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- What to do when you have a slump in your funnel
- How to recognize the problem, take action, and fix it
Why did your sales decrease? And how can you recover from drops in revenue — especially dramatic drops in revenue?
My name is Matt Ackerson, and I’m the founder of AutoGrow.co.
Today, I’m helping you to answer these important questions because in your business, you’re going to go through growth cycles. And sometimes, that involves revenue dropping (often just temporarily, not for an extended period of time).
The first thing you need to know is: don’t panic.
Stay calm. You want to approach this with a clear, logical, and open mind because you can fix it.
You can fix it.
Why Did My Sales Drop?
Step 1 (Did I make any changes?):
The first thing that I want you to ask yourself in evaluating why your sales dropped is this:
Was there something that I stopped doing as far as my marketing, or even in the construction of how I offer my product or service?
For example, maybe you’re a digital marketer and you were offering full service as far as setting up your clients’ online ad campaigns. Maybe there was a very specific need that you were helping them to meet — and then you stopped advertising it.
Even if you are still offering it, the design of your new ads might have caused sales to drop.
In our case, we have seen revenue drop on and off based on how consistently I have done these Matt Hack videos.
Just as a side note, I’ve noticed in past that video is highly correlated with an increase in sales. I’ve personally purchased from people that I admire and respect just because I want to learn from their videos. I think that hearing an actual voice can make all the difference in building trust.
And, in fact, video now appears in 70% of the top 100 search results on Google – so if you’re not using it, you should be.
In our case, when we stop Matt Hacks, revenue falls, and when we start them again, it jumps back up.
So, if you didn’t stop something, did you change something?
For example, did you stop offering some sort of additional benefit that may have been more important to your audience than you expected?
Maybe you added an additional step, or introduced more friction into your sales funnel, than you realized?
Or maybe you made a mistake somewhere, and there’s actually a zero multiplier happening.
Maybe there’s something broken in your app that makes it extremely difficult (or significantly more difficult) for people to convert into qualified leads and sales on your website.
Step 2 (Did something out of my control happen?):
Here’s another thing worth considering: did something change that is outside of your control?
For example, we were making about $1,700 a month from the evergreen launch of one of our products. And then just recently, it went down to almost zero.
We only saw a trickle of sales coming for it. And I was like, “Why is this happening?”
For two or three months, it was growing … and then nothing.
We thought maybe it was the landing page — maybe images weren’t displaying right on mobile and on Macs, for example. But fixing it didn’t move the needle at all.
So, if you believe it may be something outside of your control, not necessarily something you stopped doing or changed, then ask yourself this:
Which metric above the sales metric in my funnel actually changed?
When we uncovered the issue with the evergreen funnel not working, we also noticed that the number of opens had decreased significantly. So that meant that our emails were probably going into the promotions folder.
That may have been something outside of our control because it could have just been Gmail getting more aggressive through its algorithm.
So, that was one of the metrics that we were able to look at to understand.
To remedy the situation, we’ve already changed the landing page. We made it faster to load, and we even added a double opt-in, just in case that was the issue.
And now we’re still making some other changes to see if we can get back into Gmail’s good graces — and we hope that it’s going to help.
But at least we understood the issue, and now we know how to start growing again.
So you want to look at the metrics above the sales metric to understand what may have changed, especially if it’s something outside of your control.
Here’s the one action that I want you to take to wrap up this video: I want you to ask yourself what you can do that isn’t necessarily something new.
Because, again, maybe it’s something that you stopped doing or that you need to go back and undo or change. (Kind of like control Z in Microsoft Word — if you make a mistake, you can undo it, go back, rewrite it.)
What can you do that is not necessarily something new to get your sales growing again?
When sales drop significantly for your business, it can be stressful. It’s hard to think clearly, and rationally, and logically but that’s when you need to do it most.
So to help you do that, I recommend that you get out a blank piece of paper, a notepad, or even a dedicated journal that you can write in, and just write down everything that you are thinking and feeling. Getting those feelings out is going to help you to be more rational and logical in evaluating what the problem is and what you can do to change it.
And, otherwise, strengthen your sales funnel again, so you can start growing and recover from that revenue drop.
And further, when you brainstorm those changes that you can make, just double check with yourself first. Is this aligned with where I want to take my business?
Maybe you made a change to how you are selling because you wanted a better work/life balance or something. Keep that in mind as well — don’t compromise what’s really important to you just to up sales.
I’ll be talking about using a journal more in an upcoming Matt Hack, so to learn more about that (as well as future actionable tips) be sure to subscribe to our weekly and daily email newsletter.
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If you want more help uncovering things that are leaking money and bleeding leads in your sales funnel and on your website, check out our Sales Funnel Diagram Pack.
These are 28 original sales funnel diagrams that are going to help you to set up your sales funnel faster. They’re going to help you to uncover those leaks that are bleeding leads and losing money for you. They’re going to inspire you by showing you what’s possible because these diagrams are taken from my study of multi-million-dollar and billion-dollar businesses.
At the making of this video, we have a special going on where you can save $20 as a new email subscriber for a limited time when you buy the Sales Funnel Diagram Pack.
Again, there are 28 original diagrams that are relevant to all different sorts of industries. And if you have clients, you can use them to help you communicate more effectively.
They even include strategy videos where it’s me actually walking you through each sales funnel diagram, letting you know the strategy behind each and why the flow is set up the way it is. So, it’s a really great deal and really great value for you and your business.
As always, my name is Matt Ackerson and I’m delivering you your daily dose of Matt Hacks.
Keep hustling. Stay focused.