Here’s How to Have a More Profitable Promo Biz!

If your  promotional products business isn’t as profitable as you would like it to be, and you’d like to put more money in your pocket, this month's post will give you proven ways to boost your bottom line!

Know Your Ideal Prospect.  The top selling promo sales reps qualify prospects quickly and are willing to walk away from those that don’t meet their criteria. I recommend that you make a list of characteristics of your ideal client:  Here are some ideas to put on your list.

·         How will they treat you?

·         What do they value most in a vendor?

·         How do they make decisions on orders?

·         How often will they order?

·         What industries do they work in?

·         What challenges do they have that you can solve with a promotional campaign?

Knowing the answers to these questions and many more will go a long way in helping you have a more profitable business. Be willing to walk away from those that don’t meet your criteria!   

Get Paid Upfront: Collect for your product or service at the time of the sale. This will go a long way toward increasing your yearly revenue.  If that can’t work, ask for a deposit that will cover your costs. This is your next best alternative to payment up front.  

Reward Clients for Prompt Payment. Send a complimentary letter along with a small gift to customers with prompt paying habits. People appreciate being recognized and they are much more likely to pay you promptly!   

Use a Cash Back Credit Card.  In the past, I’ve used a credit card that gave points for airline miles, but there were so many restrictions. These days, I use a cash back credit card. This puts thousands of dollars back into my business every year, plus helps me keep more accurate records of my expenses. In order to use this as a profit booster make sure you pay off your balance every month!   

Take Advantage of Early Payment Discounts and Supplier Rebates. Check your suppliers' invoices for payment terms such as "1/10 net 30." This means that if you pay within 10 days there is a 1% discount. Some suppliers offer rebates when your sales with them reach a certain dollar amount.

Niche to Be Rich: You can’t be all things to all people, but you can be a star in your target market! People want to do business with experts and experts can command higher prices. Clients are much less likely to price shop when they value your niche industry knowledge and expertise.

Join a Buyer’s Group. There’s are lots of buyer’s groups in our industry. Find a group that meets the needs of your business. I recently joined a free buyer’s group, We Promo, that offers exclusive discounts in return for your loyalty to their preferred suppliers. It’s a novel way to get preferred pricing without charging you, the distributor, a fee.  

Show Appreciation. Your clients want to feel appreciated. Never miss an opportunity to thank them for their business all during the year, not just in the holiday season!  Sending hand written thank you notes, gifts of appreciation or just picking up the phone and thanking them will go a long way in increasing customer loyalty! Loyal customers, who consistently purchase, lead to a more profitable business!

Want more ideas to increase the profitability of your promotional product business? Check out my latest free On-Demand Webinar at https://promobizcoach.com/top-10-must-know-ways-to-boost-profits-in-your-promo-biz/

Here’s to year-end filled with profitable orders and more ideal clients!

© 2021 Rosalie Marcus