Page 203 - merged.pdf

CHAPTER 6 HOW TO GENERATE MILLIONS IN SALES & PROFITS

1) Scrutinize your Profit & Loss statement monthly. See if
there are any unnecessary expenses that can be cut
without affecting product quality and business
performance.

2) Source for lower cost suppliers that can deliver the same
quality and with the same reliability.

3) Create and sell higher premium products and services
and give incentives to your sales team to encourage them.

4) Add more features and value to your current products
and services and raise prices by at least 10%.

5) Order your supplies in bulk to get a lower unit price. For
example, in my company we print 30,000 training
manuals for the entire year, reducing the cost per book
from $10 to just $2.

6) Do not give discounts. Instead, focus on service and value
to convert your customers to buy.

7) Lower your acquisition costs through focusing your
marketing efforts on referrals. Get your existing customers
to bring a friend and give them an incentive for
doing so.

8) Measure the effectiveness of all your advertising and
promotion campaigns. Stop using approaches that do
not work or pull in a low number of leads.

9) Convert variable costs to fixed costs. When you first start
a business, it is always safer to keep most of your costs
variable. This means that you only pay the expense when

194 SECRETS OF BUILDING MULTI-MILLION DOLLAR BUSINESSES