June 28, 2024 • 11 mins
FREE One-Page Scalable Business Plan - https://www.joeyhyoung.com/one-page-plan
🔤 Blog post - https://www.joeyhyoung.com/blog/scale-sustainably-unlocking-seven-figure-revenue-with-business-optimization
➡️ Instagram - https://go.joeyhyoung.com/Instagram
How do you transform good business practices into great ones and push your online business revenue to seven figures? Join us as Joey Young, a business optimization expert, shares the secrets behind his Scale Sustainably process. Having skyrocketed his family's business to over $100,000 a month in revenue, Joey knows exactly how to squeeze an extra 10-15% in revenue and profit by fine-tuning existing systems, innovatively tweaking processes, and introducing high-margin products. This episode promises a treasure trove of actionable insights directly aimed at helping you outperform your competition and solidify your market position.
Joey breaks down the four critical step in his process, focusing on boosting sales, decreasing costs, and reducing customer churn. He delves into brainstorming strategies with your team, the importance of working within your core competencies, and the value of optimizing your product ladder. Whether it's adding a new complementary product or analyzing every facet of your sales process to identify opportunities for improvement, Joey’s practical advice will guide you through transforming your business. Tune in to discover how to leverage your unique advantages and accelerate your journey to seven-figure success.
Got Questions? Send them here and I'll tackle them on the show: joey@joeyhyoung.com
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Ready to scale your business? Book a free connection call here and let's chat!
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Joey Young (00:00):
Welcome to Bright Side Business, where we help
online entrepreneurs likeyourself scale to seven figures
and beyond.
My name is Joey Young.
I help grow my family'sprofessional service business
from 19,000 to over $100,000 amonth in revenue in under two
years, and I learned a lot oflessons along the way.
One of them I wanna share todayis all about business
optimization.
(00:20):
I have a process called ScaleSustainably where I help online
entrepreneurs go from five orsix figures to seven figures,
and this is step number four inthat process.
So if you want more context, goto previous episodes.
But this is a stage in theprocess all about optimizing
your business and getting thatextra 10, 15 percent of revenue
(00:41):
and profit.
So you've kind of got somesystems in place, you got things
rolling, but how do we get thatperformance edge in your
business?
How do we get that extra 10%?
There's a lot of ways we can doit.
I mean you got to becomfortable, first of all, with
breaking things that aren'tbroken at this stage.
If you're not comfortablegetting in the weeds in your
business and taking somethingthat works well a system, a
process, an area of yourbusiness like sales and really
(01:05):
breaking it apart like an engine, tuning it up, swapping things
out and putting it back together, you're going to have some
trouble.
This is what this step is allabout.
It's about taking good thingsand making them great in your
business.
It's also about maximizing yourunfair advantage in the
marketplace.
You know, just like we talkedabout in the priorities episode
a couple episodes ago, where youhave to focus on your
(01:27):
performance edge as a businessowner when you're under 20k a
month.
Now you're a little bigger.
We want to talk about what isyour business's area of
expertise and passion and how dowe leverage that to create an
unfair advantage in themarketplace and create a moat
around your business socompetitors have a harder time
gobbling up your market share.
And it's also this step is alsoabout adding potentially a new
(01:52):
product or service to your suite.
You know, maybe you'reexpanding and you want to create
a high margin.
You know low cost product thatwill work in tandem with your
current core solution, currentproduct or solution, you know,
and really take that momentumthat you built from the past
several years and just help itlaunch to success in a very
(02:12):
short amount of time.
It's actually a fun time to bea business owner at this stage
because you can really just pickapart things and solve problems
that you enjoy solving in yourbusiness.
So what are the steps tooptimize your business and
really get that extra 10-15percent?
The first step is to brainstorm.
We need to get a lot of ideason the table with the team about
(02:33):
opportunities to increase sales, increase revenue per customer
or per sale, decrease costs anddecrease customer churn.
These areas will help us toscale revenue and profit.
So we're going to increasesales, we want to increase
profit per customer, per sale,we want to decrease costs and
(02:54):
decrease customer churn and getmore repeat buyers and in those
four areas there's generallythree paths you can take to
improve in those four areas andthe first one is to just launch
a brand new complimentaryproduct or service.
