist.
It goes without saying that your partners should be top quality. Remember, if you refer them, their actions will reflect directly upon you.
There are a few ways to structure these partnerships:
- Create a JV: This is often defined as a partnership between two businesses that came together for a new project. This structure is best used when there’s a high level of involvement on both parties. Especially when a great deal of sensitive data is being shared, or if there’s a revenue share agreement.
- Affiliate Deals: This is a less involved partnership. Essentially, you “sell” their services to your customers and they give you a cut of the sale. You might either present them as part of your company’s services or just call them a trusted partner.
- Advertising Deals: This can work if you have a physical location or a highly visited website. They’ll leave advertisements for their services that your customers can see in return for a flat fee. There are two tricks to keep in mind. Make sure the advertiser has a way to track the success of an ad. Either through a coupon code, unique offer, etc. Also – point your customers to those ads. Your partner will be happy to keep paying the flat fee if the ROI is there.
We’ve seen numerous JVs and Affiliate Deals get put together in our Mastermind Program to great effect.
So if you implement partnerships and upsells, you’ll have various ways to multiply the ROI you get from every client.
Now let’s talk about how you can keep monetizing them for years.
Nurturing Your Clients
Far too many businesses forget about their clients after they delivered their purchase.
At most, they’ll send them messages about new deals and discounts. Or the occasional email about a new product they’re now offering.
But they’re throwing away a valuable relationship. Essentially, they have to rebuild trust every time they want to sell something new. Or tell their customers about a new partner they’re now working with.
Think about a wedding planner who keeps in touch with her clients for years. If she delivered a perfect wedding to them, she’ll be able to monetize that trust for years.
With the right partner she can sell them:
- Their honeymoon
- Their first-house
- Planning an anniversary
- Daycare services
It doesn’t take that much work to accomplish this.
All you have to do is keep in touch with your clients, via email, social media, direct mail, blog posts, and so on.
Help them solve problems, give them insight, and tell them important news.
If you do that, they’ll be much more open to hearing about new deals and offers.
How often you contact them will depend on your business and the context of your message.
A personal trainer might send a “tip of the week” to help their current and past clients keep on track with their fitness goals.
Nobody wants to hear from their plumber every week.
But they’ll appreciate a quick message every month about a cheap way to keep their home well maintained.
And they’ll really appreciate a reminder to keep the water running during the middle of winter so their pipes don’t burst.
Finding the right frequency will take some experimentation. Get some feedback from your clients. Ask them what they would find helpful and how often they’d like to hear from you.
This is a long-term project, but you will see the pay-off for years to come.
Putting It All Together
Your next step is to integrate all three tactics into your business. If you don’t you’re passing up on some of the easiest revenue your business could possibly generate.
Plus, you’re ignoring your responsibility to serve your clients to the best of your ability.
This type of approach to business growth is one of the things we teach in The Mastermind program. We offer a complete growth system that helps you bring in an additional $300,000 to $1,000,000 within 12 months.
If you found value in this post, we’d like to see if you’d be a good fit for our program. There’s a limit to how many companies that can be in the program at one time. So we only work with the businesses that we’re confident we can help grow.