Do your profit cogs have teeth missing?

I sat across the desk from a business owner who has a great business concept.  His business should have been doing a whole lot better than it is.  

I could see this wasn’t because of any ‘financial meltdown’.   It was because some of the ‘cogs’ in his business that should have been producing profit, weren’t ‘meshing’.  And faulty cogs in a business chew relentlessly through profits that should be in the bank.

Now, I love bringing things down to their lowest common denominator.  So I pulled out my pen and asked him for a piece of blank paper ... And found him an extra 240% net profit.

I’ve been doing this for 28 years, so finding that additional profit was fairly straightforward.  It’s something I’ve done with hundreds of businesses. 

In this case …

I looked at his lead generation, and clearly it wasn’t working effectively.  In fact, it wasn’t working at all.  His ads had weak headlines. There was no call to action.  The ads did little to tell his ‘magic story’.  And they did even less for his image.


I showed him that by re-writing his ads, and by making some basic changes to his website, and by proposing a way to double his referrals … he would conservatively increase his sales leads by 85% … with very little effort.


Then I focused on his current conversion of enquiries to sales.  His gut had been telling him this was a weak ‘cog’.  In fact, his people were way worse at converting sales than he, especially over the phone.  They’d take names, send brochures with a form letter, and THINK they were selling.


A simple role play of what NOT TO DO, and an explanation of some supporting sales collateral, and we agreed he would, at the very LEAST, improve his sales hit rate from the present 3 out of ten to 4.  That was ultra conservative.


And while that doesn’t sound much, that small improvement represents a 33% increase in sales.  I believe we can lift it to 6 out of ten personally.


Then I looked at his pricing. He had been way too wary of putting his prices up, but with the new presentation and sales collateral I described, agreed it’d be a snap. I reminded him too that sellers will often have more problem with price than the buyer ever will.


At this point, I stopped the exercise.  I knew that if we continued to add in more ‘profit factors’, his profit potential would look unbelievably huge.  But even that little exercise took his sales from $2,850 a week to some $6,500 a week. And his profits from $950 to over $4,000 … a week.


Here’s the really interesting part in all this...


He’d been holding back from taking his ‘hot business concept’ to other parts of the country, because the profits were too thin.  Now, he could see a whole new profit ‘engine room’ that will allow him to expand gradually, but with absolute confidence.


You know, it’s this pencil and a blank sheet of paper exercise that has kept me buzzing all these years.  In some cases, I see such huge potential, I may well get involved in a JV with the client.  And in this may well be the case here.  


Not every venture qualifies to that level.  But there are some amazing ‘sleepers’ out there with profits waiting to be unlocked.  


In a similar exercise several weeks prior...

By phone this time, I identified the missing ‘cogs’ for an importer of industrial equipment. 

Fixing his processes will take his business from under $2 million to over $6 million in the next twelve to eighteen months.  With an 800% increase in his NET profit line.

Look, before I go on, I've got to say something...

As I write this, I get the sense that it sounds like gratuitous trumpet blowing.  But in truth I'm only stating the facts.  And if I don't tell you the sort of things that I do, it won't get your attention, and that will serve neither of us.


Frankly I see all too many business people missing these opportunities.  They don’t measure the key performance indicators that flag these problems, so they don’t know it’s happening.  Or if they do, they haven’t been able to find ‘marketing’ people who understand that their business IS a piece of machinery, let alone who have the skills to fix it.


I’ve worked with literally hundreds of businesses, doing this.  I’ve owned retail businesses, had equity in a national trade service franchise, worked with professional firms … and I’ve done it over and over again. 


In my seminars, I’ve worked through my examples … such as a lead generation ‘information based’ strategy for a retirement village client that produced a 3,000% increase in enquiry. 

And wrote an ad that produced a 280% increase in sales for an automotive aftermarket company.  And I developed a sales training video program for a national tyre group that DOUBLED their forecourt sales.


For the trade service national franchise group, I developed a selling presentation script which increased the success in conversions to sales by better than 80% for some of the operators, and increased their revenue performance by an average 120%.


My case studies fill my manuals, e-books and online resource library.


Why am I telling you this?

I’d like to offer you an opportunity to have me (and my team) do it for you.
Normally, unless it’s on a profit share basis, I don’t consult one-on-one anymore … but this is different.


First up, I’ve been really taken aback by the overwhelming response we’ve had to this blog. 

One blog entry a few weeks back was featured in the New York Times business blog and a U.S. Chamber of Commerce blog...

But more than that, I've been impressed by the comments coming back from my subscribers and readers. 

There’s clearly a lot of pain out there, and a lot of businesses looking for help.  And for a small window of time, I can provide it.


Second, I’m doing it as an advanced training exercise for my team over the ‘down time’ between now and the end of January. 

So I am looking to do a number of small projects.  For those four to five weeks, we’ll roll our sleeves up and work on the ‘cogs’ for clients’ businesses … helping individual businesses get geared up for a blockbuster 2012.


