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Tag Archives: Improving small business profitability

Could Less Products Mean More Profits?

I just read about an interesting experiment where less products produced more sales. It was in Dan Pink’s great book, To Sell is Human. The experiment was done by Sheena Iyengar (Columbia University) and Mark Leppar (Stanford) . They first set up a booth selling 24 different types of jam and tracked how many people stopped to consider a purcha... Continue reading

Reality Distortion Field Needed for Small Business Success

Steve Jobs was known to possess and use what was described as a ‘reality distortion field’.  It was a magical and charismatic power he had to take the current impossible situation of his development team and distort reality so it would become possible. While it seemed magical due to the quantum of the accomplishments at Apple, our research at... Continue reading

Economic Gardening – Needs More Water!

If you haven’t heard the term 'Economic Gardening', a quick Google search will provide some background. It was an economic development professional in Littleton, Colorado name Chris Gibbons who first used the term in the late 1980’s. The concept is as follows: Focus the support of economic development on the existing businesses in your region... Continue reading

Billing by the Hour

This blog is to poke a little fun at the traditional concept of billing by the hour. I apologize in advance for grief it may cause for hard-working professionals. Is the productivity of every hour the same? Is the 8 hours of work the day before a two week vacation the same as 8 hours of work the day after a great Super Bowl party? Are the first ... Continue reading

The Importance of Small Businesses

Saturday, October 20th 2012, Canada celebrates entrepreneurs and small business with the first Canada’s Small Business Saturday, an initiative by the CFIB (Canadian Federation of Independent Business) and Interac. Why is important to ‘fish in our own pond’? Doesn’t our livelihood come from our own community? Why would we take our local e... Continue reading

Big Business Achievements – When to Reward Yourself

  There can be a tendency to celebrate short term business success too soon. Let’s say your business has a good month and you make a nice profit. Should you take a bonus? Should you reward yourself right away? Instant or deferred gratification? There is a philosophy out there that says to wait – to defer to the future. This is base... Continue reading

Establishing a Competitive Pricing Strategy

Are you pricing to the 10% of customers that are never happy? When you look at your customer base in your business, they will typically range from your 'raving fans' to the 'will never be happy' group. When you look at your pricing, you might think you have to offer one price to all your customers. If your pricing strategy is a 'one size fi... Continue reading

Growth Strategy for a Small Business

Have you ever heard the saying, ‘you need to spend a quarter to make a dollar’? If your business has the opportunity to purchase $100,000 worth of new product that can be resold at a 35-40% mark-up, why wouldn’t you buy it?  One reason you might not make the purchase is you don’t have an extra $100,000. Even if you have credit av... Continue reading

How to Increase Your Business Profits

It is fair to state that if you give a customer a ‘deal’, you could sell more than if you didn’t. But instead of giving a discount on price, have you considered adding value instead? Consider adding value As an example, if you discount a $1,000 item by 10% to get the sale you get $900. But if you offer an additional item valued at $1... Continue reading

Should Your Business Offer a Guarantee?

When a potential customer considers purchasing from your business, are there a number of risks to completing the purchase? Will the product or service solve the problem they have? Will it meet the needs or wants of the customer? Will the benefits outweigh the costs? Eliminate purchase risks When you provide a guarantee, you remove th... Continue reading