Eight ways to increase your business revenue By Athulya - January 17, 2019 Last Updated at: Jul 13, 2020 1454 Eight ways to increase your business revenue Your export strategy should be based on an assessment of your own position and research into promising opportunities. You will need to think long term about how to reach new customers and finance your exports, as well as making sure you understand legal and tax issues. Bringing in revenue equally throughout the year is the goal of every efficient business. Be it small businesses or multi-national large scale companies, different companies use distinct methods to generate ample revenues and to maintain their value chain. Just the company with good sales is not a successful company, but the one with a decent amount of profit without considerable losses is the true measure of a company’s success. This is a relatively harder process for small companies as they do not have the financial stability to face any losses that may occur suddenly. So small businesses will have to keep building the revenue by following some strategies like attracting new customers or repeating the sale for the existing customers with many promotions. Some companies also use smart techniques like layoffs and retrenchments in order to regulate and structure the talent pool which will, in turn, increase the profits for the company. Whatever the method of attaining profit goals, the companies need to survive the competition at the end of the day. Register Your Business Now Generating such profits might sound like an unachievable task, given the modern technological developments and the current needs of the modern society, but it can be attained by following a few techniques to make the process easier. To make it simpler to understand, the different techniques can be assumed to originate from two basic principles, i.e. (a.) raise revenue and (b.) lower expenses. These two principles can be developed further into 8 ways of increasing profits, namely: Price adjustments: Though the prices are determined considering the market demand, increasing the prices have proven to be the most effective way of showing immediate results. Similarly, reducing the prices of products in the older inventory might spike up the sales and eventually increase the demand for the product among the consumers and thus generating more revenues. Increase product line: “Variety” or “uniqueness” is a very basic feature that attracts more customers into buying a company’s products or using their services. Not all companies provide the same kind of goods and services, it could be the same mundane kind or the one where the produce keeps changing from time to time. Either way, introducing a new line of a product could improve the availability of products to a larger span of consumers and also generates more revenue aside from the profits already being incurred by the existing products. Widen target consumers: Once the consumer population is broadened, the consumption of produced goods increases, thereby creating more revenue. This could be attained by improved and efficient marketing and customer-friendly services in order to retain the existing customers using whom many other potential buyers could be influenced. Advertising the goods and services must always be done with the motive of attracting more potential customers in a positive way and creating a good first impression. Flexible sales and discounts: Having a regular sale or rebate programme could greatly influence the demand of the product in the market. The customers will always like to have a negotiable discount that gives them a feeling of having the upper hand in the transaction. It might sound like a bad idea to keep running sales, but it actually helps in increasing the demand for products and therefore resulting in íncreased revenue. Limited time bonuses and free items could also be considered as an option to boost up the sales. Reduce the input: Every business needs a basic capital amount to be invested during the process of manufacturing and maintaining. This investment must be kept in check and always be maintained in a minimal amount in order to keep up with the profits. When the workers do not have sufficient work to do, it is best to layoff or restructure. Affiliate programs/partnerships: As internet usage has increased in recent times, affiliate programmes is the most reliable way of outsourcing. The affiliators post links of your product and your company portal in their website making the whole transaction process just one click away. Facebook and Twitter are doing a great job outsourcing as an affiliator. Understand the rules of the competition: Once we understand the competition and also our competitors, it is easier to break through. When we get the idea of how the market functions and what our competitors are upto, one can get access to their customer base by lowering our margins than theirs. Vendor relations should be regulated: Having the same vendors to supply you for a long term is not a very feasible idea. There must always be regular rotation of vendors in order to create more profits at lower prices as vendors would try not to lose their customers, so there could be lower pricing for the same work that you did previously in a higher cost. In case the vendors were not changed recently, there is always a chance to re-negotiate the contracts and ask for lower cost services. Every company aspires to have a safe, low cost and profitable market. It, however, depends on the way the company operates. So, by applying some basic techniques like those mentioned above, every company can bring in more than expected revenues in a much-protected way with lower losses.