customer profit islands

Post on 30-Nov-2014

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The Challenge Many customers with many transactions that behave differently over time The solution 1. Where do we start 2. Identifying profitable customers 3. Getting the high volume customers 4. Know where the high profit and the high volume come together 5. Create the action program

TRANSCRIPT

Finding your islands of profit

Management ideas from BLUE HAWK Financial Performance Manager

www.gfbridge.com

Contact Andre Gien agien@gfbridge.com

The problem

Lots of customers with many transactions over time

…..things change sometimes for the good sometimes for the bad

Getting familiar with the top performers

Traffic lights are a powerful optic

Period of neglect

Recovery

Where should we start

Determine the most profitable customer groups

580 customers are delivering a margin of

greater than 30%

Yea but!! I am sure

most of those customers are

very small

Segment your customers by revenue size

188 Customers deliver more than

$24333 revenue per month

But I am sure many of these large customers are at lower margins

I represent the large customers but some part of me is not that profitable

I represent the most profitable customers but some part of me does not do that much volume

I am what you are looking for I have good

volumes and good margins

The more you make of me the merrier

Problem solved – High revenue high profit customers

High revenue customers segments

High profit segmentsLooking for those

customers who produce more than 30% and

possibly those between 23 and 30% margin

Who are these Customers high profit customers

Make sure you inform others about your findings

Want to improve sales and margins

But You don’t want to learn new software

The cloud is something you worry about when you want to know if its raining or not.

You know you wont have the time to use the new tool properly and neither will anyone else

You want the facts and you want them in ways

that you can make a difference

Why not outsource your sales intelligence

We will

Install the required applications Review your data Determine

Where you can grow Where opportunities exist to sell more

product to existing customers (increase wallet share)

Where you can improve your margins Where you are at risk

Provide you with a monthly portfolio review Deliver an action plan to get it done

Once off set up fee $700.00

$800.00 per month*

Can cancel when ever you wish

Cost

*Up to 10,000 active products, larger data structures may be more

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