My mentor was right when he said I was "all over the place, losing opportunities for business growth" because I was always looking the other way. A critical mistake pointed out was my overhead dealing with unqualified prospects ...
In 1996, I was spending more than half my profit on unqualified prospects. Like many sales people, I thought I needed to meet with everyone. Throw in general overhead, marketing, and taxes ... I was hardly making a dollar on a new customer.
It's that what business is about, earning more than you spend on every new customer. Basic math tells you if you spend $2.00 to get a customer who only pays you $1.00 that you aren't going to survive.
To solve this problem my mentor suggested the following:
You can be smarter than me, just follow the two steps provided here to orient your efforts towards profitable customers. I was able to significantly cut my selling overhead because I was now only meeting with individuals ready to buy.
I wasn't out of the woods yet, the next mistakes I'll cover was getting the money for the work I had already done. Stay tuned for that message soon, meanwhile, what are you spending and making from each client? The numbers may surprise you.
Justin Hitt turns average business relationships into profitable customers and you can too. Training materials available at https://www.jwhco.com/shop/
By Justin Hitt at February 1, 2007 12:52 PM Subscribe in a reader