Revenue was once as simple as the money you bring into your business from goods and services offered by your business. It has evolved to include things like strategic partners, affiliate partnerships, etc… Bringing in money is one thing. How much of it you get to keep after expense, is another. In a word, it’s profit. So if you didn’t catch that relationship, it is possible to bring in a lot of money (revenue) into your business, but not be able to keep a lot of it (profit). It begs a question doesn’t it: how do you generate more profit?
A great first step to generate more profit in your business is to lower your expenses. What programs, products, and services are you paying for that you do not currently utilize in your business? Along this same vein, look at your list of automatic payments. What is automatically coming out of your revenue every month that you have forgotten about, do not use, or do not need? Is there a comparable program, product, or service that counts less but will still yield the results that you need? New options are created regularly, but how often are you checking for the possible incorporation of new options? Evaluate your expenses for ways to keep more money.
A no-brainer way to create more profit in your business is to bring in more money. The quickest way to do this is to raise the prices on your current business offerings. Begin to market or increase your current marketing to get your current offerings in front of more people that need and would invest them. The more people buying, the more money your business makes. You can also do create this result by adding more programs, products, and/or services to your business offerings. You don’t have to pick one of these strategies, you can implement them all! Which will you start with?
As mentioned earlier, you can create more money in your business through partnerships. This can look like sponsorships, affiliate agreements, providing your offerings to another business (B2B) rather than only to single clients (B2C), and getting on someone else’s platform to sell your offerings. What other partnerships can you implement?
Should you need support in choosing, planning, and executing a way to increase your profits, please don’t pass up the opportunity to have a free conversation with me. Let’s talk.
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