1. Bundle a product offering. Bundling a product or service will increase your average order value, which in return increases profit. Fast food restaurant menus are a great example of this.
2. Features. Remove features from your product or service and offer them as an option. As a result, the overall gross price of the product will increase.
3. Examine and eliminate. Examine each product or service as an individual business. If that product or service isn’t contributing to the overall profitability, eliminate it.
4. Volume discounts. Offer higher discounts for higher volumes. This will produce higher profitability for the company.
5. Inventory. If you have non-seasonal inventory that has been sitting for more than 6 months, consider a flash sale. In my opinion, sitting inventory is nothing more than expensive decoration.
6. Assets. Sell off any idle asset. If the asset is no longer utilized by your company, sell it. Sitting assets are an unnecessary expense that could easily be converted into cash.
7. Commission. This is a bit controversial, even for myself, but it’s worth a mention. Consider lower salaries and higher commissions for your sales team.
8. Negotiate. When was the last time you negotiated with your suppliers? Even a 1% decrease in price will increase your profitability. If you don’t ask, the answer will always be no.
9. Become an affiliate. Does your company have a product or service that it religiously uses? Check to see if that company offers an affiliate program. Your company can make more money simply by referring.
10. Cross-promotion. Tap into a non-competing brand’s audience with cross-promotion. Promote their discount code to your mailing list and ask them to do the same!
11. COGS. Reevaluate your COGS. Are you overspending on supplies or labor? Remember a dollar saved is a dollar earned.
12. Shipping. Shipping costs are constantly changing. Double-check with your shipper and competitors to make sure you’re getting the best rate possible.
Bonus: Avoid cart abandonment by including shipping in the asking price of your product. Customers will often abandon checkout if there is an additional shipping cost. Amazon has made free shipping a standard. Sometimes it’s best to go with the flow and not against it.