It's basically choosing aservice that you can kind of use
(03:16):
in tandem with your coreoffering.
That's low cost to set up, lowmaintenance in terms of finances
and is really high margin andyou can sell to a really large
addressable market.
You know the key thing toremember if you're doing
something like this is that youwant to work within your
company's core competencies.
You don't want to stray out ofthat area of passion and
(03:39):
expertise or like way outsideyour current branding messaging,
because it's going to be a lotharder to scale a new product or
service that's just completelyout of left field for your team
and for your customers, so makesure it's within that realm of
expertise.
Also, you got to think about,you know, optimizing the value
(04:01):
ladder.
This is a really helpfulframework for launching a new
product.
If you have a, let's say,high-end product right now as
your core business, think aboutoffering something lower end.
It's cheaper, maybe isn't ascomprehensive of a solution for
your customers, but maybe it canbe a gateway for customers who
are not ready to invest in ahigher ticket item.
Maybe they buy it and then 20%of those people become customers
of your core offering.
Or maybe right now you do havea pretty low ticket product or
(04:25):
service.
Maybe it's time to develop amore comprehensive solution so
that you can take all thosecustomers you've built and push
them to a higher, more heavilyrevenue driving and higher
profit margin offer after theybought the lower ticket one.
So think about those things asyou.
If you choose to go down thepath of a new product or service
, the next path you can go downis improving your current
(04:49):
product or service.
So your core business whateverthat or service is maybe you're
you want to get that extra 10%of revenue by improving what you
already have.
And to get that brainstorminggoing, think about what urgent
and expensive problem you solveand for whom.
Get that really clear.
(05:11):
First of all, it might be aprocess you've done with your
team already, but really nailingdown.
This is the problem, the root,the actual true problem.
We solve for people and this isthe target demographic for that
problem that we solve.
And with that knowledge you canstart to ask yourself questions
about how to improve your coreproduct, Like how can we improve
the product or service to bemore comprehensive?
(05:33):
It's one of the best ways toraise prices and to increase
sales is to have it be morecomprehensive solutions so you
have a larger adjustable marketand just by, quite frankly,
raising prices you're going toget more margin from each sale.
So think about how to make thesolution more comprehensive and
applicable to more people andthat will help raise the amount
(05:56):
of sales you get.
Also, think about reducing costsfor your core product or
service.
What can you do with automation, with tools, with software,
maybe with a more strict policyor system or workflow to reduce
the cost it takes you know, costof goods sold or even overhead
to deliver your core product orservice.
(06:16):
Because if you can reduce costsand make things more simple on
the fulfillment end to deliver,you're going to make sure that
you get more margin from eachsale, you know.
And finally, how can you equipyour raving fans, those people
who love your product or service?
How can you help them moreeasily become a repeat customer
and renew or buy again?
(06:37):
And how can you help thembecome affiliates or have a
partner program or spread theword?
Just by giving them socialmedia tools to share with a
hashtag or something about yourbusiness.
Help the people who are readyand willing to buy from you and
to share your message, sharewith you, share with other
people by giving themopportunities like affiliate
(06:58):
programs and stuff like that.
So that's the path of improvingyour core product or service.
Let's say you're choosing thethird option.
You're like you know what.
We have a great product orservice.
I don't want to launch a newone.
I'd rather just scale what wecurrently have.
Our current offering, ourcurrent product or service is
good.
I just want to grow that.
I just want to do more sales,more volume.
(07:19):
Okay, that's a great path.
So you got to think about if yougo down that road, you know
what investments of time, ofskills will you need to equip
your marketing and your salesteam for this next phase of
growth.
What tools, software, whatpeople, what new processes, what
new skill sets or ventures willyou have to invest money and
(07:41):
time into to give your sales andmarketing team those extra
leads and those extra buyers tobe able to drive growth?
And how will you continue tomaintain your quality of
customer experience during thescaling process?
Really important question whatare you going to do to make sure
, when a customer who has 50peers all of a sudden has 500
(08:05):
peers who are also customers ofyou, has the same quality
experience, the same exceptionalcustomer service and
fulfillment and wait times andsupport and all the things that
you offer right now?
