Positioning outcomes: Revenue growth
So what exactly happens as a result of better positioning? Similar to my series on symptoms of poor positioning, I’m going to do a series of posts on the outcomes of good positioning. Starting with the big one: revenue growth.
Revenue growth will not be immediate (ie, you will not clarify your positioning on a Thursday and see a big jump on Friday — at least not if you have a high touch sales process), but it can be fast. It does require implementation, of course — and if you have a low/no touch sales process and update the sales page, the results can be immediate.
The revenue growth generally happens because better positioning makes every stage of the marketing and sales process both more successful as well as easier to implement. As you start getting more leads and converting a higher percentage of them, revenue grows.
In addition, better positioning often makes it possible to increase prices — in fact, sometimes increasing prices is an important part of communicating your positioning as a niche, differentiated product.
If you combine the increased prices that are often a part of better positioning with more effective marketing and sales efforts and more deals closed, revenue goes up. The timeline varies based on how quickly implementation happens, but most organizations can see a difference in the numbers within three months.
Over the next couple days / weeks, I’ll go into more details about how positioning improves the marketing and sales process and when to expect certain indicators after refining your positioning.