Thursday, March 11, 2010
DISCOVER THE 5 SECRETS TO GET YOUR BUSINESS BOOMING ONLINE
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The 5 Key Performance Zones™

PROFIT_PENTAGON_V03The 5 Key Performance Zones™ is an online business development framework. By understanding how it works, you'll have the knowledge you need to ensure your business performs at its peak from every angle.

The 5 Zones are:

 ZONE 1  GET MORE LEADS

Attract new prospects, increase referrals and capture more potential customer contact details. 

 ZONE 2  IMPROVE CONVERSIONS

Capturing the lead is only half the job. Importantly, you need to ensure that they choose you! You need to convert your prospects into actual buyers.

 ZONE 3  BOOST SALES

A happy customer is the best sales tool your business can have. So why not help your customers get more of what they want? See your sales soar by getting your customer to not only spend more, but do so more often and also tell their friends about it! 

 ZONE 4  INCREASE MARGINS

But why stop at sales? Certain online tools and techniques can also help you to reduce your costs and increase your productivity - two ways guaranteed to boost your bottom line.

 ZONE 5  FORGE A STRONGER CONNECTION WITH YOUR CUSTOMERS

Finally, your business is constantly changing. You need to keep your finger on the pulse of what your customers want and where your market is heading. 

By knowing where your market is heading (Zone 5), you'll know how to best generate new leads (Zone 1). So as you can see, The 5 Key Performance Zones™ flow precisely into each other - forming a complete 360° approach to help ensure your sustained success online. 

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IMPORTANT: Within each Zone there are numerous online tools and techniques available to you. You may have already tried some. For example, Search Engine Optimisation (SEO) and Google AdWords (Pay-Per-Click advertising) are just two possibilities in Zone 1. These are great tools for getting Leads, and if done properly you may even achieve good quality Leads. But why risk going broke on AdWords when you could possibly make more money with less cost by lifting your conversion rate? Or by using social marketing techniques to exponentially expand your prospecting base on the cheap?

The 5 Key Performance Zones™ forces you to think holistically about your business’s performance online. It helps you to not only choose, but strategically position online tools and techniques to maximise your business performance. So the next time some Internet salesperson approaches you from out of the blue offering to get you on the front page of Google, you need to look beyond the flavour-of-the-month and ask yourself where exactly is the technique positioned in The 5 Key Performance Zones™? Is it in the Zone that will give you the best bang for your buck?

Example: Using The 5 Key Performance Zones™ to drive productivity... and profit

Improvement in just one Zone will lead to a better bottom line for your business.

That's a plain fact.

However, improvement across more than one Zone and you'll be making exponentially increasing profits. A simple 10% improvement in Zones 1 to 4 and you can realise an overall profit increase of 81.5% becuase of the follow-on effect.

Here's a straightforward, yet powerful example of how this works - so you can see the figures up close: 

Performance ZoneOnline Activity (example)Current 10% Improvement 20% Improvement 
 LEADSAttract new prospects using PPC and targetted Email Advertising
1,0001,100 1,200 
 CONVERSIONSImprove conversion rate by using Online Testimonials and strong Calls-To-Action
20% (200)22% (242)
24% (288)
 SALESIncrease average spend using eNewsletters and promotional online sales
 $300$330$360
 MARGINSReduce Cost of Goods Sold by using CRM technology and automating the sales process online
$200$180$160
 CONNECTIONUse Google Analytics to track website usage and marketing spend 
 -- -- --
 Total Sales$60,000$79,860 $103,680 
 Total Cost of Goods Sold$40,000$43,560 $46,080
 Profit $20,000$36,300 $57,600
 Profit Increase (%)  N/A81.5%188% 

Description: Imagine the column titled “Current” is your actual current situation, while the column titled “10% Improvement” contains your new forecasted figures (related to the small 10% boost in each Zone). It is quite remarkable how your profit can increase exponentially - and it is usually not too hard to achieve a small 10% improvement, so why not go after a 20% one? If you are wondering about Zone 5, it is a special zone. It’s used as a connector zone to ensure the 360° flow of the framework. 

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As you can see, it takes only small, calculated improvements across each Zone to add up to a huge overall profit increase for your business. Therefore, the secret to success online is simple: You must perform at your peak in all 5 Zones, not just one or two - and with 100's of online tools and techniques available, it's usually not too hard to achieve a 10% improvement... or maybe more!

Whether or not you already have a website, we can help your business power ahead online. During the Performance Plus Programme we will share with you our formula for making significant improvements to your 5 Key Performance Zones™.

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