If you’ve set a target to boost your profits in the New Year, you’re not alone. Come January, the thoughts of business owners across the world turn to New Year’s resolutions and revitalising long-term goals. Driving exceptional business growth may not be as hard as you think; here’s how to double your business revenue as we enter the new year.
It’s one thing to have the intention of doubling your turnover; it’s another thing altogether to actually achieve your goal. But there are many entrepreneurs out there who’ve done it and are keen to support others to do the same.
In setting a target to double your business revenue, you’ve taken the first step towards success. Read our article on the importance of goal-setting for more information on why creating a schedule can be so effective in helping business owners reach their objectives.
How to double your business revenue
So, you’ve got your goal in mind: double your turnover. Now what? We’ve gathered some of the best strategies when it comes to planning your business growth. Take these 10 steps and you’ll be well on your way to seeing your profits multiply.
It may sound cheesy, but self-belief is a key part of achieving goals as a business owner. There are probably people around you who are sceptical about your growth plans, and if you don’t have confidence in your abilities, who will? Start the new year with your end goal in sight and don’t give up on your ambitions.
The idea of doubling your revenue requires such a huge paradigm stretch for most people that they never really get started. Without belief, the action steps will falter. Big revenue requires executing on big plans. Big plans require big dreams.
—Jeff Shore, entrepreneur, sales expert, author and founder of Shore Consulting
2. Plan for small changes
Implementing huge operational shifts is not only exhausting but unnecessary too, most of the time. By mapping out each stage of your sales ‘funnel’, from generating brand awareness to ensuring customer loyalty, you can pinpoint individual elements with potential for improvement. Add the results of all your small changes together, and you should end up with significant business growth.
You don’t need a miracle to increase revenue. Small changes are easy to obtain quickly and can usually be achieved with minor tweaks, split testing and innovative ideas.
—Brandon Turner, real estate investor and BiggerPockets Podcast co-host
3. Identify multiple revenue streams
To echo the point above, it’s often much more difficult to drive growth by focussing on one particular aspect of your operations.
Rather than introducing one new product or service and pouring all your attention into it, aim to set up several new revenue streams, one at a time. If one proves less effective than the others, swap it out for a new one, and keep going until you’ve built up a reliable selection of income channels.
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4. Introduce ‘upsells and add-ons’
A quick way to boost your revenue is to persuade people to buy additional products on top of their original purchase. To succeed with this strategy, you’ll need to analyse your customers’ needs and identify the most relevant, useful and attractive services you can offer.
5. Find new customers
This step is easier said than done, but it’s worth exploring fresh marketing avenues to win new sales leads and enquiries. As is often the case when it comes to promotional activity, innovation is key. Some of the oldest tricks in the book, like email and billboard marketing, are still highly effective, but new and exciting approaches can quickly set the internet alight.
What are we doing for the customer? Remember, they only listen to that one radio station, WIIFM (what’s in it for me). So we need to have benefits-focused marketing, so that we can attract the most new people to the business.
—Bernie Heine, President of Professional Business Coaches
6. Find ways to maintain existing customers
It’s no good welcoming in hoards of new customers if they all slip away after their first purchase. Make it your goal to increase your pool of loyal followers. You could do this by offering a personalised service or introducing reward schemes, for example. But the best thing you can do is find out why customers leave and take action to resolve the issue.
7. Evaluate your outgoings
If you really want to double your business revenue, you’ll need to focus on reducing your outgoings as well as increasing your income. Do an audit of your entire supply chain and work out how you can save costs. Sometimes, this step will involve negotiating with business partners to strike a better deal.
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8. Increase your prices
You might think raising your prices would have a disastrous effect on sales volumes and revenue. In fact, it could help drive growth. While you might drop a few customers, the money you make through a small price increase across your business should outweigh the amount you lose by those who go elsewhere.
So often, people forget about this basic relationship: we have to sell to more people, we have to sell them more stuff, we have to sell it at a higher margin, we have to reduce our costs, and if we just go to that very simple calculation, you have profits at the end.
—Bernie Heine, President of Professional Business Coaches
9. Have a back-up plan
All New Year’s resolutions for businesses should have a Plan B. Unfortunately, you’ll inevitably reach stumbling blocks in some of your goals, and if you can’t overcome them, you’ll need an alternative option.
In general, brace yourself for setbacks and aim to go above and beyond to reach your targets. Then, if things go better than expected, you’ll have exceeded your original objectives.
10. Reward employees
With the potential for an income boost and higher sense of achievement, increasing your business’s turnover is an attractive prospect for you - but what about your employees? They might need a little more motivation, so aim to share the rewards and compensate them for their efforts.
How to drive business growth by franchising
Here at Point Franchise, we believe franchising holds the key to financial stability, job flexibility and personal satisfaction. If you’re pondering your next business move, why not take a look at the fantastic franchises currently looking for new investors? If you choose to make the leap, you’ll benefit from the chance to set up your own business under recognisable branding with the support of an industry expert.
Alternatively, browse our recent business guides to brush up your knowledge and gain inspiration for the year ahead.
Alice Tuffery, Point Franchise ©