What would you do for 1 more point of margin?

Just one more point of margin can transform your business. One point can increase most distributors earnings by 20+%!

The good news is you can gain a point of margin without alarming your sales force or risking sales. Here are some facts from our practice:

  • 20 to 30% of your sales are incidental and not price sensitive
  • Your average customer spends less than $200 a year per incidental item they buy
  • Most firms only make 5 to 7 points more than their average margin on incidentals
  • Profit2 clients make an average of 10 to 12 points more on incidental sales

You can safely increase incidental sales margin by 4 to 5 points. This increase on 25% of sales drives a 1 point company margin increase. And there’s more! We help you price all sales. Over time, our average client increases margin on total sales by +1.7 points.

If your business is complex…if you have a lot of special pricing and costs…and if you’re concerned about gaining the support of your sales force…Profit2 is a better solution.

Our firm was founded by distribution executives who have sat in your chair. We’ll understand your business. Together we’ll develop an approach that combines our analytical tools and experience with your team’s knowledge of your business. You’ll have more control over your pricing than ever before. We’ll show you how to get the active support of your sales team. Schedule an Executive Briefing with Paul.

Regards,

Dave Roller

2018-11-30T19:47:12+00:00March 6th, 2018|Articles, Featured|