CEO Tools Blog
Your source for business management and software
Home | Blog | About Kraig Kramers | Contact Us | Your Cart
Manager's Tools CEO Tools Book Manager's Media Alliances Syndication

Archive for March, 2010

Why not? Substitute with Lower Cost Offerings

Wednesday, March 31st, 2010

Why not…substitute costly services for less costly (niche into smaller, more specialized jobs)?   Maybe do much smaller jobs and create a niche which your larger competitors haven’t wanted to be in; example might be do remodeling construction instead of major projects.  Why not brainstorm this with your key people to see what might be do-able here? — Please leave your comment to add to these ideas below!

 

Why not? Combine or Unbundle to Grow

Wednesday, March 24th, 2010

Why not…combine your product/service offering, or un-bundle them, to create more sales?  Let’s say you’ve always included ongoing, free, anytime support services with your product or service.  What if you created a FAQ list with really appropriate answers, organize the list of FAQs to be easily searched, provided it on a CD as well as your website, and then charge for real-person extra support after the first two calls?  What typically happens is, customers adapt to this, already know how to use FAQs (even though you never had them before) and figure out most of the answers thedmselves.  And what you’ve done is help them to help themselves (they better understand your product/service) while cutting your costs, even if you never charge them for the real-person support (which I do recommend you don’t charge them). — Please leave your comment to add to these ideas below!

 

Why not? Use Price to Improve Value

Wednesday, March 17th, 2010

Why not…instead of adjusting price, adjust the amount you sell for the price?  For example, a pound of coffee isn’t anymore; it’s somewhere between 11 and 12.5 ounces.  Maybe you feel it’s sneaky to increase price this way, but it’s being done everywhere, right or wrong.  If the customer still perceives value, it’s probably okay.  Another idea: airlines, banks, and others have long been adding “fees” instead of just increasing price.  Again, right or wrong, it is what is taking place in the world and is now coming to be accepted.  The real question is:  how can you BEST increase your price, and still assure the customer gets a proper price-to-value deal?  Food for thought, analysis, trial, and implementation. — Please add your comment below to improve these ideas!

 

Why not? Partner with Suppliers/Customers

Wednesday, March 10th, 2010

Why not…partner with suppliers to share pain/survival by trading payment for price?  This means if you’re cash-rich, offer your suppliers quicker payment in exchange for lower price now from them, and similarly perhaps trade slightly higher price for delayed payment if you’re cash-poor.  You might do this with customers, too!  Why not give it a try right now with one small supplier? — Please leave your comment to add to these ideas below!

 

Why not? Parse &/or Cross-Manufacture

Wednesday, March 3rd, 2010

Why not…parse and cross-manufacture with non-local competitors?  This is the same concept as our February 24th blog, but now you contact non-local competitors where you could manufacture a jointly offered product and do so at lower cost due to the added volume of thos non-local competitors, and they could manufacture another product similarly for you to sell.   Overall cost of design, manufacture and QC go down, freight goes up a tad, and you both benefit with improved profits.  Why not call a distant manufacturer or two now? — Please add your comment below about these ideas!

 

Looking for Lenders? Click on the Link Below

Monday, March 1st, 2010

Looking for lenders, banks, or information on borrowing for business?  Many local and community banks as well as credit unions indeed have money and want to lend.  Check out sources at  and also inquire about SBA lending at the banks (reportedly, the ones that do SBA lending can lend up to $5 million guaranteed by one of the Government’s stimulus arrangements).

 

Search

You are currently browsing the CEO Tools Blog blog archives for March, 2010.

Archives Categories