So far we have gone over how to increase the lifetime value of each customer by increasing the number of purchases (part 1) and then we discussed increasing the value of each sale (part 2)

Part 1 and 2 focused on great cost effective ways to leverage your existing business to increase your profits and I hope you got some great ideas already, but more importantly, I hope you have taken action on what you have learned so far.

Part 3 will be looking at leveraging existing lead generation sources such as advertising or referrals, direct marketing etc (don’t worry, well discuss those in part 4) and increasing the number of sales you get from existing leads.

You may have wondered previously why generating more leads has been the last section we discuss and the simple reason behind this is that generating new leads and prospects is the most expensive and time consuming activity in your marketing plan.

Additionally there is much less value in generating new leads if you have no back end sales funnel to generate additional sales from these new customers, no sale value increasing strategies in place to maximize the value of each sale, and lastly, no optimized sales process to maximize the percentage of new leads which convert to sales.

You see, once you have the first 3 steps implemented & optimized you will have much more leverage and power when it comes to lead generation, since you will be able to spend much more on advertising and other lead sources simply because you now make much more revenue per new customer than ever before!

So, let’s begin with your incoming call script.

If you already have an existing business that generates sales, chances are you are leaving a lot of money on the table by not attempting to optimize generating additional sales from existing customers.

It’s a fact that it is very much easier to sell something to somebody who has already made a recent purchase with you.

Psychologically, once a customer makes a purchase from you, they have give you their approval and trust, and will be far more likely to make another purchase from you, since they have already gone through the mental process of deciding if they should buy from you or not.

Once the first purchase was made, and the product offered value to them, you now have their trust.

Therefore with good marketing and follow up communications it’s very easy to get at least 30-40% of first time customers to purchase something additional from you again.

You will now want to set up an automated process (if possible) where you send additional communications to these existing customers with the purpose of generating additional sales. This is called making sales on the back end or back end sales.

The front end is the product you try to sell to a new prospect, which will then put them in the back end sales funnel (which can be completely automated) where you will market additional services or products to them.

In the following articles we will go over the different methods and strategies for making additional sales on the back end.