The 80/20 rule in business what about the 20/80 rule and how you fix it

The 80/20 rule says that 20% of your customers generate 80% of your revenue. That is awesome and we pay very close attention to those customers, as they are extremely valuable.

What are you doing about the 80%? That is a lot of customers, that only generate 20% of your revenue. Understandably some them them just are buying one or two things from you as they cannot get them from anywhere else. There is not much you can do about those folks. We understand that.

So how do we get the HUGE mass of your customers who could spend more money with you to do so?

INCENTIVES!

How does that work you might ask

There are a few ways to introduce incentives into your sales mix

Here is one example:

All customers have a baseline of revenue that they generated last year with your company. Company A spent 50,000 for example.  So we want them to increase it by 10%. So we offer an incentive, NOT CASH, but travel, consumer electronics, or prizes, and NOT MERCHANDISE to them when they increase their sales above 50K. Since 50K is the baseline they get nothing for that but only above and beyond is where the reward comes in.

So if you NEVER had this incremental revenue from them and you could provide some prizes for increasing, the small investment on the incentives pay for themselves.

Lets say you budget 2% of sales so on 10K of incremental revenue which for you is 10K in the previous example that is a $200 prize.

Who would not give $200 for 10K of new revenue?

See how this works, they have to meet the previous requirement and then they start earning.

This is just one idea and can be spun in so many different ways to create the desired affect.


Let's talk about how this can be played into your company's business model for growth.


Derek Miller
ProPrinters

S&H Green Stamps Commercial, 1966

Who doesn't remember going with their parents to the local store, having their parents, for me, my mother check out at the cash register at our local pharmacy and in anticipation seeing how many of these green stamps we got.



We took those stamps home, licked them in stuck them in the book, and anticipated what we were going to get with them.



For mom, quite frankly I cannot remember what we got, maybe it was new pots and pans, a can opener etc, something that we needed for the home, but didn't need to spend money on it. It was the first INCENTIVE program, and it lasted a long time.



Did it work? You betcha that thing worked.



Now we are more refined today and we have loyalty programs on our phones, American Express membership rewards, airline miles etc all designed to keep us loyal to a store a company or a brand.



Well, if you have customers that can get your product from YOU today, but get the same product from your competitor the next day then you are in the market for an incentive program.



These programs are NOT expensive but yet the ROI will pay for itself.



Just think about how YOU are a customer of them, and then turn that around and see how you will use it to your advantage.



These come in many shapes and sizes and budgets so to fit your needs.



Just give us a call at 1 877 614 7746 for your free consultation and we can discuss in more detail.





Thanks,





Derek Miller

ProPrinters

Benefits of Casual Fridays

1. Free perk– It doesn’t cost anything to allow employees to dress down in business casual attire one day each week, yet being able to do so is a perk that many employees enjoy and look forward to each week.
2. Fun change of pace – Allowing employees to dress more casually can be a good way to infuse a sense of fun into the workday without doing anything to detract from productivity.
3. Team building – When people are dressed more casually, with workers across all levels wearing similar attire, they may be more likely to interact with people they wouldn’t ordinarily feel comfortable approaching. This can lead to cultivating positive work relationships that will strengthen the overall team.
4. Meet employee needs – Employees like to work for companies where they feel like more than ‘just a number.’ Allowing employees to come to work dressed as they like – within reason – on a designated day is a way of meeting employees’ needs to ‘be themselves.’
5. Easy employee motivator – Allowing employees to ‘be themselves’ in terms of how they dress can actually be a motivator. According toInsideBusiness 360, “giving employees a day to express their individuality in their dress is a great motivator.”
6. Reinforce branding – If your company’s approach to casual Friday involves wearing branded apparel, such as company logo shirts, it can result in branding benefits. Employees become walking billboards for your company when they are seen wearing apparel with your branding message.

If you want to let your employees have a “dress down” day or if you decide you want to let your company dress business casual in the summer time, but are concerned about what they think that means you can:

1. Create a company store that has all branded material for your company
   1. Identify items that will support your policy and promote your brand
   2. Employees can choose items that they can get (perhaps you provide an allowance) to wear on these designated days.
   3. This keeps the brand intact, HR happy and your employees happy as well

Companies like Cutter and Buck make some very nice corporate apparel that can be embroidered with your logo to build your brand.

This is just an another idea to help you to “Increase sales and profits through promotions”

If you have any questions, or would like to learn more just give us a call 609 807 8856 and we can point you in the right directions.

#proprinters #casusalFriday #corporateattire