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Revenue: The More The Better!
 Revenue growth is an important indicator of the success of your business, particularly during an economic expansion. Revenues are driven by managing two subcomponents, which are quantity sold and price. Simple in concept, more difficult in execution. This is because you operate in a complex environment where you have to win business against other competitors and other uses for your clients’ funds. And you have to manage both new and existing clients to maximize the revenue contribution of each. So there are a number of factors that have to be optimized to achieve higher revenue growth.
ConnectWise PSA gives you the tools you need to focus on the components that drive revenue growth, from opportunity identification and management to product and service price/cost tools. Because ConnectWise PSA was built exclusively for IT Solutions companies, you will discover that we help you with revenue growth by providing both process automation and information to identify and measure your greatest revenue growth opportunities.
How Do You Know If You Have Revenue Growth Problem?
Take a look at the following list of questions. Answering as indicated on several of them may suggest a need to focus your attention on growing revenues:
- Does your revenue growth, at minimum, exceed the growth rate of the economy? Does it exceed the rate of inflation?
- Do you have revenue growth targets for specific products and services that are backed by strong value propositions understood by everyone in your company?
- Do you have new client acquisition goals? Are those goals being achieved?
- Do you know how your products and services are priced as compared to your competitors?
- Can your client-facing employees demonstrate or explain that the value of the products and services you offer exceeds the price?
- Do you offer ancillary or complementary products so your customers are able to make additional purchases if so desired? If yes, do your existing clients purchase these additional products and services?
- Do you know your average client value, now and over time?
- Do you have specific programs to up-sell and cross-sell clients other products and services? Do you measure results?
- Does each function or department in your company know what value they add for your clients?
- Are your agreements simple enough that clients clearly understand what you are delivering them for the price you charge?
Causes & Cures For Your Revenue Woes
Management of your IT Solutions company can be boiled down to a need to focus on the three key areas that matter: Knowing, Doing, and Measuring. These are described in the Overview of Management & Workflow Problems. It is important for you to create long term solutions to your challenges, and not just quick fixes. ConnectWise PSA was built on industry best practices (ITIL Standards) and is continually honed to give you a business automation solution that meets your needs now and in the future. By attending to these three key areas, ConnectWise PSA helps you set up a ‘virtuous cycle’ that permits you to continually achieve success for your business.
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Cure |
Knowing
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- You don’t know the gross margin for each of your products
- You do not know your price and value for each product and service as compared to your competitors
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- Know your pricing flexibility by knowing the cost of that revenue
- Know your competitors and what value they offer for their prices, as compared to you
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Doing
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- You cannot turn around a quote fast enough to facilitate the buying process
- You have not defined the specific steps of your sales process and/or do not measure results against them
- Sales does not conduct effective discovery and so cannot appropriately quote solutions that meet client needs
- You use cost plus pricing without consideration to the value offered or as compared to your competitors
- Your revenue goals are not based on historical performance modified for current conditions
- You have no up-sell or cross-sell programs and processes
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- For quotes, automate in advance everything you can
- Have a quoting process that is followed and measured
- Make sure you know who your highest potential prospects are that the activities targeting them are accelerated
- Develop professional looking marketing materials and use them consistently
- Develop and train all employees on opportunity identification for existing clients
- For your most popular products and services, test value based pricing and make sure the sales process sells that value
- Develop specific programs to introduce existing clients to other products and service, then execute on those programs
- Remember that people can get in the habit of ignoring unrealistic or unjustified revenue goals, which is worse than not having any targets
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Measuring
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- You do not have revenue growth goals against which you measure performance
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- Watch key metric trends for average value of a client and number of products/services purchased
- Measure the success and elapsed time for each step of the sales process
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ConnectWise PSA Helps You Solve Revenue Growth Problems
ConnectWise PSA will turn your revenue growth problems around quickly. Some of the major functionality that helps you accomplish this includes:
- The ability to import prospect lists and once imported, to manage a series of targeted marketing communications to develop awareness and interest.
- The ability to segment prospects based on parameters you select, so you can market products and services of interest to them to yield a higher win rate.
- Integration with quoting tools so customized and personalized quotes can be created and sent in an instant, and then maintained in the customer record.
- Powerful pipeline management tools help you manage prospects by probability, urgency, expected value and more.
- Dashboard and reporting tools to help you manage individual or group sales pipelines, know which prospects are in which sales process stage, all current and historical activities and elapsed time between pipeline stages.
- Reports that provide information to help you analyze your pricing, gross margin by product or service and products/services sold within date ranges to help you best determine optimal pricing.
- New and existing client sales reports to help you measure the effectiveness of your cross-sell and up-sell programs.
- Forecasting tools and reports to help you manage to your projections and understand sources of variance.
This list is not exhaustive, but it is representative to give you a sense that ConnectWise PSA truly can help you grow your revenues. Our solution drives optimization in the marketing and sales processes, and importantly, turns everyone in your company into sales people by allowing them to identify and act on opportunities.
ConnectWise PSA: The Total Business Automation Solution for IT Solutions Companies
ConnectWise PSA is a complete suite of modules that automate and integrate every process in your IT business: Find & Win Opportunities; Capture, Plan & Schedule Won Deals; Manage Projects & Services; Track, Approve & Invoice; Analyze & Report; Integrate to Internal & External Applications. ConnectWise PSA is offered both as premise based or hosted (subscription based) solution.
Learn more. See all ConnectWise PSA Product Module Features.
The sole purpose of ConnectWise PSA is to give you transparency into and control over your business, a faster and higher cash flow, more revenues, greater profits and higher levels of client satisfaction.
See How ConnectWise PSA Helps You Solve Other Management Problems.
See How ConnectWise PSA Helps You Solve Your Workflow Problems.
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