“How do I really accelerate my growth?” he asked.
“I assume the metric you’re using to measure growth is revenue,” I replied. “There are three ways to make more money: Raise your rates. Put more people in the top of the funnel, or improve your closing ratio.”
Now envision a world where you could do all three: attract more prospects, get more customers to say “yes,” and charge a higher price.
How much would that impact your bottom line?
««« I’ll pause to let you ponder that exhilarating vision. »»»
Is it even possible?
Apple had no problem a couple of weeks ago getting people to stay up all night to pay a thousand bucks, or more, for the iPhone X.
More people in the funnel. ✔
More people buying. ✔
More dollars per average purchase. ✔
Clearly, with the right marketing plan and message, it is possible.
How does marketing improve sales?
The first function of marketing is to attract the attention of more prospects. Conventional wisdom says, “the more people who hear about me, the better my odds of making sale.”
Visibility is the first step, and marketing is the muscle that launches the journey of a thousand steps toward a sale.
Of the three basic ways to make more money, simply getting more people into the top of your funnel can be accomplished through more marketing. You want more prospects to sell to? Amplify your marketing.
Chances are good that you’ll attract enough people who will buy. You will also attract lots of prospects who will say, “no thanks.”
That’s where the second function of marketing comes in. It’s important to attract the right people, and it’s vital to repel the right people, too.
It’s not as easy to stomach this repulsion concept as it is the attraction part, is it?
If your marketing message is so fine-tuned that it attracts your ideal customer, it will also send signals to others that they can keep moving.
Me? I’m an Android user. Do you think I lost any sleep over the iPhone pre-sale? Nope. Apple isn’t missing me, and I’m okay with that. I’m not their ideal customer.
Here’s where it plays to your advantage as a business owner to repel prospects who aren’t a fit for your company or product: You will find more success in your sales process, because you will be pitching to your “tribe.”
The people you attract will be more inclined to do business with you when they can relate to your brand through your company’s story, culture and vision.
Where do they learn all those things about you? In your marketing.
More people in the funnel is great, but more people who are already leaning toward “yes” is even better! This is a huge step forward in the second factor that accelerates growth: Improved closing ratio.
Yeah, but…what about those higher prices?
Economics 101: Fair Market Value is the price a willing buyer would pay and a willing seller would accept.
The most important story your marketing has to tell is “Why You and Why Your Product.”
As Simon Sinek famously said, “People don’t buy what you do; they buy why you do it.”
You want to increase the value of your brand, product or service? Appeal to your customer’s “Why.”
“What does it do?” can be answered on two levels. “Gets you from point A to point B” is a literal “what” answer. “Gets people to notice you so your social life improves” is a “why” motivator.
You may need a car to get from point A to point B, but you’ll pay extra for the car that gets you noticed. There’s more value in that kind of vehicle. You want it. It’s become worth more in your estimation.
When your marketing establishes a higher value in your customer’s mind, you can raise your rates.
More people in your funnel. ✔
Better closing ratio. ✔
Increased value and higher price. ✔
That’s an equation for rapid business growth, and it starts with your marketing.