- Original Poster
- #1
14 weeks in........starting to get into a bit of a groove!
the history trail starts here - http://www.ukbusinessforums.co.uk/forums/showthread.php?t=152937
So, whats the major update this week? it feels like NOTHING has happened this week but.....here are some highlights
this has been my busiest week BY FAR - revenue is up 22% on my previous best
Better still, now that i'm well on top of my pricing and sourcing, stock costs were down to only 40% of sales - usually sitting at about 55%
but it feels like we've done the whole week without even breaking sweat!
I've conducted some research on my new customer offer and decided to go from
50% off your 1st order
to
25% off your 1st 4 orders
the new offer works better for ME because
1. I make nothing on the 50% off offer - and if they spend more than £30, i lose a few pounds
2. the type of customer attracted by the 50% offer tends to take the discount and we never see them again
3. the 25% offer means i make something on every order and the type of customer attracted by the service/product (and not the 50% offer) benefits by getting more off a discount for using the service more often
4. I am able to offer more ad hoc discount offers to my regular customers because i'm not in fear of getting stung by someone coming in for the 50% off offer.
Feedback from a straw poll of my friends is the new offer looks better to them as customers and it works better for me as a business.
It also allows me to avoid putting lots of T&C's and a hefty rewrite of the code on the web site to make this change. Also, the 50% off was preventing me adding more products and services with a smaller margin on them - but now the pressure is off.
So, i've just to offload the last box off flyers and give it a couple of weeks before relaunching
I've made contact with several big companies and i'll be launching the new discounts along with a big email campaign to companies offering their staff this discount - plus a further ongoing staff discount.
OH, the BIG news this week is that we won our 1st AWARD - Best use of local produce and suppliers at the local Food festival!!!
I've also made contact with another 2 people who can promote my service/products up close to small groups of 15 at a time (twice per week) - all people who are intersted in cooking/food. So, that could prove a new source of customers.
The other thing i've had to do this week is knock business back - had an enquiry to supply some trade customers, but i'd have to cut my margins and the time involved in supporting the new customer would mean it'd would be costing me to take the business. So, i recommended another local company that I know can do the job and let the client know it wasn't our kinda work - yet.
So, been a pretty laid back, easy week. especially given it was the busiest. feels like things are falling into place and i feel the customers can pick up on the fact we know what we are doing now.
Also, i've gone back to doing all the deliveries myself in the evening - i had been using a driver before i took on my assistant. It's great meeting the customers face to face, and i'm pretty sure thats why we've had a much higher rate of returning customers lately. Also good to get the feedback on the service directly.
Been doing a revised financial projection for the next qtr. looks like i might not have to put anymore cash into the business - though still 6 months before i'll think about taking anything back out!
so there, my random witterings for the week
the history trail starts here - http://www.ukbusinessforums.co.uk/forums/showthread.php?t=152937
So, whats the major update this week? it feels like NOTHING has happened this week but.....here are some highlights
this has been my busiest week BY FAR - revenue is up 22% on my previous best
Better still, now that i'm well on top of my pricing and sourcing, stock costs were down to only 40% of sales - usually sitting at about 55%
but it feels like we've done the whole week without even breaking sweat!
I've conducted some research on my new customer offer and decided to go from
50% off your 1st order
to
25% off your 1st 4 orders
the new offer works better for ME because
1. I make nothing on the 50% off offer - and if they spend more than £30, i lose a few pounds
2. the type of customer attracted by the 50% offer tends to take the discount and we never see them again
3. the 25% offer means i make something on every order and the type of customer attracted by the service/product (and not the 50% offer) benefits by getting more off a discount for using the service more often
4. I am able to offer more ad hoc discount offers to my regular customers because i'm not in fear of getting stung by someone coming in for the 50% off offer.
Feedback from a straw poll of my friends is the new offer looks better to them as customers and it works better for me as a business.
It also allows me to avoid putting lots of T&C's and a hefty rewrite of the code on the web site to make this change. Also, the 50% off was preventing me adding more products and services with a smaller margin on them - but now the pressure is off.
So, i've just to offload the last box off flyers and give it a couple of weeks before relaunching
I've made contact with several big companies and i'll be launching the new discounts along with a big email campaign to companies offering their staff this discount - plus a further ongoing staff discount.
OH, the BIG news this week is that we won our 1st AWARD - Best use of local produce and suppliers at the local Food festival!!!
I've also made contact with another 2 people who can promote my service/products up close to small groups of 15 at a time (twice per week) - all people who are intersted in cooking/food. So, that could prove a new source of customers.
The other thing i've had to do this week is knock business back - had an enquiry to supply some trade customers, but i'd have to cut my margins and the time involved in supporting the new customer would mean it'd would be costing me to take the business. So, i recommended another local company that I know can do the job and let the client know it wasn't our kinda work - yet.
So, been a pretty laid back, easy week. especially given it was the busiest. feels like things are falling into place and i feel the customers can pick up on the fact we know what we are doing now.
Also, i've gone back to doing all the deliveries myself in the evening - i had been using a driver before i took on my assistant. It's great meeting the customers face to face, and i'm pretty sure thats why we've had a much higher rate of returning customers lately. Also good to get the feedback on the service directly.
Been doing a revised financial projection for the next qtr. looks like i might not have to put anymore cash into the business - though still 6 months before i'll think about taking anything back out!
so there, my random witterings for the week
