“Conventional wisdom is conventional but not always wise.” When I said that a dozen business owners looked up from their notes. As I elaborated, they nodded their heads in understanding. We were in conversation at my recent VISION 2019 event and talking about how to make 2019 your best year ever.
To get started, I debunked three myths, one of which is that companies meet their goals when they think outside the box. This exhortation has been popular for decades and it rarely generates new revenue or profit. It’s completely random, and a serious depletion of resources that could be used instead to create more value.
One of my guests, Sandy Weiss, Principal at SUMMIT Commercial Real Estate representing tenants, said that she “enjoyed the fresh and disruptive notions of not focusing on competition and also, thinking “INSIDE the box.””
Why Think Inside the Box?
When you see your company as the box, step back and realize that all your riches are inside it. By riches I mean your:
- Customers and clients
- Products and services
- Customer Service
- Brand or reputation
These valuable elements of your company are the very best sources of:
- New product or service development;
- Client attraction efforts;
- New and accelerated revenue generation;
- And profits.
Your current buyers will refer others to your company when you ask them correctly. You’ll be able to add value to your existing products and services via improvements and innovations, making your current buyers happy and willing to pay for that new value. Cost of new revenue acquisition is tiny.
Why in heaven’s name would you waste time and energy thinking outside of this rich and valuable box that is your company?
Three Insights from the GO CURVE
We talked about how the GO CURVE, the Growth and Opportunity Curve I use with all my clients, helps you take advantage of the riches.
When you segment your buyers and offerings into Testers (Common), Regulars (Uncommon) and Enthusiastic Fans (Exceptional) you get three insights:
1) Who buys what. This is valuable because it guides your marketing to increase repeat purchases. When a Regular typically buys an uncommon offering a few times per year, you can easily increase their purchases of that item by one. One additional purchase per year can add up to big dollars!
2) Which offerings to keep, which to drop and which to improve or innovate. The more you understand the appeal to your offerings the better use you’ll make of your resources. Why promote something that doesn’t do well? Pour your resources into your best sellers.
3) Opportunities for growth. Enthusiastic Fans typically buy your highest value offerings and they’re receptive to anything new that you offer. The GO CURVE helps you recognize where the opportunities for growth are at the high end. If they love your offering X, you’ll invest in developing new offerings that appeal to those same buyers. Since they are your Enthusiastic Fans, and you know what they value, your new offering won’t be a shot in the dark, but a well-conceived offering that will be sure to appeal to them.
Will 2019 Be Your Year?
As you ramp up for 2019, invest in analyzing your buyers and offerings using the GO CURVE. Ask your team how your company can leverage the riches that are inside the box: increase purchases by current buyers; develop and launch new Uncommon and Exceptional offerings; move buyers up the GO CURVE from one segment to another. The same buyers, buying higher value offerings that contribute more revenue and profit to your company. That will make 2019 your best year ever!
P.S. If you want to learn about the other two myths I debunked, let’s talk! 703-790-1424