6 ways to increase sales revenue
1. Learn from your customers
Check in to see how your customers are getting on. Do they have new problems that you can solve? There may be fresh opportunities right in front of you. Also ask what they like about your product or service, and what could be better. Do more of the good things and fix the shortcomings to broaden your appeal.
2. Introduce a loyalty or rewards program
It may require extra admin to offer loyalty rewards, but it can help increase repeat purchases from existing customers, while spreading the word about your brand.
Example of how to increase sales through loyalty rewards:
3. Bundling and sales promotions
Bundling related products or services is a popular way to increase sales revenue. The idea is to encourage a bigger sale by giving customers a deal. For example you might offer a half-priced bucket to anyone who buys a mop. Your profit from bucket sales will go down, but the overall transaction value will go up.
4. Host events
Invite your customers or clients to events like launch parties, new season previews, demonstrations, or information evenings. There are lots of options. You just need to know what will appeal to your target customers. Events like these often come with built-in sales opportunities.
5. Get involved in your community
Ever wondered how to increase sales to the potential customers that walk past your door every day? Try going out into your community. Sponsoring or taking part in a local event can raise your profile. Make sure it’s something that aligns well with your product or services and your target market.
6. Increase your prices
Raising prices can increase sales revenue so long as people keep buying. Of course, a price hike can also bother your customers so do it right.
Provide enough notice, and give your customers a chance to buy (or renew contracts) before the price increases. Let your customers know of any additional value you’ll be offering in return for the extra cost. For example, you might offer extra services or support, more availability, or a shorter turnaround time. Demonstrating improved value will help your customers accept a price increase.
Increasing sales revenue is half the job
Boosting sales will generally bring more money in the door, but you always need to balance that against costs. If costs go up just as fast, then your profitability will suffer and you may end up working harder without being much better off.
Accountants and bookkeepers can run the numbers and help you figure out how to increase sales without giving up profit.
Disclaimer: Xero does not provide accounting, tax, business or legal advice. This guide has been provided for information purposes only. You should consult your own professional advisors for advice directly relating to your business or before taking action in relation to any of the provided content.
Growing your business
Are you ready to drop the hammer and take your business to the next level? Let’s look at how to grow.
- Stages of business growth
Before you leap into growth, reflect on where you’ve come from. Find out the stage of business growth you’re at.
- Write a business development plan
Now that you’re in the growth stage of your business, set things in motion with a business development plan.
- Business KPI examples
Understanding your business performance will help you grow. Check out common examples of small business KPIs.
- How to increase sales revenue
Increasing sales revenue is one obvious way to help grow your business. But how do you sell more?
- Expand your business into new markets
You can grow your business by selling more things to more people, or fewer things to fewer people. Let’s look at how.
- Tools and guides for your business
You’re all set to grow your business. But there’s so much to keep track of. Xero’s got resources and solutions to help.
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