How will you stay ahead of that?
By investing in again teams andautomation and software?
That's going to be reallyimportant.
And then, finally, as you thinkabout scaling your current
(08:26):
solution, you know how can youleverage your raving fans by
giving them an affiliate programto just make sales for you and
giving them a piece of that, youknow, or just giving your
current customers tools tobecome repeat customers, maybe a
timely coupon or something tohelp them buy again, and that'll
just drive more volume.
So you got all these ideas hereto increase revenue, to reduce
(08:47):
costs.
So the last step of this processis to just decide.
You need to make an intentionaldecision as a leadership team.
Here's the path we're going andhere's the KPI and the date
that is associated with it.
So, for example, if you'resaying we want to start a new
product line, we want to startan online course, you would say
our goal is 5,000 sales of ournew online course in nine months
(09:10):
from today.
That's a very specific path togo down.
Now you've chosen theoptimization, the 10-15% edge
that you're aiming for at thisstage of your business, and
along with that comes anot-to-do list.
This is so critical.
Just like you've chosen justnow what path, what opportunity
(09:32):
you want to exploit, you have tobe really clear about what
you're not exploiting, whatyou're not going to invest time
and resources into.
It's a no list, it's a maybelater list, but everyone has to
have access to it.
So we no longer spend any moretime discussing other
opportunities as we focus onmaximizing the opportunity that
we have chosen to work on.
(09:53):
And if you're liking this stuffand you're like Joey, I love
this.
I want to scale my business.
I like this material.
You got to check out my onepage scalable business plan.
There's a link in thedescription of this video.
You can check it out.
Just go through it.
It'll give you a high levelpicture of your business on one
page so you'll know what areayou can work on.
Really, really helpful, Totallyfree.
And hey, if you like this videotoo, like, send me an email.
(10:16):
I'd love to hear your thoughts.
If you have a question or youhave an, you know, just an
epiphany based on something youheard here, just shoot me an
email, joey, at joeyhyoungcom.
We'd love to hear from you.
Or shoot me a DM on Instagramwith your thoughts or question.
That's at joeyhyoung onInstagram.
And while you're there, you canactually click a link in my bio
on Instagram to book a20-minute strategy call and
(10:38):
we'll talk about you and yourbusiness and what stage you're
in, what bottlenecks you'refacing, how we can help you
scale.
We and what stage you're in,what bottlenecks you're facing,
how we can help you scale.
We'd love to chat with you andwhatever platform you're on.
Please hit the subscribe button, if you can, and then the like
button, and then just take thelink and share it with a friend,
an entrepreneur friend whowants to scale their business,
so they can get some help inthis area of optimization.
And until next time, happyscaling, Thank you.
Welcome to Bright Side Business, where we help
online entrepreneurs likeyourself scale to seven figures
and beyond.
My name is Joey Young.
I help grow my family'sprofessional service business
from 19,000 to over $100,000 amonth in revenue in under two
years, and I learned a lot oflessons along the way.
One of them I wanna share todayis all about business
optimization.
(00:20):
I have a process called ScaleSustainably where I help online
entrepreneurs go from five orsix figures to seven figures,
and this is step number four inthat process.
So if you want more context, goto previous episodes.
But this is a stage in theprocess all about optimizing
your business and getting thatextra 10, 15 percent of revenue
(00:41):
and profit.
So you've kind of got somesystems in place, you got things
rolling, but how do we get thatperformance edge in your
business?
How do we get that extra 10%?
There's a lot of ways we can doit.
I mean you got to becomfortable, first of all, with
breaking things that aren'tbroken at this stage.
If you're not comfortablegetting in the weeds in your
business and taking somethingthat works well a system, a
process, an area of yourbusiness like sales and really
(01:05):
breaking it apart like an engine, tuning it up, swapping things
out and putting it back together, you're going to have some
trouble.
This is what this step is allabout.
It's about taking good thingsand making them great in your
business.
It's also about maximizing yourunfair advantage in the
marketplace.
