Business building formula

I enjoyed Jonathan Jay’s weekend seminar. I met a lot of motivated, success-hungry business owners and the seminar content certainly stimulated me into action - hence the delay in sharing with you until today; I’ve been a bit busy since I got back.

Jonathan’s anatomy of a sales letter - 15 steps - delivered a similar content structure to my own formula and many of the attendees experienced a ‘light-bulb’ moment when he described the Marketing Funnel.

For me his Business Building Formula was extremely interesting, more so because Jonathan generously gave permission to share it with you; I’ll do that in a moment.

By the way, if you want to see Jonathan in action for yourself he is running a few more weekend events, the next is at the end of March. Take a look at www.successtrackonline.com

Business Building Formula

Here’s the formula:

NM: Niche Market. We’ve talked before on this blog about focusing on specific segments of your market. Targeting a niche market means your message is more focused and more relevant to the people you are reaching out to.

QL: Qualified Lead. The difference between a cold, ‘never-heard-of-you’ prospect and one who has already bought from you, requested information or has purchased similar products or services elsewhere.

AS: Automated Systems. Don’t aim to complete every part of the process yourself or in-house. Where possible automate delivery. For example arranging automatic delivery of digital products online is easier than you sending out emails - especially as you might miss an incoming request. Physical products can be supplied automatically through a fulfilment company.

PP: People Power. Jonathan described two aspects to people power. He advised keeping your overheads and potential for problems to a minimum by keeping the number of employees as low as possible. The exception to that is when you are looking to sell your business because potential buyers like to see a vibrant, well-running team in place. A couple of people running a multi-million pound (or dollar) business is incongruous in their minds. A year before you intend to place your business on the market take steps to swell your ranks to give a better perceived value to your business.

QP: Quality Product/Service. This, of course, is paramount. If you don’t have a quality product or service that your clients value then your chances of success are slim.

DPM: Decent Profit Margins. The whole purpose of running a business is to make a profit (I know, I know I’m stating the obvious!) But unfortunately a lot of businesses reduce their profit margins when they get into price-cutting. And for some businesses that can spell disaster.

LO: Low Overheads. Jonathan gave the example of a newly formed business splashing out on expensive smart offices, posh furniture, the latest technology… effectively going on an ego-trip to make themselves look, and feel, good. Dependent upon your market you may need to have this type of persona, in which case look into using office/meeting rooms for client appointments and get an upmarket address through serviced offices. You can, for example, get a very exclusive address in London for your post without actually having your office there and paying exorbitant rents.

RR: Risk Reversal. Your guarantee or promise that removes the risk of buying from your prospects shoulders.

RP: Repeat Purchases. The lifeblood of any business is the continuing relationship with clients. You want your new clients to continue to purchase from you. Even if your product or service is effectively a 1-off purchase finding associated products or services you can provide or connect your clients with can bring in extra revenue.

PF: Product Funnel. This is the range of products or services on offer. The purpose is to encourage the first purchase with a low cost, low risk, low commitment transaction and then move your prospect onto higher value items step-by-step.

When these elements are combined as shown in the formula they result in:

BP: Big Profits

and

EP: Eternal Happiness!

Add the right MS: Marketing & Sales strategy and you boost your results exponentially.

What are your thoughts about this formula?

Carol Bentley