The New Definition of Insanity: Doing the Same Things with Less and Expecting the Same Results!
I’d like to point you to a piece I’ve just written titled, “The New Definition of Insanity: Doing the Same Things with Less and Expecting the Same Results!” which covers tips to help your business grow and profit – even during these challenging times when taking an unacceptable risk may be necessary.
So what can small business owners do to drop the weight of the world from our shoulders and break out of old routines and take the risk that’s required to develop new ways of profiting? Here’s an example:
“Stop doing anything your customers don’t insist on paying you for. Too many firms are still providing costly frills their customers don’t value. Seriously, who really misses pillows on an airplane?”
If you’re a small business owner looking for ways to break out of the restraints of this economic environment, you may want to take a minute to read the entire piece titled, “The New Definition of Insanity: Doing the Same Things with Less and Expecting the Same Results!“
*NOTE: This article is originally published at American Express OPEN Forum*
DIY, DIWM, DIFM: What Can You Do?
If it’s painful watching another small business struggle as the economy rebounds. It’s torture if it’s yours.
Why won’t your customers buy from you when they are increasing their spending with others?
When will they realize that imitating your value, products or services “in-house” is penny wise and pound foolish?
The economy may be recovering but not in the same way as in the past. Most of the buyers I’ve interviewed for my clients are buying again but with new criteria. Instead of reverting to their old ways they are pursuing total cost of any solution. And if they believe they can do it themselves, they will. So instead of fighting against the tide, why not accommodate your buyers and get them to pay you for doing so?
Here are three ways:
- Provide a Do It Yourself (DIY) Option.
Some of your customers have more time than money. Help them "DIY."
Now, more than ever, there is segment of customers who have more time than money. They want to do all the work themselves. They want to accept all the burden of learning and doing by trial and error.
QuickBooks Software is an excellent example of this. For less than $200 a business can keep its own accounting. What can you offer in your business that allows a customer to do it all?
One suggestion: Offer an entry-level service or product. Let your customers adopt your product or service in its simplest form. Then you can graduate them to a more robust version where they will need your help.
- Offer a Do It With Me (DIWM) Option.
If a customer really wants to do it themselves but can’t, they might be interested in your guidance as they produce your product or service. If you can teach someone to fish and feed themself, make it a money maker for you.One example is a Jo-Ann Fabrics sewing class. After purchasing a dress pattern, you can have a teacher guide you and your project, reducing errors on your road to success.One sign that your prospect may want the DIWM option is if they have an equal amount of money and time to invest in working with you. Don’t offer them your entry level DIY service here, but clearly one for those who are ready for slightly more. But save your advanced expertise for the next option. - Always offer the DIFM (Do It For Me) Option.
While DIFM is not as popular now as when credit was free-flowing, many businesses will once again realize that they should refocus on their Best and Highest Use® and leave everything else to experts. When customers realize that they have less time than money, they will outsource tasks to vendors whose clear value justifies spending the extra cash.An example of this would be how most firms still outsource all their transactional HR needs like payroll, drug testing and 401(K) reporting.Always keep this option open because as the economy improves there will be buyers that have more opportunities to outsource work sooner than others.
So here are your three ways to help your customers to spend money with you:
- DIY (Do it Yourself)
- DIWM (Do it With Me)
- DIFM (Do it For Me)
While, it will always be tough to run or watch a business lagging behind in profitable growth, now you have one more tool to offer to a prospect who respects your value.
So when are you going to start DIY, DIWM or DIFM in your business?
First Way You Can Start To Ensure Profitable Growth
10 Keys To Profitable Top Line Growth
Filed under: Business Growth, Profitable Growth, Top Line Growth
Are you interested in profitable top line growth for your small business?
If yes, where can you focus first? What can you do now?
Try these ten keys to profitable top line growth.
10 Keys To Profitable Top Line Growth by small business growth consultant Andy Birol.
- Your customers’ growth is key to your business profitability.
The more you increase the average spending of your customers, the quicker your business will be more profitable. - Your growth is related to your profitability.
Assessing your customers by how profitable and by how much they are growing gives you the tools to grow the right ones for the most return. - Accurately balance your resources between your existing and new customers.
Knowing how much to spend on your existing customers vs. how much to invest in your new ones maximizes your efforts and your rewards. - Identify and accelerate your revenue from your most profitable customers.
Give your customers great reasons to pay you sooner is the most logical way to generate the best revenue now. - Study your customers’ buying habits to reset your selling methods.
If your customers have changed any aspect of how they buy, then you must change how you sell to them. - Brand and differentiate your business to grow your margins.
There is just no way to profitably grow your small business as the low cost provider so you must be unique and known to be such by your customers. - Repackage your products and services to grow your customers.
If your customers won’t buy beer by the glass and if they still like beer, serve it to them over dinner or offer them a keg. - Use existing sales and marketing channels differently to reach more customers.
Too often a sales force only calls on their familiar customers and advertising only speaks to those who hear the same old message. Refocus both and attract more customers. - Embrace new sales and marketing channels to reach existing customers more profitably.
If you have younger, indifferent or detached customers serve them on-line and less personally and grow your margins quickly. - Introduce value without introducing cost.
Profitability is greatest when you can deliver the perception of “new” and “more” at the same price.
Each of these ten keys can unlock your door to profitable top line growth.