You know, just like we talkedabout in the priorities episode
a couple episodes ago, where youhave to focus on your
(01:27):
performance edge as a businessowner when you're under 20k a
month.
Now you're a little bigger.
We want to talk about what isyour business's area of
expertise and passion and how dowe leverage that to create an
unfair advantage in themarketplace and create a moat
around your business socompetitors have a harder time
gobbling up your market share.
And it's also this step is alsoabout adding potentially a new
(01:52):
product or service to your suite.
You know, maybe you'reexpanding and you want to create
a high margin.
You know low cost product thatwill work in tandem with your
current core solution, currentproduct or solution, you know,
and really take that momentumthat you built from the past
several years and just help itlaunch to success in a very
(02:12):
short amount of time.
It's actually a fun time to bea business owner at this stage
because you can really just pickapart things and solve problems
that you enjoy solving in yourbusiness.
So what are the steps tooptimize your business and
really get that extra 10-15percent?
The first step is to brainstorm.
We need to get a lot of ideason the table with the team about
(02:33):
opportunities to increase sales, increase revenue per customer
or per sale, decrease costs anddecrease customer churn.
These areas will help us toscale revenue and profit.
So we're going to increasesales, we want to increase
profit per customer, per sale,we want to decrease costs and
(02:54):
decrease customer churn and getmore repeat buyers and in those
four areas there's generallythree paths you can take to
improve in those four areas andthe first one is to just launch
a brand new complimentaryproduct or service.
It's basically choosing aservice that you can kind of use
(03:16):
in tandem with your coreoffering.
That's low cost to set up, lowmaintenance in terms of finances
and is really high margin andyou can sell to a really large
addressable market.
You know the key thing toremember if you're doing
something like this is that youwant to work within your
company's core competencies.
You don't want to stray out ofthat area of passion and
(03:39):
expertise or like way outsideyour current branding messaging,
because it's going to be a lotharder to scale a new product or
service that's just completelyout of left field for your team
and for your customers, so makesure it's within that realm of
expertise.
Also, you got to think about,you know, optimizing the value
(04:01):
ladder.
This is a really helpfulframework for launching a new
product.
If you have a, let's say,high-end product right now as
your core business, think aboutoffering something lower end.
It's cheaper, maybe isn't ascomprehensive of a solution for
your customers, but maybe it canbe a gateway for customers who
are not ready to invest in ahigher ticket item.
Maybe they buy it and then 20%of those people become customers
of your core offering.
Or maybe right now you do havea pretty low ticket product or
(04:25):
service.
Maybe it's time to develop amore comprehensive solution so
that you can take all thosecustomers you've built and push
them to a higher, more heavilyrevenue driving and higher
profit margin offer after theybought the lower ticket one.
So think about those things asyou.
If you choose to go down thepath of a new product or service
, the next path you can go downis improving your current
(04:49):
product or service.
So your core business whateverthat or service is maybe you're
you want to get that extra 10%of revenue by improving what you
already have.
And to get that brainstorminggoing, think about what urgent
and expensive problem you solveand for whom.
Get that really clear.
(05:11):
First of all, it might be aprocess you've done with your
team already, but really nailingdown.
This is the problem, the root,the actual true problem.
We solve for people and this isthe target demographic for that
problem that we solve.
And with that knowledge you canstart to ask yourself questions
about how to improve your coreproduct, Like how can we improve
the product or service to bemore comprehensive?
(05:33):
It's one of the best ways toraise prices and to increase
sales is to have it be morecomprehensive solutions so you
have a larger adjustable marketand just by, quite frankly,
raising prices you're going toget more margin from each sale.
So think about how to make thesolution more comprehensive and
applicable to more people andthat will help raise the amount
(05:56):
of sales you get.
Also, think about reducing costsfor your core product or
service.
What can you do with automation, with tools, with software,
maybe with a more strict policyor system or workflow to reduce
the cost it takes you know, costof goods sold or even overhead
to deliver your core product orservice.
(06:16):
Because if you can reduce costsand make things more simple on
the fulfillment end to deliver,you're going to make sure that
you get more margin from eachsale, you know.
And finally, how can you equipyour raving fans, those people
who love your product or service?
