Channel Eye has joined forces with Royston Guest, leading Business Growth Coach and CEO/Founder of Pathways Global, in our column, ‘Ask the Business Coach’.
The challenge is that most business owners, leaders, and entrepreneurs over engineer their business growth model, making it more complex than necessary. A structured and sustainable business growth strategy to help you grow your business organically year-on-year is now more important than ever.
Three key takeaways
- Revenue is vanity, profit is sanity, and cash is reality.
- Be on the hunt for marginal gains and marginal erosion.
- Focus on profitable revenue growth, whereby profitable is the keyword.
Episode timestamps
- [0.38] Too many business owners and leaders hung up on the revenue line. The saying goes, ‘Revenue is the vanity line, profit is the sanity line, and cash is the reality line’.
- [1.18] The opposite of marginal gains is marginal erosion. To start, it’s essential to conduct a systematic review of your cost base, line by line. This approach can help you identify potential areas for improvement and boost your confidence in managing costs effectively.
- [3.05] Focus on profitable revenue growth by looking at how you can maximise your existing customer sales by looking at cross-sales and upsells. Also, look at your customer retention. These are practical steps that you can take to enhance your business’s profitability.
- [4.10] Test your pricing. Where can you implement a differential pricing model across your customer base to help improve your margin?
- [4.40] How can you track the return on investment you spend across critical areas of marketing, advertising, new equipment purchases and recruitment?
Do you have a question for the Business Coach?
Send your questions to askthebusinesscoach@channeleye.media
Missed a previous episode? Catch-up and watch the series here.
