The key to income growth
Often we think that the only way to improve profitability is to make more sales - find more customers and get them to spend more money. But there’s another way. A way that costs almost nothing to implement and one that could increase your profitability - almost overnight.
Change your prices.
You need to make sure you have a pricing strategy in place. You should base this strategy on accurate information. This will come from your Management Reports. These reports will help you to decide:
- how many customers you’ll lose if you increase your prices; how much you profit margin will improve; how much your costs will reduce - for example, potentially fewer staff and smaller premises.
- How many customers you’ll gain if you lower your prices; how much your profit margin will decrease; how much your costs will increase - potentially more staff and larger premises.
The key to profitability.
The most common mistake businesses make is not charging enough.
Let’s talk about improving your profits by taking a fresh look at your prices.