The New Year symbolizes beginnings and resolutions to reflect and do better. Why not do the same for your business? A new year is the perfect time to assess your current business goals and align them in ways that can maximize your success and profitability. This year, resolve to become even more profitable by following some simple and actionable tips.
Know Where You Started
The best way to make changes is to start with an assessment of where you are currently. Knowing your net profit per hour – or the total net profit before taxes divided by your billable hours (or employee hours) – is the first step.
Your net profit per hour figure will show you what your bottom line truly is. If it is lower than you expect, then you can take steps to improve it. Improving your net profit per hour may be a matter of raising prices, increasing the productivity of your employees, or reducing business waste and overhead.
Talk to a Business Coach
Every savvy business owner knows that their best resources are their people. When you invest in your people, it can provide significant returns on a necessary investment. A business coach can help your employees and company thrive in the New Year by helping you design plans that maximize profitability.
A few of the ways a business coach can help include:
- Maximizing business and employee productivity
- Identifying bottlenecks
- Developing talent
- Measuring progress and tracking outcomes
Although these are the most obvious, a business coach can help decipher what’s best to boost your unique business.
Make Good Use of Your Business Data
Your business generates tons of data. Are you using it to its full potential?
Go through your databases and determine who your inactive customers are (those who have not made a purchase within the past 18 months). Spend a little time reactivating old customers and encourage a repeat purchase.
In general, data can be a good way to analyze your customer base and determine who tends to buy the most from your organization. Your analysis may reveal that your target audience has shifted, so you should redirect your marketing efforts with it to maximize returns.
Step Up Your Digital Marketing
Word of mouth referrals are still (and will always be) important, but don’t forget about the importance of your online reputation. Ask customers to submit online reviews and respond to every review that’s posted on Google, Yelp, and your social media outlets. This will help you grow your business by providing a stellar first impression to prospects online.
Time to Get (Back) On Track
Change Engine is a holistic business coaching firm geared toward helping small to medium-sized businesses maximize their potential, streamline their operations, and expand with confidence. When you work with Change Engine, you receive practical, actionable advice built on decades of business ownership experience.
Being more profitable in 2020 will require a little planning and help from a quality business coach. For more information about the services we offer, please contact us.