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Article:
Increase Business Profits by: Steve Gillman How do you increase business profits? Answer the following questions carefully, and you'll have a good start. 1. Can you increase the average sale? A restaurant with 25% profit margins might make 50% on additional sales to existing customers (less labor to bag one large order than two smaller ones). Asking 'What would you like to drink with that?' works, and it's just a start. 2. What's the least expensive way to get a customer? Before you spend another thousand dollars advertising to get new customers, could you get as much business by spending a few hours contacting previous or existing customers? 3. What low risk ideas can you try? I once sent a letter to several visiting basketball teams, inviting them to visit our restaurant, and giving the coach a free meal as an incentive. The cost? Two dollars. The pay off was two busloads of customers. At that rate, you could increase your business profits even if nine out of ten ideas fail. 4. Have you tested prices? I knew a store that sold a product for a $1.'05
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