7 Ways to Raise the Profitability of Your ISP

Simple Things You Can Do Today to Grow your Bottom Line

by Christopher M. Knight [May 18, 1999]

1. Create an add-on product that you can offer at the point of sale:

Many studies have demonstrated that at the moment the customer makes the "buy" decision, he or she has decided to trust you. At this moment, you can offer them additional services or products that may add value or benefit to their life or business.

Some processes to think about automating: follow up/contact management reminders, sales autoresponders, easier automatic signup process, mail/merge for custom sales letters, database cleanup, etc. This does not always mean losing or firing folks, it means eliminating human labor on activities that can be automated.

What would this mean to your profits this year?
(Look for the beginning of a two-part article on the relative advantages and disadvantages of facilities-based versus non-facilities-based operations beginnig tomorrow on ISP Planet.)

Eliminate marketing activities that aren't producing a return; concentrate your investment in activities that are producing a better return. If you don't know which marketing activities are making your best return, the time to find out is now.

You'll probably get a 70 to 80 percent turn-down rate, but looking on the positive side, this means that 20 to 30 percent will say yes to some additional business. The revenue improvement should be significant.

What's the difference between this number and the target you've had for your ISP? What actions do you need to change today to create a different reality before 1999 is over? ISP-Insanity is doing the same thing over and over again, and expecting a different result. To get a different result in any business, you have to take different actions.

If you're still sending invoices via snail mail, why not send out envelope-stuffers ads with your bills? Contact your business customers, and offer them the opportunity to add a 1/3 sheet coupon or stuffer in your monthly customer invoices for a fee. Some ISPs are making $ thousands a year off this hidden asset; so should you.