FEATURED POST OF THE WEEK

Our long-form article of the week. You can always view the current and past featured posts on Empower’s blog.

The hidden reasons your business may not be growing (despite your best efforts)

It’s an uphill battle to grow a business that’s broken from the inside. Oftentimes, I’ll hear entrepreneurs say they have a marketing, sales and/or product problem. They lean toward that conclusion because there are signs of:

• A sales velocity slowdown.

• A decrease in lifetime value.

• A decline in foot traffic.

• Increased acquisition costs.

Sometimes, the conclusion is right. In other instances, it’s a misdiagnosis. What then happens is swift action to rebuild a sales team or double down on marketing spend, only to see the same, or worse results. Then, after a lot of time, dollars and headaches, the team is forced to evaluate deeper what’s going on, deconstructing processes, customer journeys and ways of working to pinpoint the bottlenecks and chinks in the chain.

The “Aha moment”

That moment when you finally discover the real problem brings both relief and frustration. Relief that you've found the issue, but frustration that you've spent months fighting the wrong battle:

• The thing that appeared to be a sales problem ends up really being a customer experience problem.

• Goals get missed because the team's work isn't aligned with what you perceive to be the most important priorities.

• Marketing efforts may seem less efficient, but a bigger inventory issue impacts your ability to deliver to customers.

• Customers aren't returning because the experience you deliver is inconsistent and unreliable.

I get it. It’s demoralizing to miss targets quarter after quarter. It’s tough to see the negative reviews. It’s scary to watch the cash reserves drain. You feel the impulse to take action drive more new money in the door.

A quick diagnostic framework to help

Before diving straight into the deep end of revenue-generating activities, consider the root causes of what’s holding you back first.

There are many approaches to diagnosing the true causes of growth challenges. One framework I’ve referenced in this newsletter here and here is the Five Whys.

If you’re embarking on this path of discovery, I encourage you to revisit it. You’ll probably be surprised by what you uncover.

The cracked foundation

You can hire as many salespeople as you want. But, if you can’t deliver high-quality products and services to customers on time and to expectations, growth will still suffer.

If you have big aspirations but feel stressed because you’re being held back, consider this: 

Can you effectively build a sturdy multi-story house with a cracked foundation? 

No.

You might be able to build for a while, but you’ll only add new problems and amplify old ones. The more you try to build on top of that faulty foundation, the more risk you’re adding and the house likely won’t withstand its first big test. Worse, the cost of repairs will be much higher than if you addressed the problem at the first sign of a crack.

Similarly, you can’t expect to sustainably take your business to new heights if you don’t mind fundamental aspects of your operations. The weight of growth will eventually expose the weaknesses and cause structural failures, whether that’s:

• A sudden spike in customer churn.

• Reputational damage.

• Uneven and unpredictable cash flow.

• High employee turnover.

• A flawed supply chain.

You feel the difference in a business with streamlined operations. There are fewer fires to put out, a consistent rhythm, higher customer trust, a dedicated employee base, and more.

Taking the next step

I know revenue and the activities that drive the business's top line are “sexy.” I know cash is king. But before building upward, make sure those foundations are stable. Invest in repairing operational issues sooner so they don’t cause even more pain when you need them least.

Your business deserves a chance to thrive, so give it the tools to do so. The encouraging part? Much of the internal stuff is within your sphere of control and influence. Tighten up the ship and the rest will follow.

If tackling all this feels overwhelming, and your team already has too much on its plate, Empower can help. Reach out and learn more about how we’re supporting business owners facing similar challenges.

WEEKLY DOSE OF EMPOWERMENT

If you would like to submit a tip to be shared with the Empower community in a future newsletter, please reach out at [email protected] with the subject line “Weekly Dose of Empowerment Submission.”

Tactics to become more concise

I’m a big fan of Wes Kao’s newsletter. This isn’t the first time I’ve referenced it.

Last year, she put out a piece about how to be concise. It’s a skill so important in business. It also often appears simple on the surface but takes a bit of finesse to execute.

Disclaimer: I’m always trying to improve in this area myself. Sometimes I’m more successful than others. All that’s to say, I’m not perfect here, either.

For this week’s dose of empowerment, I’ll summarize the nine tactics she outlined. Hopefully, they’ll aid in your journey to master concision:

1. Figure out your main point. This includes: processing information, making sense of it, deciding what’s important, organizing it and saying it out loud.

2. Distill the main point down to 2-3 sentences. This forces you to state your hypothesis and your needs.

3. Avoid explaining events chronologically. Getting to the punchline upfront will make you appear more competent, strategic and organized.

4. Remind yourself to shorten delivery. Ask yourself key questions to make sure you’re communicating the main point effectively.

5. Exercise situational awareness. Notice how people are responding to you in real time and adjust as needed.

6. Don’t be too concise. Don’t force people to do too much heavy lifting, and don’t leave out crucial information in service of being concise.

7. For written use, “Main point above, context below.” You’ll cut to the chase first, without losing relevant supporting information.

8. For longer, verbal use, leverage signposting. Tell your audience where you’re taking them so they do less work to follow along.

9. Offer to elaborate. Be clear on the areas you can expand upon and deliver that to your audience as requested.

This was just a summary. You can go deeper with these topics by reading the full article in the link above.

JESSICA’S READ, OR LISTEN, PICK OF THE WEEK

A little something that got my gears turning this week and might pique your interest as well!

From Growth Unhinged: From selling access to selling work (and what it means for you)

TL;DR

When it comes to software-as-a-service (SaaS), we’ve become accustomed to pricing models geared around payment for usage or users. However, the rise of AI platforms brings a pricing model shift. Instead of selling access, we’re seeing experimentation with selling outcomes or work. That’s what this article is all about.

The evolving monetization trend is relevant to any founder developing new software products, but also any business owner who may be a consumer and leverage these tools to power their business. It’s still the early innings, but the implications are worth digging into now.

JUST FOR FUN

Really, this section is just for fun. Who knows what will be in store each week?

I just got back from five fully packed days at Austin’s annual SXSW conference and festival. It was a great opportunity to meet new people, serendipitously catch up with old connections and engage in conversations about innovation across industries.

I also got to experience quite a few inspiring brand activations. Rivian, a large sponsor of the whole event, really pulled out all the stops. At its Electric Roadhouse, as one example, the company partnered with conscious creative agency, Are You Mad, to show consumers how to make waste “sexy” again. While Are You Mad is an agency, they also do extensive education and R&D pushing the boundaries of what’s possible with waste.

The video below shows a micro demonstration of what they’re capable of creating with plastic waste. The agency’s physical work goes much further than these carabiners. It was fun to talk to their team and see larger-scale examples, too.

LOOKING FOR MORE EMPOWERMENT?

You’ve worked hard to build your business. Let’s work together to make it last. We want to be your partner in the journey to develop the business that lives into your vision.

There are four primary ways Empower can partner with you to support getting your business to the next level. Click the image below to learn more about our core offerings.

If you’re ready to take the step, reach out to discuss how we can support your goals. 

If you were forwarded this newsletter and enjoyed it, I encourage you to subscribe and join the Empower community.