What if you were told that -- by systematically getting rid of one-half of your existing customers and ruthlessly screening new ones -- you might be able to increase your profits?

Conduct a Little Research

Profile Customers. This helps identify customers and their economic value so you can come up with a strategy to capture the most profitable markets for your products and services.

Profile Perception.Compile data on how you and your competitors are perceived in your target market. It identifies "best in class," and shows how you stack up against your rivals.

And once you create a profitable customer base, what if you had a game plan to cross-sell your products or services to those customers?

By focusing on the people who generate profits for your company and by meeting their untapped needs, you're likely to discover a new source of wealth.

According to some studies, as many as 50 percent of an organization's customers aren't generating profits. Imagine firing one-half of your customers and actually increasing your revenue and profits in as little as one year.

To get started, answer these questions:

    • What is the long-term economic value of your customers?
    • Who are your company's most profitable customers?

    • Which customers are your loss leaders?

    • Which customers offer the greatest future for your company?

The Final Equation: Perform for your customers and expect them to perform for you. 

© Bizactions LLC.