31 Aug 5 ways to make more money in 90 days
1.Set prices correctly
First, you need to be financially informed. Before you set your pricing, work out the total costs of running your business which includes both your fixed costs (the expenses that will come in every month regardless of sales) and your direct costs (the expenses you incur by producing and delivering your products and services). You should also regularly check the profit margins on sales to ensure your pricing is correct and making you money. Our Boss app has pricing calculators that can assist you to set the correct prices in your business.
2. Assess your customer’s needs
Do you conduct market surveys to find out what your customers want from your products and services? Are they driven by the cheapest price or by the value they receive? What part does price play in their purchase decision? Also, what else do they want to buy from you? what new products or services could you offer to grow your average sake value?
Also, look at what you are selling, are your current customers buying high-end or low-end products and services? This information will help you determine if your price is right, what level of service or inclusions you should be offering and lastly if you are targeting the right market. It may be that you need to change your market to make your business more profitable.
3.Define your unique product offering
What is your key point of difference in the market? Do you want to be the most expensive, luxurious, high-end brand in your industry, the cheapest, beat it by 10% brand or somewhere in the middle? Once you have decided, you need to ensure you are positioned in the market correctly and ensure your marketing strategies are focused on your target audience to get the best returns and make more sales.
4. Complete a competitor’s Analysis
All small business owners need to regularly assess their position in the market against their competitors, ideally every three months. It’s important to find out what your competitors are charging for different products and services? What inclusions and level of service are they offering for those prices? And what customers are they attracting with their pricing? And how are they positioned in the marketplace? The answers to these questions will give you an industry benchmark for your pricing and provide clarity to where the opportunities exist to enter new markets by offering unique products and services.
5. Determine the amount of profit you need to make
One of the most important questions business owners neglect to ask themselves is, “How much profit do I want to make?” They tend to look at what others charge and then pull a figure out of the air to be competitive without considering how much profit they want and need to make.
While you may be in business for the passion and to add value to the lives of others, you also need to add value to your own. So, consider what your time is worth and how much money you want to make in order to create the financial freedom you seek from running your own business.