It’s frustrating to hire someone to help you with Marketing or Sales but not see your sales increase. We’ve all been there. Period. You sit with someone selling you a service, everything looks great like they are going to be able to drive a con of revenue for you, but then six months into the project you realize it’s been a money losing nightmare.
At HelpFlow, we take a different approach with sales. Rather than trying to predict some magical number of sales that are going to be produced, we make sure that generating a profit is going to be dead simple no matter how we look at it. This builds the confidence of everyone involved to move forward with a strong foundation built on facts, rather than magical projections.
I’m not saying that you’ve been swindled by other service providers, but getting sales projections right is tough for everyone.
You can use rules of thumb for increasing sales at certain parts of the marketing funnel, but ultimately you’re still blind to the details of how it’s actually going to play out.
People buying services like projections because it gives them clarity of the path forward. The problem is, that path forward is usually wrong, and that screws up everything for you in hiring someone and also for the person you are hiring.
Rather than trying to oversize what sales may occur, it’s better to figure out where the break-even point is, to make sure it’s going to be that simple to get there. Once you are breaking even, everything else is profit on top of that.
Here’s how to do it:
Now you know that this $1,000 investment needs to produce $3,300 in revenue for it to start producing a profit.
Now let’s see if that’s possible.
The first place we look to generate revenue from our clients is the leaks in their checkout process on their website.
Here are some facts that might surprise you:
The HelpFlow Team recover much of this revenue by integrating a 24/7 live chat into the purchase process. We can track when people are likely to abandon their carts and invite them to chat to address their concerns.
By using the analysis process above, we have a clear understanding of your total revenue and also the amount of revenue you are leaking out of your purchase process.
We then determine if capturing even just a small percentage of the different areas where you are leaking revenue will cover the cost of our service.
By looking at the different amounts of re-captured revenue above, we typically see that profiting from the cost of our service is a no brainer. In addition, we may determine that we need to generate $15,000 in revenue to cover the cost of our service, but we see a clear path to generating $50,000 in revenue. That’s a no brainer.
If you’re making any sort of marketing decision, use a framework like the above. Rather than focusing on how much money the marketing initiatives are going to produce, make sure that producing a profit at all is going to be simple. The rest is outside.
If you want to increase conversions on your website, live chat is a great way to go. We provide 24/7 live chat sales team to E-commerce stores and can do the same for you. Book a strategy call here so we can walk through this analysis for your business. No pressure, no pitch, just a no brainer ROI that you will want to move forward on.