Is Something Other Than Sales Affecting Your Revenue?
As I prepare for another presentation of our Tuning Your Revenue Engine seminar to a group of small business owners, I stopped to wonder. What would motivate someone to attend this program? The feedback is always very positive from the attendees. But, what motivated them to say ‘I’ve gotta go to this seminar!”
After pondering this for a while, I could only come up with one answer – they’re dissatisfied with the current state of their revenue in their business!
Not a bad reason to attend, but more times than I care to admit entrepreneurs think the problem is a lack of sales. While this makes sense, sales is the only way to increase revenue. The problem, however, may not be a sales problem that is causing sales to suffer!
That is why I created the Revenue Engine Performance Checkup; to pinpoint exactly where the problem lies. Then you can focus your attention on the right problem to get the engine humming again.
Case and point, what if you are taking too long to deliver your product/service, does this affect your revenue? YES, you don’t get paid until the work is completed. But, is this a sales problem? NO, it’s a production/operations problem. Left uncorrected, your revenue will suffer as will your cash flow.
Next, if you are taking too long, as in the past scenario, and the word gets out that you have slow delivery. Will the bad “word of mouth” affect your revenue or make it harder to sell? Yes again. This too is not a sales issue. It’s a marketing/PR issue. Left uncorrected your business will die a slow and painful death.
This is why I always ask entrepreneurs “are you focused on the right problem?” In a previous post titled A Few Simple Things Bring Success I shared my views on the 5 important things to business success. Several of these areas go right to the heart of what I am talking about here – focusing on the right thing and understanding cause and effect.
So, the next time you want to fix a problem affecting your revenue performance don’t be too quick to think you have a sales problem. A Revenue Engine Performance Checkup is not a bad idea. It will give you a quick assessment of what is really going on saving you time and money.
Have you ever thought you had a problem in one place and it ended up being something else? Share your story so that others may learn from your experience.