So, you see all the lost opportunities slipping away. You’ve recognized that your service techs, customer service reps (CSRs), and comfort advisors aren’t converting 100 percent of their calls, and you know there has got to be something out there to help recover some of that lost revenue. Right?
Revenue Generation vs. Revenue Recovery
We are really talking about revenue recovery here. But, what is that, exactly? What is the difference between revenue recovery and revenue generation?
Revenue generation is what you have grown accustomed to each and every day of being in business. It is the top line number that you look at first, when you get your monthly financial statements. It’s what drives most businesses and is the easiest number to measure.
Revenue recovery, however, is the art of saving all the revenue that is being lost in a normal business day. It’s the missed and unbooked calls in the call center. It’s the lost customer that you couldn’t get to. It’s the sales lead that didn’t close, and the high repair opportunity that opted to not do anything. It’s all of these calls. And more.
When you stop and think about the amount of money that you are losing, every day, due to these lost opportunities, it’s staggering. The impact that your business could feel, even if only 10% of them are saved could be significant.
What are you doing with these lost opportunities? How are you improving your chances of recovering that missed revenue, and what processes do you have in place for doing so?
The impact that an inside sales representative can have on your contracting business is shocking at first. It may be hard to believe that someone in this position can generate as much revenue recovery as I’ve seen, but I assure you that it is very real, and very possible.
Consider for a moment a technician running three calls per day at an average ticket of $300. If they are converting at 60%, that leaves six calls that opted to not spend their money with you.
3 calls/day x 5 days = 15 calls per week
60% conversion rate = 9 calls with work being done by your company
40% loss rate = 6 calls that chose not to do anything x $300 average ticket = $1,800/week that is lost
$1,800/week x 52 weeks = $93,600/ year in lost revenue. This is for one technician, and those are low numbers! Now multiply that by 10 techs, and you’ve lost nearly $1,000,000 in revenue. That doesn’t include the other lost revenue from the CSRs and comfort advisors.
Is it worth it to recover some of that? Is it worth it to pay a dedicated professional to focus on these misplaced dollars?
That’s up to you.