Lean Sales Growth
Are you cutting corporate muscle rather than excess fat, to achieve sales growth?
In the quest for finding the balance between sales growth and profit improvement, companies can easily tip the scales to reducing growth by making the wrong cuts.
Companies need a balance of cost-cutting and lean sales growth strategies for a profitable future. The cost-cutting is often in response to changing markets, and it will provide short term relief. But sales and marketing require careful analysis and management if you are to achieve growth; and, most of all, sustainable growth.
Cost Cutting vs. Growth
Senior Managers and CEOs anxiously await financial reports and then pore over them with the intent of making effective decisions for building the company’s profitability. A clinical approach and standing out for many companies is the cost of sales and marketing. Areas that are popularised by accounting as a good place to start cost-cutting.
The thinking is that existing customers will drive growth if they are well serviced. What company does not have that as its intention every day? The companies focus shifts from new business acquisition as a lead driver of growth to market pulled growth from customers.
Cost-cutting does not lead to growth;
it is reliant on your customers growing, not your company driving growth.
It is typically devoid of consistent new business acquisition
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