More Simple stuff that works! (Episode 3 of the Four Ways to grow a Business)
In my original article, I proposed that there are only 4 ways to grow a business:
- Find more customers (but, very importantly, of the right type)
- Do business with your customers more frequently
- Increase the value of the average sale
- Increase the efficiency of what you do in the business
I issued a Champagne challenge for someone to prove me wrong by finding a 5th way and still have had no takers! We previously dealt with numbers 1 and 4, so now we’ll have a look at number 2.
The basic point is to get your existing customers to buy from you more frequently by either persuading them to buy your existing products and services more often, or by offering new products and services.
One example is the use of loyalty cards and perhaps the best exponent of this is Tesco. They not only give the customer a financial incentive to buy more, they also capture valuable purchasing data which enables them to suggest additional products that the customer is statistically more likely to want to buy.
Another example of a loyalty card is the type which requires a stamp at each time of purchase, and offers the customer a free item after a certain number of purchases at a normal price (e.g. a free coffee after you have bought 6).
Other ways to encourage customers to buy more from you is by simply asking them more often – it’s surprising how basic marketing tactics like mailshots, or phoning the customer can prompt a sale.
Turning now to offering new products and services to your existing customers, this has become an increasingly popular method. Gone are the days when you went to the high street and visited the grocer, butcher, etc – the one stop shop arrived a long time ago. So how can you take advantage of this?
Depending on your existing product range this could be easy – an example close to home is unw. We have a large number of clients for whom we perform traditional accounting services - year end accounts and tax returns. We now offer them Profit Improvement projects using The 4 Ways to Grow a Business (supported by Business Link grant funding).
Motor Insurance companies offer home insurance, milkmen Christmas hampers and potatoes etc.
What could an engineering business offer as an additional product or service, or even more challenging, a funeral director!
This month, I have another champagne challenge – e-mail me an example of an additional product or service you have sold to your existing customer base, and a bottle of champagne will be awarded to the most innovative. This is your chance to shine Mr Funeral Director!
Alan Suggett is Business Services partner at unw and can be contacted on 0191 243 6009 or alansuggett@unw.co.uk
Other 2009 news
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New arrivals hit the mark
2009 has seen the arrival of several new members to the team with specific individuals arriving to add to our sphere of expertise across all sectors of the firm.
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15% VAT rate extended for New Year's Eve traders
Pubs, clubs, restaurants and other retail businesses remaining open past midnight on New Year's Eve will be allowed to continue charging VAT at 15% on their sales until they close or until 6am on 1 January 2010, whichever is the earlier, the Financia
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2009 Charity update
unw Charity Group continues to flourish and met on 4 occasions during 2009.
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More Simple stuff that works! (Episode 3 of the Four Ways to grow a Business)
I issued a Champagne challenge for someone to prove me wrong by finding a 5th way and still have had no takers! We previously dealt with numbers 1 and 4, so now we’ll have a look at number 2.
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More simple stuff that works! (Episode 2 of the Four Ways to grow a Business)
In my last article, I proposed that there are only 4 ways to grow a business:
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Senior Appointment at unw
unw is delighted to announce the appointment of Michael Morris as partner in the firm’s Audit and Assurance Department. This will further strengthen the expertise within the team as unw’s client base continues to grow. Recent client wins at unw in
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Simple stuff that works!
How can my business grow, or even survive, in these troubled times?
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Alan Suggett Appointment
Alan joins unw on 1 April 2009 from Baker Tilly Newcastle where he was the partner in charge of the Accounting Services department. Before that he co-lead a management buyout of most of the former Binder Hamlyn office from Andersens to form the indep
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Mark Hetherington: New VAT partner at unw
unw chartered accountants have recently enhanced the service offering to their clients with the arrival of Mark Hetherington as a specialist VAT partner
