There Are Only Three Ways to Grow Your Business

Most people overcomplicate marketing with talk of image, brand, feel, look, style, and culture. These are all important, relevant factors — if you are a multinational company — and all are of little importance if you are not! What is important is the simple fact that there are only three ways to grow your business.

1. Increase the number of clients.

This is where most businesses focus their effort, although it’s very often the hardest of the three ways to increase income. Large growth in number of clients usually comes from a change in pricing or a change in marketing focus. When we changed one partner’s prime marketing media from print advertising to targeted direct mail, we were able to add over half a million dollars in income the second year and over a million the third — with a small decrease in spending! Using Facebook ads to build a huge email list for them.

2. Increase the average transaction value.

How can you get them to buy more of what you sell each time they call, visit, or click? If ten people stand at the counter to buy a widget for $15, the 80/20 rule says that if all were offered the chance to buy six widgets for, say, the price of five, two people would do it, increasing your transactional value by over 53%.