Unrealised Income
Few businesses would feel they could not create more revenue or earn more profit. Perhaps churn is higher than you’d like. Or expansion revenue isn’t where you expect. Or new business (new logo) revenue isn’t what you’d hoped. Or margins aren’t at the right level.
These issues point to Unrealised Income. Unrealised Income exists when revenue and profit aren’t yet at a level you can achieve. Even businesses performing well feel they could do better. And as you improve revenue and profit performance, you also drive up your company valuation.
A Side-benefit
Maximising financial performance for your company should benefit your career. That will increase your personal income. And who wouldn’t like their personal income to be a bit higher?
Customers
You’ll enable a core business outcome which your customer’s higher management will regard as a success. And that will improve their revenue and profit as well.
So, Unrealised Income applies at the company, personal and customer level.
Eight critical problems combine to create Unrealised Income. We call these the Un Problems. Income from Outcomes addresses all eight:
Unengaged
Customers and prospects have changed the way they buy. They now engage vendors much later. This late engagement has caused vendors’ influence during the buying cycle to plummet.
Vendors who want to re-establish influence early in the buying cycle need a new approach.
Unexpanded
Expansion revenue from existing customers (upsell and cross-sell) isn’t as high as it might be. This Un Problem has three facets:
• You’re not covering all customers on a regular basis
• You’re not meeting the right line-of-business executives
• You don’t have a strong business driver underpinning your expansion program
Unscaled
You need to provide business insight to prospects and customers. The challenge lies with what insight you provide, and doing this at scale.
Uncompetitive
Your competitors are a lot like you – meaning customers find it difficult to tell the difference. That drives a race to the bottom on price. How do you stand out?
During the sales process, salespeople know they should engage the decision-makers. But they often hesitate and don’t get to the executives as they should.
Subscription pricing has moved the power back to customers. If the customer cancels their subscription, you can lose money. It has become more important to engage with customers with the highest chance of success.
Unaligned
This Un Problem has a few aspects.
- Vendor Alignment – how do you create a common focus to align each department?
- Staff want a sense of purpose. How do you create this?
- Partner Alignment – you have a strategy and message to the market. But your partners aren’t always aligned with you. How do you simplify alignment of partners?
- Customer or Prospect Internal Alignment – a customer or prospect usually has many people involved in a buying decision. And the multiple buyers lack alignment, making selling difficult. How can you create the needed alignment?
Unvalued
By the end of the sales process, the customer or prospect has a set of hopes for what they want to achieve. Often, their hopes aren’t met. Regardless of whose fault it is, unmet hopes can lead the customer to cancel, reduce or stagnate their subscription. How do you increase the chance of customers feeling successful, and growing their spend with you?
Unsung
How can you increase the number of references and advocates you have?
Unmet
How do you ensure alignment within your business on the product roadmap?
Eight problems combine to create Unrealised Income. An outcome program addresses each of these problems.
And that will allow you to tap into Unrealised Income.
NEWSLETTER
