I’m thinking most of my readers are familiar with the “Rule of 78s.” If not, it’s a term used in lending that refers to a method of yearly interest calculation.
I have a new rule of 78s that will help you improve your average gross profit. I call it the “Gimme $78 more” rule.
Most of the sales managers I work with today are very competent and many of them got the job because they were good closers. Therefore I believe most of them can get another $78 from every customer just by asking.
Unless you’ve already gotten the customer to pay the Internet price then for sure you can go back in and convince the customer to pay $78 more. Sure you can. I know you can.
And, if you have already gotten the customer to agree to the Internet price and if there happens to be a trade involved, surely you are strong enough to hold back $78?
So your goal this month is very simple. Get $78 more on each deal. Then next month do the same thing. In two months you’ve improved average gross profit by $156. Then do the same thing over the next two months…and now we’re at $312 improvement in average front gross.
Far too often we get hung up on kicking the average gross up by $300 or $400 at one time. We give up at some point because the elephant is too big to eat in a month’s time. Take a small bite each month and you will soon be there.
Don’t gimme a bunch of excuses as to why you can’t do it. Just gimme the rule of $78. That’s all I’m gonna say, Tommy Gibbs