There are simple ways to ensure profitable business.

 

One way is Leading With Revenue, which I have talked about in my last 3 blogs.

 

In the last blog, we looked at a couple of examples of how a Leading With Revenue approach can help businesses succeed. I am going to provide another example and some comments about the hands-on application of the philosophy I call Leading With Revenue.

 

Angel investors have an interesting relationship with Leading With Revenue.

 

This is important when new products/services are invented and the entrepreneurial process is under way. In a similar way it should also be important when a company wishes to obtain funding, say an equity injection, to cover an expansion into new products, new services, or new territories.

 

Angel investors, and equity investors in general, ought to contribute to Leading With Revenue rather than replace the need for Leading With Revenue.

 

 

I view strategic planning as the elite business function. The drive to business growth can follow several routes. One avenue is Leading With Revenue. It is not the only avenue. However, it is an avenue that will get us to the destination – financial success. Business people can drive alone or they can drive with partners. If they choose to have equity partners then they and their equity partners should be in synch…working from the same map, using the same compass, etc. Including a discussion of Leading With Revenue at the strategic planning stage is a good way to prepare to start your engines. Leading With Revenue is a strategic philosophy and a strategic-thinking tool.

 

 

When we drive at selling, from time to time, we encounter rough weather and troubling road conditions. If we have no guidelines – no maps, no road signs, no shoulders, no medians, no bumper blocks, no danger signs – then sooner or later we find ourselves off the road and in the ditch, or worse. The step-by-step process of Leading With Revenue  provides a solution. Leading With Revenue is a tactical tool, for testing everything from product development to sales efforts.

 

Leading With Revenue
[link to the summary of Leading With Revenue]

 

I hope Leading With Revenue provides to you the comfortable feeling it has provided to me.

 

This is the last blog in this Leading With Revenue series.

 

There are simple ways to ensure profitable business.

 

One way is Leading With Revenue, which I have talked about in my last 2 blogs.

 

From the last blog, we know Leading With Revenue can add Value whether we are dealing with new products and services [inventions] or existing products and services [which aren’t selling as well as we would like]. The key is obtaining Client input… and a revenue-generating purchase by a Client is powerful positive feedback.

 

I promised some Leading With Revenue success stories.

 

Here are a couple of success stories…again, I have altered the details to ensure confidentiality.

 

 

Dave was approached by a large local company to provide consulting services under a short-term project.  Dave was flattered by the acknowledgment of his expertise, confirmed by the attention offered by the large company. However, Dave declined the offer and provided a counter-offer. Dave’s counter-offer consisted of a multi-year contract providing a Value-adding service that included the consulting but also included a clear and expert solution to a major problem well-known to exist at the large local company…at least, well-known to Dave. Dave’s counter-offer contained pricing and other terms that reflected Dave’s senior-level Value. Result – the large company accepted Dave’s counter-offer and both parties enjoyed the Value-exchange that followed.

 

 

Jim and Sarah run a local manufacturing company. One of their larger clients came to them and requested a price discount, to match the competition. Jim and Sarah were somewhat puzzled because the relationship had been strong with the client and Jim and Sarah’s company had a habit of over-delivering with quality. After some discussion, it became clear there was a disconnection between the Value as seen by the client and the Value as seen by Jim and Sarah. To satisfy the client’s price-discount request, Jim and Sarah would lose money. They discussed this with the client. Jim and Sarah confirmed they would not drop their price.

Now, there are two alternative endings to this example…the choice of ending depends on which ‘Jim and Sarah’ we are talking about…both happened:

Ending 1: The client checked with his head office and confirmed to Jim and Sarah that no price discount was required. Since that event, there has been no further discussion of price discounts.

Ending 2: The client took his business to a new supplier. That supplier went bankrupt in 6 months and the client had no choice but to return to Jim and Sarah. The client then accepted the price increase offered by Jim and Sarah. Since that series of events, there has been no further discussion of price discounts.

 

The next blog will be the last in this Leading With Revenue series…