Where Do Your Sales Come From?

Leaders love to talk about revenue streams by showing graphs and charts  with the breakdown of sales categories. It is important to know the percentage of sales generated by products or services and to monitor trends, especially growth and decline of your business revenue.

However, there is one critical component that every business has in common, which is never discussed. 100% of your sales come from one place. Your customer! When you look at it that way, it sheds a stronger light on why companies need to put more  emphasis on building an incredible consistent customer experience that becomes your number one competitive advantage and helps make price irrelevant.

What is Your Company’s Biggest Expense?

Another major focus of executive leaders is analyzing the company’s P&L to determine where the company is over spending, being wasteful, and how to reduce expenses to drive more profit to the bottom line. However, the company’s biggest expense does not show on your P&L. At least not directly, it is hidden. There is no line item for poor customer service but nothing may have a greater impact on your bottom line than dissatisfied  customers. It can dramatically cause loss of sales, decline of company reputation, lack of new customers/referrals, an increase in returns & refunds, increased discounting, more service recovery, higher advertising expense, lower morale, higher turnover, increase in hiring, and more training, which further perpetuates a poor customer experience. It is imperative that every person in your company understands that your biggest expense is dissatisfied customers.


The DiJulius Group


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