What’s your best source of great leads for your small business?

Do you know?

Your business relies of leads. Leads that become qualified and then convert to sales. Without these leads, you will eventually lose all your clients and your business will go under – harsh but fair.

If you understand where your best leads come from, you can do more of that marketing. You will grow your business with a high return on investment from your marketing. Do you know your best source of leads for your business?  Is the source with the highest number of leads also the one that generates the most business? Read more

Does your marketing support your business goals?

You have goals for your business.

You may want to sell your business in five years’ time. Perhaps you want to keep growing, simply to see how big you can get. Whatever your goal, you have to have a marketing strategy that supports your business goals. Let’s look at whether your marketing will support your goals. Read more

Mathematics will help your small business improve its marketing

Almost all small businesses worry about sales levels; indeed all large businesses worry about sales levels as well, but as I work with small businesses lets stick to them.

There is a way to be more certain about sales levels and that is through the use of simple mathematics. Let’s look at how mathematics can help small businesses.

As a small business owner, you will know how much profit you need to make each month in order to pay the bills. Now lets work backwards:

  • From your profit margin, you can then calculate how much turnover you need to generate.
  • From your turnover you can work out how many sales you need to make, to current or new clients
  • From the sales figure you can see how many prospects you need to talk to about how you can help them.
  • From your prospects figures you should then be able to see how much resource needs to be committed to generating interest in your services.
    • The amount of traffic to your website
    • The number of outbound sales calls
    • The level of interaction on your social media platforms

Let’s calculate the figures for an example company, which sells cufflinks to retailers:

  • Money needed each month: £3,000
  • Profit margin: 60%, so the company needs to generate £5,000 in sales
  • At £50 a pair (they’re nice cufflinks), that’s 100 units per month
  • Every other retailer they talk to buys, on average, 10 pairs of cufflinks, and they have a good number of retailers who buy each month. 60% of sales come from repeat customers, so this takes care of sales for 60 units per month.
  • That leaves a further 40 units to sell, with a close rate of 50%, so they need to talk to 8 different retailers every month.
  • As their website isn’t an e-commerce site, retailers have to call to discuss their needs. On average 50 people look at the site for every person to pick up the phone so they need 400 visits per month
  • At the moment the website gets 250 unique visits per month

From here you can see what work needs to be done: the company needs to develop another 150, or more, unique visitors to their website.

If you can do these calculations for your business, that’s great and I hope this helps.  If you can’t please get in touch and I will be happy to work with you on developing the numbers

 

Which routes to market work best for you?

Your marketing budget is precious and you need to ensure it provides a great return on investment for you.  When was the last time you reviewed the performance of each route to market? Do you know which routes to market work best?

You will be using a number of different routes to market with, potentially, multiple campaigns running. Some of them will produce great results and you will be really busy dealing with the sales enquiries and the resulting work so will you have time to monitor the performance of your other marketing activities?

If some of your marketing is not delivering a good ROI, why keep it going?  The money, or time, you use on this campaign can be used for two alternatives:

  • improving your bottom line.  Money not spent goes straight back into your profits
  • Generating more money.  Why not spend it on increasing the marketing activity that is generating new business

If you haven’t recently reviewed the performance of each marketing campaign, you could have been wasting money for quite some time. It’s vital you know your best routes to market. Don’t delay any longer.