By: Robert Hackman | 4C Consulting May 7, 2019
Is your strategy for growth upside down?
It’s surprising how many companies believe that focusing on selling new products and services, to new customers is their best option for growth. I find it perplexing, because this is most often the riskiest, hardest, longest and most expensive way to increase Sales. The strategies are upside down. Yet, I hear it over-and-over again.
Would you rather:
1. Reduce your Risk?
2. Take the easier route?
3. Shorten your Sales Cycle?
4. Spend less Money?
If so, please keep this fundamental rule of thumb in mind when prioritizing the initiatives that make up your Sales and Marketing Strategies.
1. The easiest, fastest, best way to grow revenues is by selling more of the same products and services to the same customers
WHY?: You are already in relationship with them and have already earned their trust with your product, service offerings and salesmanship. In this scenario, the most difficult obstacles to generating sales have already been overcome.
2. The second-best way to increase Sales, is selling something New to an Existing Customer. Because you are already in relationship to them and they have already extended trust to you.
WHY?: You have trust and rapport. You are now requesting they expand their existing trust in your company into other areas.
3. The third-best way to grow revenues involves selling your
Existing Product or Service, for which you already have market credibility, to a New Customer.
WHY?: While you have not yet established a relationship with them, you do have a proven track record of success servicing other customers that share your problems and aspirations, with your existing areas of expertise.
4. The riskiest, most difficult and expensive way to grow revenues is Selling Something New to a New Customer.
WHY?: In this scenario you need to develop both the trust of your customer and your credibility in bringing your particular product or service to the market.
You are not able to rely on either your existing relationship or proven track record in the market, as a point of strength from which to leverage your Selling and Marketing efforts.
Very little, if any, focus, energy and effort should be focused on this fourth component of Sales until the top three have been exhausted. Choosing to start here would be upside down.
Key Takeaways:
Consider following this “right side up progression” to grow your sales, while reducing your risk, selling faster and more easily and spending less money.
1. Same to Same
2. New to Same
3. Same to New
4. New to New
We’re interested in getting to know you, learning about your business, your challenges and aspirations and determining how we can help.
Please reach out to 4C Consulting to learn about other Fundamentals in Strategic Sales and Marketing and Change Management, to help grow your business.
Robert Hackman is the Founder and Principal of 4C Consulting, a Consulting and Executive Coaching business centered around helping companies, their leaders and associates grow and flourish, so that they can live the lives they want and leave the legacies they intend. He can be reached via the 4C Consulting Website www.4cconsulting.net, email rhackman@4cconsulting.net and text or voice at 484.800.2203.