Third, my experience tells me that in one or more of the projects we’ll review, there will be another ‘sleeper’ … a business 'super success story' waiting to happen.  


If that turns out to be your business, there might be a JV opportunity, ramping up your business to a whole new level, in return for an agreed profit share.


Either way, this is a once a year opportunity.  If you want to take it, you can simply contact us, briefly outline your business and tell us what ‘cogs’ you feel are missing that hold you back from making it a goldmine.


And if we agree it has potential, we’ll roll our sleeves up and get down to the nuts and bolts of how we’d work with you.


How much will having us work on your project cost you?   As a ballpark, it could be in the region of $2,000 to $12,000 … depending on what is entailed.  


But let’s be very clear on something. 

If we do take a project on, we will have VERY clearly mapped out in advance what the potential outcomes will be for you … at best and worst case.  And if it doesn’t show potential to rapidly return you your investment in multiples of net profit increases, we’ll politely decline.


Importantly too, I’ll be personally involved … at every stage.  Including the creation of ‘marketing collateral’, scripting of sales presentations, redesign of websites, providing of sales training tools.  Whatever it takes to make success happen.

As well as identifying those ‘cogs’ that are going to get the ‘business machine’ running at its peak, and that produce the quickest and biggest impact on profits.


And importantly, we will do the actual ‘where the rubber hits the road’ stuff that’s required to IMPLEMENT …


So there you have it … if you’re interested in having us work on your business in our down time between now and the end of January, use the contact button below and we’ll be in touch.


Don’t procrastinate however.  This isn’t a contrived ‘while stocks last … free set of steak knives’ offer.  It’s an honest and straightforward fact that we can ONLY take on a small handful of projects.  We’ll give our all to those projects … but those who aren’t quick to respond will simply miss out.


And without sounding too cute about it, 2012 is going to be a year where businesses will struggle and flounder if they try to operate profitably with ‘inefficient cogs’ … or they can take affirmative action and get solid marketing strategies in place, to guarantee they’ll roar into life in 2012 and produce windfall profits, while others are battening down and pulling back and wondering what hit them.


Again, to flag your interest in this opportunity, use the contact button below and we’ll be in touch.


Either way, my kindest regards.  All the best to you and your business, now and 2012 …


Chris Newton

How to Make Sure Your Invoices Get Paid

As the economy continues to splutter, more of your clients are going to struggle to pay your invoices.  No surprise there.

In fact, those who’ve long been in the habit of using YOUR money to run their businesses (or their lifestyle) will stretch things even more now.  Some will default.

This begs the question... 


How do you make sure you get paid in full, on time?

The best solution of course, is to get paid UP FRONT.  And more on that in a moment.

Regardless though of what your payment terms are now, getting to the front of the payment line is a function of how well you’ve set up the expectation of getting paid. ‘Laying the ground rules’ on being paid.

If, at the beginning of the business transaction, your client senses a casual approach to being paid, that’s what you’ll get.  In contrast, by firmly but nurturously explaining your terms BEFORE providing the service, and then following up immediately if the client misses a due date, you have a far higher likelihood of being paid.

‘Laying the ground rules’ on being paid is something many businesses are uncomfortable with.  And they pay the price later in tardy collections, which then create their own cash flow crises.


Why not get paid up front?

Our own invoicing policy is an agreed first monthly instalment paid before we begin a project, and further instalments at the start of each month.  If it’s a ‘lump sum’ project, we require 50% of the funds upfront.

Of course, to be paid up front, clients need to trust your capabilities to ‘deliver’.  And trust that you’ll go all out to give them an amazing result. 


But the key point is this. 

Create the expectation of being paid up front, educate your clients to the value you’ll deliver, and most will accept this graciously.

On the other hand, if you present your product or service merely as a ‘commodity’, something your clients can get anywhere, you’ll simply invite them to shop around for another supplier who will give them 90 days … or 120 days.


Bottom line?

Be passionate about what you ‘deliver’, and about the value you bring to the table … communicating your ‘value package’, your legendary service, your responsive support, your problem solving strengths and so on … and you’ll create the right expectation in your client.  They simply won’t go anywhere else. 

The alternative is to be a commodity.  And that means, getting to the back of the line!

Proof that you CAN boost your profits in 'recessionary' times

Some weeks back I wrote to you about our classic Breakthrough Marketing Strategies program just re-released from our archives.

I'd like to share excerpts from two of the emails I’ve received since. Not just because they're energizing to read, but also because they highlight how the Breakthrough Marketing Strategies still produce phenomenal results today. Perhaps even more so today.  The first excerpt is from Neil Cavill, a restaurateur.

Hearing both yourself and Paul Dunn in the sample audio track gave me a ‘rush’ … A rush to go back and re-visit my roots in marketing, and to re-visit my original BREAKTHROUGH MARKETING STRATEGIES program I had purchased in the early 90’s.

Back then, after being ‘guided’ (seriously misguided?) by a few marketing companies to double my turnover, I realised their strategies also doubled my overheads and halved my profit.

