| In the current market many organizations, small | | | | 1. Do I want this product/service? |
| businesses and entrepreneurs are looking at ways to | | | | 2. Can I trust them? |
| increase sales. Margins are getting lower, so there is | | | | 3. Is it worth it? |
| less money for marketing. This put pressure on the | | | | 4. Will this work for me? |
| results and the effectiveness of any sales funnel | | | | 5. Why should I do this now? |
| operation. In principle, the basic formula for increasing | | | | People buy from people. How do you build this trust. |
| sales is simple. It is the nuances and the increased | | | | As the company/individual that provides the offer, how |
| competition that drives you to work harder for the | | | | do you address the questions your potential customer |
| results. | | | | is looking for. You need to provide education, test |
| The basic formula is: Total sales = # of leads x | | | | drives, try-out, social proof, product guarantees, |
| conversion rate (%) x average sales price. | | | | references etc. to build and support your trust and |
| Let's review these 3 main ingredients individually. | | | | deliver proof of your solution. In the on-line arena, |
| Creating leads can be done in many ways. On the | | | | where you do not talk to all your customers individually |
| street, via personal contact, off-line and on-line. | | | | at first, video marketing is the key instrument of building |
| Especially with the online scenarios it has become | | | | trust and proof to support your solution and increase |
| much easier to reach a global community which is | | | | your conversion rate. |
| huge. Many organizations start to market online. New | | | | At the end of the day, sales is a numbers game, so |
| services and organizations that "help" you are popping | | | | the better your conversion rates, the lower number of |
| up everywhere to support the uneducated business | | | | leads you need to make the same revenue, hence the |
| owner. Many new buzzwords show up. SEO, Pay Per | | | | opportunity to increase revenue with the same number |
| Click (PPC), Social Media Marketing etc are terms you | | | | of leads. |
| hear everywhere being the new magic. Keep in mind | | | | Happy customers typically purchase more products. |
| that the essence has not changed. People are looking | | | | The highest cost of sales is during the initial purchase |
| for a product or a service and you need to define | | | | process. So, if you have a higher average price, your |
| your proposition (what is it you have to offer). Without | | | | margin remains higher and also your total revenue. |
| this vision, you will be spending a great deal of money | | | | Alternatively, if you can sell them additional products or |
| with very limited results. So develop the vision of what | | | | services, you will build a recurring revenue stream. This |
| you have to offer first. | | | | will allow you to build a residual revenue stream as |
| If there is any area where most people and | | | | long as you fulfill to the initial promise and deliver value |
| companies can improve, it is in the conversion rate. | | | | for your initial offer. |
| How to you encourage a person to purchase your | | | | Sales are the essence of any revenue stream and |
| products. You need to figure out how to do this most | | | | income for any type of organization. Without products |
| effectively without wasting your resources and without | | | | or services being sold, there is no revenue and no |
| the customer getting the feeling being sold. It has all to | | | | profit. Make it a positive engaging experience, so you |
| do with the qualification process of both parties | | | | develop not just a customer but also a friend. At the |
| involved. This involves both the potential buyer as well | | | | end of the day you want them to become a |
| as the seller. As a potential buyer, typical questions | | | | reference for any future business you are developing. |
| include: | | | | |