Attention Trade Exchange Owners. . .It�s GROW OR GO!
The magic bullet for growth is sales, always has been and always
will be...yet the industry�s overall growth is anemic. Why? Maybe
it�s because we�re not providing on-going education about our unique
way of doing business. Knowledge is always a pre-requisite to taking
And for those newcomers, the lifeblood of an exchange, awareness of
and understanding about the value of trading is even more important.
If you expect prospects to come aboard and your members to be more
active traders, but you are perplexed when the results are less than
you desire...there�s a good reason. You must continually educate
and motivate every month--month after month after month!
Such action is necessary because, let�s face it, more cash business,
not trade, is of paramount importance to your members. You must
break through this �cash only� focus and redirect their thinking
toward barter. Although most exchanges don�t see the importance of
doing so, many industry leaders are taking action and so can you.
As the owner of your own operation, there is an easy and
inexpensive solution for moving forward...look
into using The Competitive Edge newsletter. It�s a
camera-ready, 4-page, professionally written, informational
marketing tool...available in PDF format as well as print. So
regardless of how you reach your prospects and clients, you will
have the necessary vehicle.
Written especially for you, the busy trade exchange owner, I am
certain it will be the best investment you ever make.
For more information about The Competitive Edge, and how it
can benefit you
Want To Increase Your
Productivity By 10% A Year?
can increase your productivity by using the art of comparison, also
known as bench marketing. It�s the art of comparing your practices,
processes or services with better practices, processes or services.
You make comparisons with your competitors, other industries, other
departments or work centers.
process facilitates continuous improvement. �What are others doing
more effectively than we? What must we do to achieve that level?�
The performance of �others� sets a benchmark against which you are
contrasted. It implies a willingness to measure as well as the
courage to be measured. It�s common sense nicely packaged.
International visitors look for BARTER CONTACTS in our Global Barter
Section. If YOUR exchange isn�t listed see the forms on the lower
left of the page. (Click
Attention trade exchange owners...thousands of visitors every month
visit our BARTER CONTACTS section on our web site where we have
names & addresses of barter companies in the USA. If YOUR exchange
isn�t listed, or the information is incorrect, you can correct the
situation by using the forms to the lower left of the USA map. (Click
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Gain And Retain More Customers Using
Customer Flow Analysis
After studying the cost of advertising and promotion, most
businesses find that it takes about three visits for a customer to
start becoming profitable. Therefore, successful businesses are
those which spend considerable time and effort getting to know their
customers, and understanding the economics of both acquiring and
Unless a business is increasing its number of customers, it is
either going out of business or treading water. Therefore, it is
vital for a business to set up a tracking system to monitor both the
increase of new customers and the retention of existing ones.
Usually, a business that does not monitor its customers closely
makes bad advertising decisions.
Here is a customer-flow analysis questionnaire which will assist you
in evaluating your focus on the acquisition and retention of
customers�which will help you make good advertising decisions.
1) Do you know the average acquisition cost per customer?
Take the total advertising and promotion budget and divide it into
the total number of customers per day, week, month, quarter, and
2) Do you know the average acquisition cost per new customer?
Take total advertising and promotion budget and divide it into the
number of new customers per day, week, month, quarter, and year.
3) Do you know how many new customers come into your business each
day, week, month, quarter, year?
customers if they�ve shopped or purchased here before and make a
tally on a New Customer Sheet.
4) Do you know what areas your customers come from?
Post a map of the general area, and ask customers to stick in a
push-pin where they live. At the end of a week or two you will see a
cluster where the majority of your customers are coming from, and
major gaps where they are not coming from. Then you can redirect
your marketing and promotion to those gap points.
5) Are you encouraging your customers to refer your business to
friends and associates?
Make sure each customer receives a certificate or discount for
bringing a friend, associate or family member. Everything from
mother/daughter or redheads, to boss/secretary or
teacher/student�specials encourage your customers to tell someone
6) Do you know how many customers you need to achieve break-even
each day, week, or month?
Divide your daily operating costs by the average dollars each
customer spends. This gives you the number of people you need to buy
from you each day to achieve break-even. Example: daily operating
costs equal $1,000. Average expenditure per person $10. Total number
of people needed to buy daily to achieve break-even is 100.
7) Do you know how many more customers above break-even are needed
to achieve various profit level goals?
Using the same basic formula determine how many additional customers
will be needed to start generating the profits you desire.
Remember that your fixed costs are already paid for once break-even
is reached. Given your variable costs, how many more customers will
be needed to achieve your desired profit?
8) Do you have a Customer Quality Control System that gives you
customer feedback on how you can stay competitive?
you randomly calling your customers to see if they were satisfied
with your service, product and price? And then asking how you can be
of more service to them?
9) Are you up-selling each customer to maximize the return on sales?
you strategically designing your promotions and advertising to
assure the customer gets a good price, while you are presenting and
offering additional higher-profit items to them once they are in
your store or place of business?
10) Are you monitoring the competition�s service, products, and
price to insure you are not overlooking any competitive edges that
would attract more customers?
There is nothing dishonorable in studying the competition. Every
major sporting team does it. And every major business does it. So
you shouldn�t feel uncomfortable going into and examining anything
and everything the competition is doing.