What kind of investment can help your business make the most of the current sluggish world economy? It’s not as bad as it once was, but it’s not exactly stellar either. The World Bank’s growth outlook for 2017 is subdued, at best. “Weak investment… with heightened policy uncertainty… financial market disruptions, and weakening potential growth.” However, the growth rate is up a bit – from 2.3 percent in 2016 to 2.7 percent this year.
Economic downturns are common. Businesses tighten their belts, reduce spending, and shrink staff to weather the downturn. But once the outlook becomes positive, they rehire and increase spending again. And the cycle continues.
But what if you want to make more of the currently tight market? This may be the perfect time to invest in giving your recurring revenue strategies a boost.
Recurring Revenue Functions Can Reduce Costs and Strengthen the Bottom Line
Recurring revenue is the bedrock of sound, stable financial returns. While it is often overlooked in favor of other more exciting or dramatic business functions, a solid recurring revenue strategy will provide better and more stable returns for companies that want to shield themselves from the fluctuations in global spending.
So, where to begin? The opportunities for improvement are often vast. Most recurring revenue operations are characterized by manual processes that are both inefficient and rife with inaccuracies. The processes are repetitive and have a heavy administrative load: identifying due dates, interrogating data, and generating quotes and invoices.
By introducing some basic business rules and an automated workflow, the positive results can be almost immediate.
A series of structured automated processes that won’t break down and don’t rely on people (who may require a sick day, vacation time, or could leave the company) will ensure continuous and stable recurring revenue operations. These workflow processes will also unlock operational savings across your business, and allow you to use your skilled staff for sales rather than wasting their time on manual administrative tasks.
The direct results of these simple improvements to your recurring revenue operations will include:
- Increased revenues
- Cost reductions
At a time when your competitors may be focused on more flashy investments, you can scale your business for growth no matter what the global economic outlook looks like. So invest now to save in the mid-to-long term.
Get additional strategies for reducing churn and increasing profitability with your renewals program with the white paper, “Optimizing Your Renewals Will Lead to Increased Profitability and Reduce Churn.” It addresses ways to improve on-time payments, reduce time-consuming tasks, and boost customer satisfaction.