Increasing their revenue generation is a high priority for most businesses. For, besides enabling the smooth running of a business, it’s also a sign that it has good financial health. You need to know how to acquire new customers, retain the existing ones, and get them both to buy more from you.
This blog is here to help you in this regard. Read on to get ideas on achieving your long-term revenue goals.
10 Best Business Development Strategies to Increase Revenue
Here are the best business development strategies you should consider implementing to increase your revenue.
1. Focus on customer relationships
A study says that by increasing customer retention by five percent, your profits can shoot up by 25 to 95 percent (Per Marketing Metrics). You can foster good customer relationships and brand affinity by selling high-quality products, staying true to your words, remaining in constant touch with them, and providing outstanding customer service.
2. Target repeat customers
Some of your customers are loyal to your brand. Target them continually with communications so that you stay on top of their minds. Reach out to them through email or text. Your messages can be about a range of newly arrived products, a sale, new offers, discounts on specific items, etc.
3. Target previous customers
Oftentimes, it is easier to bring back former customers than to bring in new customers. So, come up with a marketing plan to win back former customers. First, get to know why they’ve stopped buying from you (using a survey), and then take measures to fix those issues. Further, while retargeting, appeal to them with discounts and other incentives.
4. Expand your offerings
Offering more products that your customers need is a good way to increase revenue generation. For, this increases the number of sales per customer. So, consider including other products that a customer would want to use with your product or service. For instance, if you are a garments seller, you could also offer accessories to go with the clothing you sell.
5. Increase your geographic reach
Physically expand your boundary by opening an outlet in a new location. You can also widen the geographic reach of your customers by increasing the distance you offer to deliver your product or provide services. Today’s technological advancements make this easily achievable. Another way to extend your geographic reach is to advertise your offerings in neighborhood areas too. However, do these incrementally to ensure manageability.
6. Refine your pricing plan
You can increase revenue with the same number of sales by re-evaluating your pricing plan. Lower your prices. That would give you an edge over competitors by helping you sell more items. Increase your pricing if your brand is strong and consumers believe that you offer value. Again, this will help you generate more revenue. However, if you’re in a highly competitive market evaluate your consumer behavior well before doing this.
7. Bundle up products or services
Bundling up products or services can motivate customers to buy more as they’d be able to save money by buying multiple items at once. There are two ways to put this into action. One is, to pack up products together and sell them as a set. The other is, offering a discount when customers purchase multiple products together.
8. Upsell products and services
Another technique to increase revenue is upselling. When a customer chooses to buy a product, encouraging him to buy a costlier item in that product range is known as upselling. You can upsell to your customers by displaying costlier and related products alongside informational materials, stressing how advantageous it is over the lesser-priced options.
9. Redesign your marketing collaterals
People will buy from you only if they need your product or if you give them a reason to buy it from you. This is where your marketing collaterals such as website, social media page, presentations, brochures, packaging material, letter pads, flyers, posters, banner ads, etc. matter. Review and design those if they don’t accurately convey your message to your customers.
10. Have a formal referral program in place
Studies say that people trust brands that other people, including strangers, recommend. That’s why referral marketing works. You can tap into its enormous potential by establishing a formal referral program and making your customers aware of its existence. Reward your referrers to encourage them in their excellent work. Use a tool like InviteReferrals to simplify the process of creating, launching, and managing a referral program.
Other business development strategies to increase revenue
Besides the above discussed ten business development strategies, there are also some more to help increase revenue generation. We’ll just mention them without any elaboration. Here they are-
- Encourage user-generated content such as reviews, ratings, testimonials, success stories, etc.
- Cross-sell to your customers. Cross-selling is nothing but selling products that are related or complementary to the products that a buyer has purchased.
- Provide as many payment options as possible. This should include cash, debit cards, EMI options, online transfers, mobile transactions, credit cards, e-money, cheques, app payments, etc.
- Become an expert or thought leader in your niche via blogging industry panels, speaking engagements, and other events.
- Eliminate delivery or shipping charges to encourage customers to buy more from you.
- Get to understand your customers through surveys. This will help you serve them better through your products and services.
- Hire your sales team wisely. Also, motivate them with incentives to make more sales.
- Adhere to deadlines to instill trust and confidence about you in your customers.
- Listen to what your customers are saying about you on social media using a social listening tool. This will help you act appropriately and manage your online reputation.
Now that you know some of the best business development strategies to increase revenue, put them to active use. And as your revenue generation raises, consider investing it in equipment or passive-income generation activities. This way, you’ll multiply your money. All the very best in your endeavors!