How to Generate Revenue Now
We caught up with Sean Sheppard, Co-Founder of GrowthX and GrowthX Academy last week as part of our #CollaborativeCoffee series and discussed 6 tactics that startups can do right now to generate revenue.
Sean kicked off the conversation saying that it’s important to have the right mindset and take the time to plant the seeds so that you’re in a better position when we come out of this crisis. I couldn't agree more!
Whether you’re looking for investment or a customer, you can apply these tactics to generate revenue in the current climate.
Tactic #1
Orient yourself around the problem and the person. Understand how deep their problem is and address their needs. This may not have anything to do with the product you have or are building. This is where you have to be creative and think differently. Having an open mindset is critical to think about this from a different vantage point.
Tactic #2
Narrow your focus to a small subset of people with that problem who you think you can help, right now. Regardless of what stage your product is in - because it might not be about your current product.
Be honest about where your product is right now and look instead to solve the customer’s problem. Where can you leverage your knowledge and experience and offer a service or consulting. "Find the pebble that is in their shoe right now and then solve for it."
Tactic #3
Build a profile of a customer that meets the needs. What job would they hire you to do? Is there a job description that the product/service performs? What gains will they get for it? What metrics would be used to measure the change needed?
Again, focus on the problem, not the product. Be buoyant, open and creative. Be ready for all and every possibility. It might very well be core or adjacent to the problem you think you and your team can solve really well today.
Tactic #4
In 25 words or less construct a value hypothesis around the problem and the person. What is the use case? Why would someone hire you? Don’t be afraid to pivot. Look instead at the pressing problem they have today that you could help them with. How would you define a proof of concept? Staying on the field long enough is the goal right now!
Tactic #5
Monetize. How would you charge to solve their problem today? What is the fastest and easiest way to do business together? Go through it with your customer - get on the phone or video and have an open discussion. “Here is how I am helping others like you.” Charge the way people are used to paying and is easy for them, which might mean labor and consulting fees. Don’t make it complicated. You are not looking for your “Mister Right” instead you want to find your “Mister Right Now”.
Then construct a campaign that is customer and problem focused. The community at large is craving for content right now so where can you position yourself as a thought leader focused in your domain?
Tactic #6
Campaign execution - Conduct a focused, over-the-phone or video, campaign to reach out to the people in the bottom of your funnel who care. Sean suggests using the SPIN framework as a guide. Here is one resource on this framework.
S stands for Situation and these questions are used to help you get a better understanding of what’s going on in your buyer’s world.
P stands for Problem questions and these should be used to have your customer divulge to you their pains. You should aim to learn what’s causing them trouble and pushing them to look for a solution.
Now what comes next is I which stands for Implication questions and these should be used to highlight a cause and effect relationship based on your understanding of the buyer’s current situation.
N stands for Need-payoff questions. What this means is that you should be using these questions to highlight what the customer stands to gain by choosing to move forward with your product or service.
When speaking with your customers you can say “I think I can help you in this specific way and I want to understand if it’s true.” Ask situational questions. Find out what their need is and figure out how you can help. The goal is to understand, not sell.
In moments like these, it’s not the strong that survive, but the ones who are most resourceful.
This was brought to you as part of Connection Silicon Valley’s #CollaborativeCoffee series. We serve up informative and interactive discussions with Bay Area leaders throughout the week.
