Want to increase your revenue?
There are four strategies to get there:
1. Increase your price. You can justify your increase by either adding more value to your existing offer, or by applying value-based pricing and better positioning the value of your existing offer.
2. Increase the number of leads. Simply put, if you have more leads, and maintain your conversion rate, you will have more sales which leads to more revenue.
3. Increase your conversion ratio. Convert more of your leads to paying customers - this requires you to increase your sales effectiveness.
4. Restructure your offer. You can extend, broaden or add additional offerings to further monetize your existing customers, or attract more of your ideal clients.
NOTE: Because Lever Four is specific to each business, it is not included in the calculations below. It is important however, to evaluate this strategy as an additional option for increasing your revenue.
Pulling multiple levers, gets you there faster!
When calculating revenue, these three levers have a multiplicative relationship - meaning that improving more than one at a time will result in compounding effects that act like jet fuel for your revenue growth! See the chart below to see how much faster you can accelerate your growth if you can manage to improve two or three levers at a time!
How Pulling Multiple Levers Accelerates Growth
Use the following calculators to model the impact that price, lead generation and conversion has on your revenue. You can use the simple calculator on the left, or you can use the calculator on the right and enter your specific revenue goals so that you can explore the various paths to achieving them. Please note that when using the calculators you should be thinking about new business (not revenue from payment plans.) If you have clients on payment plans, use the total revenue in the month/ year it was closed. You can use monthly numbers or annual numbers - the calculator works the same either way!
I want to...
Growth Lever Calculator
The number of leads you want to generate
The percent you want to convert
Revenue per lead/ cost of your offer
Please share your email to see the results!
Reverse Engineering Your Revenue
You can choose to use the calculator with your monthly or annual metrics - the calculator works either way.
If you don't have your exact numbers, estimate! The idea is to see how making small changes can have a big impact on your bottom line.
Try different scenarios (e.g.what happens if you increase your pricing just a little, and increase your conversion and number of leads by a lot? What happens if you only increase pricing, and keep everything else the same? Once you settle on numbers you are comfortable with, review the strategy we suggest on how to get there. If you would like to review your results with us, book a call and we will review them with you.
Tell us a little about your current metrics...
What's your monthly* or annual* revenue?
What is your monthly or annual revenue goal?
How many clients did you close last month?
How many leads did you have?
Pull your levers!
How much do you want to prioritize increasing your price?
How much do you want to prioritize increasing your conversion rate?
How much do you want to prioritize increasing the number of leads you generate?