Explaining the 4 Legs of Revenue

In Uncategorizedby wakemanconsultingLeave a Comment

I’ve been thinking about strategic planning and I may have mentioned that last week, but this week I want to take you towards my area of expertise: business growth and revenue.

For a long time, I was unable to create a simple enough framework to build up the idea of a process for revenue that applied to small businesses and large, non-profits and other types of firms, but I think I have a 4 pronged focus that any business can use to rethink their revenue strategy.

Like most things, this is the basics and there are layers within this, but here itis, 4 steps:

1. You come up with a product or service of value that you can offer your market.
2. You identify your customers.
3. You market to them.
4. You close the sale.

Obviously, there is a ton of complexity that fits into each of those areas, but I want to kick start the back of the year by hitting a few keynotes on the basic ideas that support each of these concepts.

Start with value:

This is simple, but in too many cases we forget that the value we provide our customers is essential to them buying from us.

Let’s look at me: I help businesses grow, fast.

I focus on a business outcome and one that is pretty clear.

This is obviously valuable to a lot of businesses.

Does it check that box?

Yes.

What about the original iPod?

Do you remember the ad campaign?

“1000 songs in your pocket.”

That was great.

Shows value and explains everything in 5 words.

This is your job.

Start with your value and make it easy to understand.

Know your customers:

How often do I hear people say that everyone is their customer?

Far too often.

You know what, if everyone is your customer, no one is your customer.

Here’s the thing, even if you have a product that is focused on the mass market, everyone isn’t your market.

Why?

Because you still are focusing on some specific segment in everything you do.

Let’s say you are looking to buy a ticket to a baseball game for the holiday weekend here in the States, if you are marketing there might be a number of different segments of the market for you to communicate with:

  • Families
  • Business folks
  • Groups
  • Long-time supporters
  • Casual supporters

The list can go on and on.

The key is that each of those groups has a specific button you can hit to get them to buy.

And, you need to make sure that your value proposition is pointed at those folks in a way that is meaningful.

Remember, even if you sell to multiple markets everyone needs a tweak on their message.

You aren’t going to talk to the law firm client the same way you are to the family.

You aren’t going to sell to a group the same way you are to a casual fan.

Market to folks:

This is the fun stuff for a lot of people.

But marketing is important and it is about 3 things at its core:

  • Message
  • Targeting
  • Consistency

I could write a book on this, but I’ll give you the Clif Notes this morning:

As I mentioned above with your customers, every segment of your audience is going to need a message that presents your value proposition in a way that is meaningful to the people you are trying to reach.

You need to target your message because everyone is going to be reached in a different manner. You might advertise, you may send direct mail, you might speak, but the key is to know your customer, the important message to share, and where the person is most likely to receive the message in a way that they will engage with it.

Finally, be consistent.

You have to deliver your message consistently.

A Hail Mary isn’t a great marketing strategy. So make a plan and stick with it by delivering your message consistently.

This will vary depending on what you are up to, but set parameters from the start that you can live with and measure results against.

Close the sale:

I’m of the Peter Drucker mindset that if you do a good enough job marketing, you don’t need to sell…but let’s be honest, salespeople aren’t going away.

The final step to generate more revenue is to close the sale.

The art of closing the sale needs its very own series and newsletter, but let’s just say that you have to ask for the business.

There are tons of books on this topic, but I will point you towards my favorite: The Lost Art of Closing by Anthony Iannarino. In lieu of me writing something about closing that is incomplete, check out Anthony’s book.

That’s it though: 4 things to think through when you are thinking about reinventing your revenue or growing your business:

1. Value proposition
2. Who is your customer?
3. Marketing
4. Closing sales

What do you think?

Where in this process are you struggling the most?

Let me know.

Dave

_______________________

Upcoming events:

14 & 15 November in Sydney: Ticketing Professionals Conference Australia delivering the keynote address: “The Courage to Change”!

18 November in Melbourne, Australia: 1-day workshop called: “Fans For Life: Creating and Capturing Fans In Today’s Crowded Marketplace”. For additional information, reply to this email.

25 November in London, England: 1-day workshop called: “Revenue Reimagined: A The Business of Fun Workshop”.

In this full-day workshop, we will work through the how arts, sports, and events organizations can rethink and reimagine their revenue operations from selling more tickets to generating more membership sales, to selling more merchandise, and more. This workshop is a great way to kick off your strategic planning for 2020 and motivate you and your team to take new actions to create change in your organization.

Because this is going to be very hands-on, I’m going to limit this to 20 folks or less. So space is super limited!

Want more information, reply to this email.

I’m going to launch the sales pages for both of these events in Melbourne and London this week, but I wanted to share them with you first.
st

Please follow and like us:
error

Leave a Comment