Businesses never make money by saving money. Instead of trying to save money in your business, you must invest your money in such a way that it earns a return for your business.
Instead of cutting costs, watch this short video and inspire yourself to start thinking about where you should be investing your resources.
- Calculate your Cost Per New Customer, or CPNC. Your CPNC is your customer’s projected value divided by 3. This calculation satisfies the “Rule of 3” from the video.
- Find ways to invest in increasing your customers’ loyalty to your business. Is there a way to make your customers thrilled, happy or excited about doing business with you? Brainstorm some ideas, pick one and execute it.
- Share some of your suggestions on how to make wise business investments on this page.
- The Rule of 3 says that every dollar spent should add at the very least $3 to your bottom line.
- By using the Cost Per New Customer (CPNC), you’ll increase the odds that your make money in your business when advertising.
- Investments in customer loyalty tend to yield the highest returns for small businesses.