How can you increase profits without adding clients?
Psst…the short answer is to reduce or eliminate your Big Hairy Inefficiency.
IF you’ve never mapped out your processes and workflows and you’ve been in business at least a year, you’re sitting on a potential gold mine.
Quantifying how much money you’ll save by automating or systemizing a project, program, course, hiring system, purchase sequence….anything depends on the dollar amount you place on your products and services and your sanity.
When I work with clients, I deploy several different methods to garner which processes they need improve upon and then help them understand how much that efficiency saves them each week or month.
In the lean manufacturing in my corporate world, we look at the 7 (sometimes 8) wastes we encounter during design, production, and shipment. In the online world we look at wastes through inefficiencies in our business operations. Over the next two episodes, I’ll share some wins you can make in YOUR online business by reducing or eliminating your Big Hairy Inefficiencies.
When I’m making decisions about my business, particularly when it comes to investing my hard earned dollars, I’m particularly mindful of how it is tied to one of my objectives, if I’m propelling my mission forward, if I’m acting in partnership with my values, and whether I’m moving a little closer to my vision. IF I’m not, then, no matter how great it is, it’s a big hairy inefficiency and I need to move on.
So, I want to review a few of your business operations in this episode and the remainder next week.
Let’s talk Inventory and budgeting. If you’ve never work-flowed any of your financials, you’re in for a treat. AND, if you missed my soap box in episode 34 about flash sales, please go back and listen or visit my website to read the show notes. Not only will I save you tons of money, I will be saving you TIME and frustration. Remember: If you wouldn’t pay full price for it, don’t buy it at the discount.
Let me ask you a question: How well do you manage your money? Let’s be honest, on a scale of 1 to 10, how well do you manage your money? Seriously, I want you to capture that number in your head.
If you said ten, or even 8 or 9, that means:
- You understand cash flow in your business
- You know what your sales projections are
- You know how much revenue is needed to break even
- You’re tracking your income & expenses and make timely, quarterly tax payments
- You have monthly metrics and study trending KPIs
- You understand and know how balance sheets, income statements and cash flow statements contribute to your business.
Now be honest, now what is your score? If your score suddenly dipped to 5 or below, I hope you give me a call so we can schedule a Strategy Hour to help you set up the financial framework in your business. If you need to start somewhere, start with your understanding your cash flow. I’ll have a future episode on that coming soon, but in the meantime, be sure and give me a call. You do NOT want to be lost on your financials!
- Mistakes rarely happen in our own business, you know why?
- Because a mistake is when you don’t know the rules or understand the consequences of breaking them and how often does that happen in our own business?
- Sometimes we don’t know what we don’t know but more often, we aren’t making mistakes, we are
- Failure to plan and prepare
- Broken links
- Sending the wrong files
- Missed Appointments
How many times have you moved from one bit of software to another? Not only did I waste a ton of time, but money as well because I broke the rule (which I pass on my learnings a few episodes ago) of buying the annual commitment without first trying it.
Whether payment, booking, scheduling, project management, or social media scheduling software, every time you change, you are increasing your costs, decreasing your productivity, and decreasing your profits.
Visibility & Engagement
After financials, Visibility & Engagement, is the second most operational objective that CEO’s hire when hiring their first or next employee.
More than Marketing, Visibility & Engagement is how you show up. How you brand and how you personally and professionally influence those around you.
Usually the inefficiency I see in branding is wasted effort. How often do you write a blog, record a podcast, or carefully craft copy to put on social media and hear crickets?
And everyone says it takes time and consistency and so you plug away and produce more.
I’m here to tell you that unless you are putting the same effort into the details behind the scenes as you are into the content, you are probably wasting tons of time and effort.
- You need a strong headline/subject line.
- You need to understand google analytics
- You need to understand ID3 and tagging and pixels
- Keyword optimization and adult reading and listening psychology
If you haven’t dove in dug deeply on one or more of these behind-the-scenes tactics, I highly recommend you spend choose one and you spend two solid hours, once a week for three weeks simply in learning mode.
The best place to start learning is with your platform. Let’s say you want to better understand how to use tagging properly. Start with all of your platforms like your website builder, your social media outlets, and your podcast hosting platforms. Understand how they use tagging specific to their platform by watching their videos, reading their blogs and contacting them via email or other support channel.
Then, after you’ve exhausted their resources, do a YouTube search for videos that may answer your specific questions.
I want you to try and avoid a generic internet search for “Tagging” or “How to Use Google Analytics.” This will put you in the craziest Alice and Wonderland search of your life. By the way, I say this because I did it and I want to save you the trouble I did the generic search and two hours later I was watching Irish Dancing competitions.
And finally for today, let’s talk about Client Experience.
Inefficiencies and waste in the client experience include efforts that don’t give your client value. They don’t care how hard you worked or that you spent three hours researching their specific niche so you could ask intelligent questions. This is the basics we should be doing as successful coaches anyway, right?
On the other hand, you don’t want to inundate the client with information and resources that will only further overwhelm them rather than providing the real value that comes from pinpointing a problem and pointing them to successful opportunities and solutions.
It’s time to take stock in the onboarding and offboarding workflows your client sees.
Ask yourself what you do to onboard a client. What steps do they have to take in order to become your client?
How many clicks? Can they get ahold of you easily? What does working with you look like? Are there any kinks in the system? I’ve paid for three services this year and so far all of them have had some kind of kink. And those kinks either created extra work or frustration on my end. NOT what I paid for.
But don’t look at only the onboarding, take a look at your offboarding as well. Once you have a client, are they a client for life? What steps did you to take to ensure they will refer you to their friends and clients a year from now? How often to you stay in touch with your former clients?
Without a clear onboarding and offboarding plan, you are losing out on earning potential without having to advertise and that is one inefficiency I can do without.
Have you downloaded your free copy of the CEO Day Planning Workbook yet? This workbook is designed to set your quarterly strategic planning up for success. It walks you through important operations like your Visibility & Client Experience
It is the process I go through when I strategically plan each quarter and I’m sharing with you for free. Visit my website at vimandvigor.biz/ceoday to grab your free copy today.
Join me next week when we finish up this two-part episode on how to increase revenue without adding clients.
Also, I’d love your review where YOU listen to podcasts. Send me a screen shot or tag me on social media so I can be sure and give a shout out to you too.