How to Plan Your Revenue When You Sell an Expensive Product or Service

If you sell an expensive product, chances are good that you know a lot of people who’d love to own it, but have only a hazy sense of where your sales will actually come from. There are only so many hours in a week, and trying to “get out there more” or “sell harder” is a fast way to burn yourself out.

Creating stable revenue is an entire science unto itself, but in this article, I’ll walk through a simple way to focus your energy on most-likely revenue while still building a foundation for future business. This process is inspired by “The List” in Gino Wickman’s Traction, but I’ve tweaked it to make it more specific and actionable for small business owners. It’s tailored to anyone selling an expensive product with a specific pool of customers, but the principles can work for anyone.

Clarity and focus can drive sales — without making you feel like a dried-out husk of your former self. Let’s begin!

Step One: Make a List

In a new Excel spreadsheet, make a list of everyone you are at least 60% sure will buy from you in the next three months. This could be your old college roommate, the person you met at a networking event, or your child’s teacher’s spouse who expressed a strong interest in your product. Cast a wide mental net and remember that you’re brainstorming, not winnowing out.

If you can’t think of anyone for your list, you probably aren’t ready for this process. Instead, spend some time meeting more potential customers and developing your product and outreach to help solve their problems.

If you can think of lots of names, but without reasonable certainty that they’re ready to buy, add them to a separate tab of the spreadsheet. Then, schedule some time this week to get in touch with each of them and ask, “What would make you more excited to buy my product?” Listen carefully and see if you can implement some of their suggestions.

Step Two: Make a Guess

Next to each name on your spreadsheet, write your best guess for the amount of product each person is likely to buy or the amount of revenue their purchase will generate. Depending on what you sell, this could be simple (one handmade dining table) or complex (eight hours of garden design plus 15% mark-up on the plants you purchase for them). Use your best judgment and don’t fuss over the dollars and cents too much. Broad strokes!

Step Three: Do Simple Math

If you’re using a spreadsheet, this is nearly automatic. Add up the contents of your revenue column. Is it enough to cover your expenses? Your wages? Turn a profit?

If the answer is no, you’ll need to devote a significant amount of time and energy to meeting new customers while also working with your current prospects. Even if you have enough potential revenue to make some money this quarter, don’t get lazy! New customers are an important part of your revenue plan.

In business jargon, this is called “developing your pipeline.” In common sense, this is called “not putting your eggs in one basket.” Whether you sell piping or poultry products, be sure to schedule in time to get to know potential customers and markets. It’s good business practice, and it’s fun.

Step Four: Prioritize & Act

Sort the spreadsheet by the expected revenue column so that the highest amount is at the top. Then, spend the next three months focusing on reaching those people in descending order of revenue — using your best, most authentic ideas.

Spend time reaching out to new potential customers and old customers who may buy again. If you have time, get in touch with people you are pretty sure won’t buy from you and ask them how your business or product could improve. If you notice recurring ideas, consider making a tweak to the way you do things. And above all, keep making time to meet new people and new ideas.

Step Five: Do It Again

At the beginning of next quarter, repeat the process. Rewrite (or revisit) your spreadsheet. Review your customer lists and update them as necessary. Estimate your revenue. Reprioritize. With a little practice and discipline, it will be easy to focus on helping customers old and new, and use your limited time to the best effect.

To recap the process:

1. In an Excel spreadsheet, make a list of everyone you are at least 60% sure will buy from you in the next three months.
2. Next to each name on this list, write your best guess for the amount of product they will buy or the revenue you will make from their purchase.
3. Add up the contents of the revenue column. Is it enough?
4. Sort the spreadsheet by the expected revenue column so that the highest amount is at the top. Spend the next three months focusing on reaching those people in descending order of revenue — using your best, most authentic ideas. Scammy marketing makes everyone sad.
5. At the beginning of next quarter, repeat the process.

Ready to make a plan for reaching those interested customers? Whisk and Blend is delighted to develop outreach strategy, email segmentation, customer journey mapping, and more for your business. Browse our list of services or reach out to discuss your plans.