Don’t underestimate the power of a 1% improvement
A simple 1% increase in prices can yield up to 10% in increased profits – Prof. Hermann Simon
Next time you look at your P&L, run projections with a 1% improvement in pricing.
Apart from pricing, the power of 1 is applicable on 7 metrics.
7 things you should improve by just 1
— Increase Price by 1%
— Increase Revenue by 1%
— Reduce COGs by 1%
— Reduce OpEx by 1%
— Shorten accounts receivable by 1 day
— Shorten inventory days by 1 day
— Increase accounts payable by 1 day
Collectively, just a quarterly 1% change can turn around your business.
Great framework by Alan Miltz to help brands improve their cash flows.
Ecommerce businesses are cash guzzlers.
Implement this framework for your own peace of mind.
One email a week on subscription retention: the numbers, the strategy, and what to fix first.
Rahi Jain
Rahi Jain is a subscription LTV specialist who helps DTC brands maximize their LTV from subscriptions.
More about Rahi
