There are ONLY really three ways to increase revenue in your business.
1. Generate new customers (this is called: acquisition)
2. Increase transaction size
3. Improve customer purchase frequency (this is called: retention)
Number one, "generating new customers" is what most businesses focus on. It’s the most expensive way to increase revenue. It takes the most time and energy getting new customers! Think about it: you've got to meet them, nurture them, and build that whole KLT (know like trust) factor. It takes timeeeee for them to go from cold to hot (hot = ready to buy).
Then we've got "increasing transaction size"; item #2 in the list. This ONE thing saved Mcdonald's from bankruptcy in the 80's. After customers placed their orders, they taught their cashiers to ask, “Would you like fries with that?” That tiny little order bump had massive results. I mean hey.... who doesn't want fries?
BUT WAIT... before you go upselling and stuffing your product with more features, make sure your baseline price is strategic. No amount of upselling or stuffing your product with more features is going to help you if what you already have.... is badly priced.
To be very specific: Upselling them on an herbal tea blend or bengkung belly bind and adding that to a doula package that's already listed at bankruptcy-inducing prices isn't going to move you forward. It's just going to mean more work/more overhead... and still no profit.
Back to today’s topic, the most important revenue growth strategy of all... is also the cheapest to implement and has the largest possible positive impact on your business.
I also feel like it's the easiest.
And that's number three on the list, getting existing customers to buy from you again.
Existing customers already know, like, and trust you, they know where to find you and understand what you offer.
Sales from existing customers can instantly multiply and scale your business faster than any other strategy.
The million-dollar question is... how do you do it?
Well, if you're a doula, midwife, or other service-based birth pro, your best bet is to have an exceptional off-boarding process.
In my experience, doulas and midwives are pretty good with onboarding (giving their clients a New Client Welcome Packet, having automated "welcome" emails, etc.) but totally miss the mark when the contract ends.
This part can really fall flat.
Like "Yo, you had the baby! Congrats! OK have a nice life" and then crickets.
But you want to CLOSE your contracts with the same joy, enthusiasm, and love as you started them. This will leave your client with a positive, long-lasting impression of you.
You want them to:
- Re-hire you #RETENTION
- Tell all their friends #REFERRAL
- ... and leave a glowing ass testimonial! #REVIEWS
You've may have heard of the "The Three R's" ala Penny Simkin (relaxation, rhythm, ritual).
You may have heard of the three R's of waste management (reduce, reuse, recycle).
Well... now you've also heard The Three R's of Business by Melynda Smith. ;)
Retention. Referrals. Reviews.
Check it out here: THE TOTAL CLIENT EXPERIENCE BUNDLE
Doors are open; join Doula Biz From Scratch today!
An intimate 3-month business + marketing mastermind for Birth Doulas who desire time freedom and a consistent flow of perfect fit, premium clients.