Getting BREAKTHROUGH MARKETING STRATEGIES re-focused me.

Implementing the strategies meant our restaurant quickly became busier. Even more, we were making more than 5 times more profit than ever before. I worked only the busy shifts and continually ‘marketed’ my business from the outside and more importantly, from within the business.

Chris, I sold my share in the business (after 6 years) for OVER 15 times what I had paid for it!

I’m now back in the restaurant trade and I need my ‘tools’. I tend to follow successful programs, and BMS is the very best I’ve seen. I pulled out my old tapes and two were worn out/ broken, three were missing….presumably in the car that I’d sold in the 90’s!

I contacted the RESULTS CORPORATION and immediately joined the mentoring program. (And thank you too for replacing my old tapes with your new CD program!)

Already, I have put in place a few strategies that have increased turnover by 20-30%.... More will come …WOW!.

Anyone serious about bringing back the ‘love’ of being in business should take advantage of purchasing the BREAKTHROUGH MARKETING STRATEGIES PROGRAM. It has real life examples that are life and business changing.

Again, thank you Chris Newton for helping me out with the CD version and Grand Compendium…It will be worth its weight in GOLD!

Neil Cavill

 
And here's another... from the CEO of one of Australia's most successful Retirement Villages...

In 1993 I was in at the deep end, having just been appointed the manager of The Village Glen in Rosebud on the Mornington Peninsula south of Melbourne.

As a land surveyor who knew nothing about selling retirement units, I was daunted by our list of vacant units (50) after “the recession we had to have”.

Just by good fortune I came across The Results Corporation audio cassette program, “Breakthrough Marketing Strategies”. The investment required back then was $2,500.

This program, which I still use, turned our business around. Our management and sales and marketing “Results” mindset continue to deliver for The Village Glen. We now serve 900 residents in 615 units. And we have 800 active potential clients and a waiting list of cash buyers.

I have no hesitation in recommending this program. Your business will soar if you who are prepared to invest the time to listen and implement the ideas.

Peter Nilsson

Two widely different businesses. Both producing extraordinary profits with Breakthrough Marketing Strategies.
 
Especially NOW, having access to these strategies can be your secret weapon for huge profit growth.
 
The Breakthrough Marketing Strategies program includes an 18 track CD set, workbook and business self-audit questionnaire …
 
PLUS a bonus (electronic version) 942 page information packed Grand Compendium full of worked examples, marketing case studies, before-and-after re-writes of ads, sales letters and sales scripts, and much more.
Collectively they used to sell for $3,500.
 
Now you can get BOTH for just $484. We have just four left from the original print run, so getting in quick would be wise.
 
Incidentally, if you didn’t get to hear the sample ‘snippets’ last time, or want to revisit them, here’s the link: http://www.chrisnewtonblog.blogspot.com/
 
(By the way, some people have difficulty accessing the audio link online.  If that's you, give us a call on +617 3300 6909 and we'll burn a copy for you and mail it out to you.)

Can you communicate with your customers TOO often?

Most people would give a resounding YES to that. To be honest, we too are very protective of the frequency of mailings we do to OUR clients.

It's interesting to note that one of America's most successful stationary mail order companies used to mail its customers 50 TIMES a year.

The guiding rule must be... only mail someone when you genuinely believe you're offering something they'll appreciate receiving. It's RELEVANCE that matters more than frequency

If you'd like more strategies for business success in this global recession request our free Recession Proofing white paper here.

How to mix a 20 TIMES multiplier ingredient into your ads

It’d be fair to say many businesses don’t advertise (especially in tough economic times) because they believe it ‘doesn’t work’. But here’s the rub. In one of our surveys of businesses, almost NO ONE had done any testing of the elements that make an ad WORK. Most especially, they hadn’t tested their headlines or offers.

It’s disconcerting, not only when you consider that running ads is expensive, but because there’s a massive ‘opportunity cost’ of having ads under perform. Especially when testing these elements can MULTIPLY response by 2, 5 or 20 times.

So what’s a ‘great’ headline?

Great headlines are those that GRAB attention, FLAG down a prospect, and COMPEL them to read on. In stark contrast, most ads just say, ‘Here we are, here’s our contact details’. Boring and useless!

DON’T advertise unless you are committed to creating an ad that performs like an ‘engine room for enquiries’. That’s why we spend a LOT of time in Marketing Help Online teaching how to write great headlines.

A quick idea on how to write a good headline

Try studying the ‘mail order’ ads that appear over and over again in the media. (The Sunday supplements are full of them.) If these ads appear often, and they’re genuine ‘direct response ads’, you can be sure they will have been tested to get the most effective headlines, offers and wording.

You’ll quickly see how these advertisers are harnessing the power of a headline, tapping into human nature, and hitting the right ‘nerve’. You’ll get ideas on how your own headline can be improved. And even if your effort doubles your response, or gets 20% more, how bad could that be?

Hit upon the RIGHT headline and your profits go through the roof.

If you'd like more strategies to help you battle the recession, go to www.resultscorporation.com.au