A few days ago I shared the first 2 steps to achievement in the next year – 1) identify what was successful and what was not in the last 12 months, and 2) determine EXACTLY what you want to accomplish in the next year.
I’ve also shared about my own realization of how this year is a blank slate right now – and you can write anything in it you want.
And I’ve shared about the importance of purpose lately.
Today, let’s dig into determine EXACTLY what you want to accomplish in 2014 –
Let’s say that right now your business is generating $50k a year right now and you want it to generate $150k by the end of the year.
Is that possible?
Probably not, if you use straight-line growth techniques.
Most businesses cap out at 10-12% yearly growth, right?
But what is you use leveraged 80/20 planning and improvement techniques, honing in on exactly what is effective in your business, and simply increasing critical components’ effectiveness instead of using all your energy trying to make the entire business grow?
Here’s an example:
(And you’ll simply have to adapt this to your own business metrics to be able to ascertain what YOU can do in YOUR business. By the way, this is one area where it might be worth investing in a private consult with me. If you are generating at least $50k a year, and want to triple it, I can point out the exact areas in your business that are ripe for growth and how to adjust those areas so that it happens.)
Here’s the example:
If you are making $50k a year online, your metrics might look like this:
1000 new visits each month to your site
300 new subscribers each month
30 sales at $100 each month
12 clients at $100 a month
that brings us to about $4200 a month, which is $50k a year
Now look at where your traffic is coming from. Are there similar traffic sources that operate like the one you are using now? Or is there more traffic in your current source, but you aren’t tapping into it? What could be done to get that number to 1500 instead of 1000?
Notice we aren’t talking about finding new sources of traffic that you have to learn all about again – just bumping your traffic by 50% in the same or similar source.
Now, you are converting visits to subscribers at a 30% rate, what could be done to get that to 40% Perhaps increasing the incredibleness of the free gift? Perhaps using more aggressive and persuasive language on your squeeze page?
With 1500 visits and a 40% conversion rate to subscribers, you would get to 600 new subscribers a month.
Now, before we go any further – let me ask you this – if you did NOTHING else but double the number of new subscribers, and your sales conversion rates remained the same, you didn’t add any new products – you simply had the additional 300 subscribers go through the EXACT same sequence that is currently producing 30 sales a month and a static 12 clients paying $100 a month, what would happen?
My guess is that your sales would double!
Double subscribers, double sales!
So now you are at $100k.
Next, we simply need to increase sales to those subscribers by 50%.
What ways could you do that?
Likely adding a few products to your funnel would do that.
Likely adding a higher level coaching program would do that.
You see, at $100k, with the only change being 1500 visits and 600 subscribers, your sales would look like this:
60 sales at $100
and 18 clients at $100 each month.
So what would it take to get you to 90 sales and 27 clients at $100 a month?
Probably to get to 90 sales would mean 2 more products.
And to get to the next level of clients would probably mean just an adjustment to your coaching selling campaign.
Or another way to do it would be to introduce a $500 product and sell just 5 a month plus introduce a $500 a month high level coaching program and get 5 clients in that program.
What other ways can you think of that could allow you to incrementally increase sales as described above?
This method works.
I hope that right now you are seeing the clarity of it, of how easy this can be.
I encourage you to run some numbers of your own on your own business.
Where are 3-4 areas where you can get incremental improvement that would exponentially increase your revenue this year over last years?
(Please keep in mind I am talking about revenue here because it’s the easiest metric to use for this. But if you were to increase sales by 3 times, then you are likely helping about 3 times more people solve the problems you help folks solve. This means you are tripling the number of lives that are being impacted by your work online. And changing lives is the most important thing in your business, but when you change more lives, you tend to end up with more income, which is helpful as well!)
— I hope this has been helpful,