How To Double Your Business
Posted by Nathan Sloan in Business 101, How To, Most Popular Posts
This post was inspired by the work of the great Jay Abraham. America’s top business growth specialist who has been responsible for over half a billion dollars of increased sales.
In this post I will be showing you exactly how to double your business which may not be hard as you might think.
The best thing about learning from the best teaches is that they make complicated processes and make them very simple to understand. Let’s begin.
How To Double Your Business
How many ways do you think there are to grow a business? 10? 100? 1000?
I have good news for you…
There are only 3 ways to grow a business.
- Increase the number of customers
- Increase the average order size
- Increase the number of times people buy
Knowing that there is only 3 ways to grow a business makes it so much easier to double your current business.
Here Are The Numbers
Let us take a look at each leverage point more closely. Let us say you have 100 customers buying a product that costs $100 and they buy from you once per year. Here is how it looks.
100 Sales x $100 x 1 per year = $10,000
So far so good? What we are going to do now is apply some of the business growth techniques below over the next month and increase each metric by 25%. Here is how it now looks with the new improvements.
125 Sales x $125 x 1.25 per year = $ 19,531
As you can see, by increasing each metric by just 25% you pretty much double the business!
Right, here are some ways in which you can increase each of these three leverage points by at least 25% to 500%.
How To Increase the Number of Customers
You will find that the very best business strategies are always the simplest. Here are three ways in which you can double your current customer base.
1. Double What Is Already Working
The fastest way to increase your customer base is simply to take a look at what is already working for you and do more of it. If there is a particular traffic channel that is outperforming the rest, double it. It really is that simple. Go look at the numbers.
2. Stop Doing What Isn’t Working
This is another devastatingly simple but effective strategy. Having looked at your current traffic channels, find out what is not working and stop doing it! Anything you are spending time or money on and is not working, stop doing it right now.
3. Increase Your Conversion Rate
Another way to get twice as many customers very quickly is to increase your conversion rate. It is so important to get in to the habit of split testing everything you do. Your website should ideally have two variations of everything. One will be out performing the other and making more sales. Again delete what isn’t working so well and then test another version.
How To Increase the Average Order Size
The next leverage point is all about increasing the average order size. Here are three great strategies.
1. Target Better Prospects
Again very simple, however most businesses do not do it. There are people out there who do not like spending $100 on anything. There are also people who would spend $100 at the drop of a hat if it would give them a good return. Find out where those people hang out and tailor your marketing to that specific prospect.
2. Increase Prices
I would say 90% of business under value what they offer. Price is a very interesting leverage point. There are so many case studies where people have sold more items by having a higher price point. This is due to what people perceive is valuable. If it is expensive then it must be good. Test it.
3. Up/Down/Cross Sell
If you have another similar product that would help that person get a better faster result then you are doing them a dis-service by not making it available to them. Offer a companion product with the main product and a percentage of people will buy.
How To Increase the Number of Times People Buy
The final leverage point is all about how to increase the number of times people return to buy from you. This is a massively underutilized strategy. Too many business owners obsess with just getting new customers. Remember this: Your very best customer is the one you already have.
1. Add a Recurring Component
Recurring products and services are the secret to real wealth. Take a look at what your competitors are doing for ideas. Is there a way you can really improve this person’s life that also happens to have a recurring component to it? If so offer it.
2. Convert People To Multi Product Buyers
If you already have a customer who know, like and trust you and you have another product that they would really benefit from, let them know about. Your goal is to give your customers the very best outcome you can. If you have these solutions, give it to them.
3. Make More Offers
This really is the bottom line. If you want to make more income, make more offers. Very simple and very effective. The one caveat is that your solutions should be awesome and genuinely help that person and improve their life in some way.
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Nathan Sloan
