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5 Ways to Increase Profits |
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Written by Gavin Allday
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There are five key ways to proactively increase profits in your business:
- Increase the number of leads you generate
- Increase your conversion rate
- Increase the average number of transactions per customer
- Increase the average transaction value
- Increase your profit margin
The question is, could you increase each of these areas by just 10%?
Let's take a look at an example:
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Current
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Target
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Leads
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100
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110
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Conversion Rate
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20%
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30%
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Number of Customers
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20
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33
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Average Customer Transactions
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2
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2.2
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Average Transaction Value
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1000
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1100
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Turnover
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£40,000
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£79,860
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Profit Margin
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40%
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50%
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Profit
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£16,000
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£39,930
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As you can see, a 10% increase in each of the five areas produces more than double the profit at the bottom of the table.
To
obtain further tips on how to increase each of these areas, visit the
Training Calendar and have a look for the 'What Next' Course.
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