How can you help them moreeasily become a repeat customer
and renew or buy again?
(06:37):
And how can you help thembecome affiliates or have a
partner program or spread theword?
Just by giving them socialmedia tools to share with a
hashtag or something about yourbusiness.
Help the people who are readyand willing to buy from you and
to share your message, sharewith you, share with other
people by giving themopportunities like affiliate
(06:58):
programs and stuff like that.
So that's the path of improvingyour core product or service.
Let's say you're choosing thethird option.
You're like you know what.
We have a great product orservice.
I don't want to launch a newone.
I'd rather just scale what wecurrently have.
Our current offering, ourcurrent product or service is
good.
I just want to grow that.
I just want to do more sales,more volume.
(07:19):
Okay, that's a great path.
So you got to think about if yougo down that road, you know
what investments of time, ofskills will you need to equip
your marketing and your salesteam for this next phase of
growth.
What tools, software, whatpeople, what new processes, what
new skill sets or ventures willyou have to invest money and
(07:41):
time into to give your sales andmarketing team those extra
leads and those extra buyers tobe able to drive growth?
And how will you continue tomaintain your quality of
customer experience during thescaling process?
Really important question whatare you going to do to make sure
, when a customer who has 50peers all of a sudden has 500
(08:05):
peers who are also customers ofyou, has the same quality
experience, the same exceptionalcustomer service and
fulfillment and wait times andsupport and all the things that
you offer right now?
How will you stay ahead of that?
By investing in again teams andautomation and software?
That's going to be reallyimportant.
And then, finally, as you thinkabout scaling your current
(08:26):
solution, you know how can youleverage your raving fans by
giving them an affiliate programto just make sales for you and
giving them a piece of that, youknow, or just giving your
current customers tools tobecome repeat customers, maybe a
timely coupon or something tohelp them buy again, and that'll
just drive more volume.
So you got all these ideas hereto increase revenue, to reduce
(08:47):
costs.
So the last step of this processis to just decide.
You need to make an intentionaldecision as a leadership team.
Here's the path we're going andhere's the KPI and the date
that is associated with it.
So, for example, if you'resaying we want to start a new
product line, we want to startan online course, you would say
our goal is 5,000 sales of ournew online course in nine months
(09:10):
from today.
That's a very specific path togo down.
Now you've chosen theoptimization, the 10-15% edge
that you're aiming for at thisstage of your business, and
along with that comes anot-to-do list.
This is so critical.
Just like you've chosen justnow what path, what opportunity
(09:32):
you want to exploit, you have tobe really clear about what
you're not exploiting, whatyou're not going to invest time
and resources into.
It's a no list, it's a maybelater list, but everyone has to
have access to it.
So we no longer spend any moretime discussing other
opportunities as we focus onmaximizing the opportunity that
we have chosen to work on.
(09:53):
And if you're liking this stuffand you're like Joey, I love
this.
I want to scale my business.
I like this material.
You got to check out my onepage scalable business plan.
There's a link in thedescription of this video.
You can check it out.
Just go through it.
It'll give you a high levelpicture of your business on one
page so you'll know what areayou can work on.
Really, really helpful, Totallyfree.
And hey, if you like this videotoo, like, send me an email.
(10:16):
I'd love to hear your thoughts.
If you have a question or youhave an, you know, just an
epiphany based on something youheard here, just shoot me an
email, joey, at joeyhyoungcom.
We'd love to hear from you.
Or shoot me a DM on Instagramwith your thoughts or question.
That's at joeyhyoung onInstagram.
And while you're there, you canactually click a link in my bio
on Instagram to book a20-minute strategy call and
(10:38):
we'll talk about you and yourbusiness and what stage you're
in, what bottlenecks you'refacing, how we can help you
scale.
We and what stage you're in,what bottlenecks you're facing,
how we can help you scale.
We'd love to chat with you andwhatever platform you're on.
Please hit the subscribe button, if you can, and then the like
button, and then just take thelink and share it with a friend,
an entrepreneur friend whowants to scale their business,
so they can get some help inthis area of optimization.
And until next time, happyscaling, Thank you.
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