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IGNITE INNOVATION: “If you’re losing money on every deal, try to make up for it in volume." Say

The situation: This company, a systems integrator, engaged my services after tripling in size the prior year. I was brought in to provide some structure and training to the sales department. What I discovered was the sales team was being paid handsomely for bringing in unprofitable deals, based on top line revenue numbers only. Products were very low profit, and were becoming a commodity. Services were high profit and were true differentiators. The sales force was discounting services (the value-add) to win bids for products. Top line revenue growth was through the roof, but bottom line profits were declining at an alarming rate. At the same time, hundreds of competitors were entering

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