customer portfolio growth ...starring miss new shiny-thing
TRANSCRIPT
3 Sales growth secrets
Management ideas from BLUE HAWK Financial Performance –Week 4
www.gfbridge.com
Contact Andre Gien [email protected]
I love my customers
I have lots of different customer personalitiesbut I am real busy so I treat them all the same
If they call me I will pick up the phone If they want to place an order … no problem
Well that’s about it
By for now I got to go to a meeting
MR Time waster Sir Promiscuous Mr. Bid Guy MRS CheapMy Cousin Vinni Miss New Shiny Thing
I have multiple customer personalities
MR Time waster Wow he can talk, the problem is he is always taking about the next big order ….I am still waiting
Sir PromiscuousNeed I say more, one day he buys from me and the next he buys from my competitor.
MRS CheapWow I am exhausted Miss Cheap can beat you up real good but she buys a lot and sometimes frequently
My Cousin Vinni He makes my day, he trusts that I will give him a fair price and I will look after him. Vinni buys a large portion of my product range and he buys frequently. (I think!)
Mr. Bid Guy The only thing I know about him is I am one of 3 bids I will never know why I win and why I loose …..help me
Miss New Shiny-thingA new customer, really did a lot of work to get Miss New I better do all I can to make her happy ….while I am helping Miss New, Vinni don’t forget about me!
Then one day I noticed
My margins are going downMy sales well …..they are not really growing
What am I to do!
I felt like the horse that went into the bar…And the bar tender said “what’s up with the long face”
So I thought about it for a while
I don’t really know where I am making money
Where am I growing
What are my opportunities
Where am I making money
I think I have it
It’s with Miss New Shiny-thing (group of new customers that I have developed)
I know I got all this new business … it must be paying off handsomely
New business Miss New Shiny-thing $117,000
I started quite well with these new customers selling $31K in Nov $86k in Dec and nearly nothing in Jan
I better look to see who are the new customers and why they just stopped buying
Not one of my top new customers bought
anything from me in Jan
ALL THAT WORK
List of new customers by sales $
Well at least I must have got good margins
18.09% not bad! but I also see I lost a
bunch of customers at 17.38%
Customers by margin %
Taking about lost customers ….you cant be serious
I lost $2M of customers in the
last 3 months
And my new customer
development was $117k
Ok this is not working for me
Segmenting customers by new customers, lost customers, which customers are growing, which customers are declining
Not the best way to find out about these things but there is no way that I could have foreseen this coming.
Possibly I need to write this off as sometimes you win and sometimes you lose
Not so fast you could have managed the risk with
Identifying the trends sooner Spending more time and effort
with existing customers that are declining
Lessons learnt Most recent trends can tell you a lot about future
customer behavior Monitor your key customer product mix. Is it changing Watch your new customers, they may place those initial
orders but then go back to their old ways Focus on customer retention
Who are the growth customers and why Which ones are declining Are you OK with the ones you lose if not get them back
Week 5 we will continue our focus on customer portfolio management…emphasis on market segmentation
I just cant wait
Good sales intelligence will
Increase sales by up to 5 % Improve margins by 2% Improve operational cash
flow 10% - 30%
If you only have a
hammer you will see every problem as a
nail
Want to improve sales and margins
But You don’t want to learn new software You know you wont have the time to use the new tool
properly and neither will anyone else The cloud is something you worry about when you want to
know if its raining or not.
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
Results
1-2% margin improvement within 6 months
5% organic additional revenue growth 2x sales people productivity 10% operational cash flow
improvement with 12 months
Start the discussion
[email protected] 925 323 2802
Rapid improvement of profit, cash and
returns with enduring cultural impact
Individual customer growth
Product and customer portfolio optimization | Analysis | Design | Implementation
Financial Statement excellence
Performance consulting
GFB Service Portfolio Passion for Intuition powered by Evidence
Contact
Andre Gien
925 323 2802
Andre is our Evidence Wizard. He combines the Passion of intuition with the Power of Evidence to weave amazing stories that reveal the secrets and treasures that are locked within your business.
He has deployed the evidence based management discipline in over 150 different companies releasing more than $500 million in value and more importantly, demystifying the complexity for thousands of people.
Andre's favorite quote:
"If you change the way you look at things, the things you look at change"