Many of us business owners lose sight of opportunities when we are focused on promoting a single product. There are other channels of business that can supplement, help you stand up taller, and increase revenue when you sleep. Learn more about our 3-Point System.
What this article touches on further breaks down dimensionality with a customer segment. Beyond our 3-point system, we want to think bigger about the opportunity of a business and highlight how it comes to into light to be a robust, dimensional system of revenue growth.
Example: Here is a high-growth-focused sales organization. Their product set might look something like this on the surface level:
Analysis of your Process
Customized Plans
Coaching for your Sales Team
HR, Recruitment
Training Program for New Hires
They get paid on a fee-for-hire, one-time, or recurring revenue model.
All of this is one-dimensional. It doesn't look like it since there are many products in a few categories, but the principal approach is one-dimensional, and it is alarming for a business to work only in this direction.
Why?
Because to have only 1-real channel of business and a product set in that category can leave you vulnerable if there is a major market shift, and it doesn't create dimensional growth opportunities. You can begin to think dimensionally with our 3-Point System: Active, Passive, and Referral sales enable immediate inbound and top of funnel marketing. When you start to break down the opportunities within the product set, you start to build out a 3rd dimension, and it starts to look more like a prism.
What this article touches on is something we wouldn't have imagined 5 years ago, but was evident during the pandemic:
Many street-side businesses suddenly had to shut down, and they didn't have any alternative revenue streams.
We also saw it during the Suez Canal when the supply chain was delayed.
We saw it during the war in the Ukraine when shortages in raw materials were felt everywhere.
Actually, we saw this during the Gulf War in the 90s, but many of us were too young to realize.
Growth for so long before this time was pretty simple, and we didn't have to worry about major market fallout. We could just have more of the same thing. Now, it is important to think dimensionally and set aside creative time to approach your widget from many angles, such as market shifts and geopolitical circumstances.
Here are Two Very Different Examples
If you are into restaurants, just build more restaurants – license the name or franchise, build more. When you have maximized that effort, wholesale or even better create a fundraising stream.
Hello Krispy Kreme. BUT → it's still all just mostly promoting and selling doughnut in different ways. If you run out of oil, wheat and sugar, what do you do? Krispy Kreme actually solved for this with their licensing program with Keurig K-Cups and Jelly Beans.
BUT → what if the world goes on a health kick and decides all sugar is bad? I'm not sure we have a solve for this yet! Solving for the worst-case scenario is sometimes impossible, but it is worth keeping in the back of your head.
If you are into car washes, why not add more or layer on oil changes?
BUT → if you want to take it to a new level and create something like Gloss. And imagine adding in a membership club with a signature OTT channel with Gloss-races and Gloss-reality TV showcasing Gloss-Approved cars? You could even get a certification system going for Gloss-Approved and sell to high-end car companies. Those in the network would buy into the cars that fit this lifestyle and can only use this carwash. Long are the days of going out with the boys, now you 'Get Glossy.' Could even have your own beverage line or better, shinier hair products to match your car, custom jackets. I mean, I could go on all day long!
BUT → what if the world comes to an end and we stop driving cars? I suppose unlikely, but in this case, no problem. We have already developed a whole TV channel with the lifestyle.
At a minimum, you need to take a step back and rethink your strategy.
Dimensional product development is about creating a multi-faceted, resilient, and adaptable approach to your business, ensuring it can weather many types of storms and capitalize on opportunity.
Think of your business as a prism: on the surface, it might just reflect light, but when you look closer, you see it refracts light into a spectrum of colors. Each color represents a different aspect of your business, from digital and physical product offerings to a three-point system of active, passive, and referral sales channels. This diversified approach is not just a strategy; it's a necessity for survival and growth in today's ever-changing market landscape.
Understanding Dimensional Product Development
Simply put, go beyond a single source. This is not to say you should abandon your existing efforts; you should hone in and be absolutely certain of your core product set and its unique attributes. But, it needs to keep evolving.
It's about thinking both digitally and physically, ensuring that your business doesn't rely solely on one channel, product set, or customer base. This approach requires innovation, flexibility, and a deep understanding of your market and potential markets. It's also about connecting the dots of your product and service with other channels for growth.
The starting point for most businesses, as mentioned, often includes a range of products or services that, while varied, operate within a single dimension. This might involve different types of services like analysis, customized plans, coaching, and training programs, all within the realm of sales organization support. While this might seem diversified, it's essentially one-dimensional if all these services are delivered in the same manner, to the same customer base, and with a similar value proposition.
This will be different for each business and will depend on how they think about their activity. It should also evolve and stay active, constantly considering a feedback loop and learning more about how the business can evolve.
I like to build single dimension Prism Canvas' and then put them all together:
My business is Superstruct, and our core product is the 360º Assessment + Growth Plan. We operate mainly out of the District in New Haven.
Active | Passive | Referral | |
Digital | 360º Assessment + Growth Plan ($$$ Fee for Hire) | eBook with Work Sheets (Free download + $$$ Paid 1x Revenue) | Partner with ConnexMarkets to output into a signature program for their borrowers |
Physical | White Board Strategy Session with a Customer $$ Fee for Hire) | Speaking Opportunity at Conference | Co-hosted in-person Workshop with ROIALâ„¢ |
The Prism Analogy
A prism takes a single beam of light and refracts it into a spectrum of colors. Similarly, your business should reflect its core capabilities into a wide array of products, services, and channels that can capture different market segments and sales opportunities.
Active Sales: This involves direct selling through personal interactions, digital marketing, and outbound sales efforts. It's about actively reaching out to potential customers and convincing them of the value of your products or services.
Passive Sales: This includes income streams that don't require constant active selling, such as subscription services, licensing deals, or product sales through e-commerce platforms. These provide a steady revenue flow without the need for constant direct interaction.
Referral Sales: Leveraging existing relationships to generate new business. This can be through formal referral programs, partnerships, or through the organic spread of your brand by satisfied customers.
Implementing a Three-Point System
To implement a three-point system effectively, you need to diversify your approach across each of these systems: active, passive, and referral sales channels.
This could mean developing digital products that complement your physical offerings, creating subscription models for your services, or establishing partnerships with other businesses to cross-sell products.
Digital Transformation: For physical businesses, creating digital counterparts or enhancing physical products with digital features can open new markets and create passive income streams. For example, a restaurant could offer online cooking classes, or a car wash could develop an app for booking and payments.
Subscription Models: These can provide a steady income and foster customer loyalty. For a sales organization, this could mean offering ongoing coaching or analytics services for a recurring fee.
Partnerships and Referrals: Establishing partnerships with complementary businesses can open new channels for referral sales. For instance, a recruitment firm specializing in sales personnel might partner with a sales training provider to offer a combined package to clients.
Adapting to Change
The pandemic, supply chain disruptions, and geopolitical events have shown the importance of being adaptable. Businesses that had diversified their offerings and sales channels were better positioned to pivot and survive when faced with unprecedented challenges. Dimensional product development is not just about growth; it's about resilience.
Dimensional product development is about recognizing the potential within your business to refract its core capabilities into a spectrum of opportunities. By thinking digitally and physically, and implementing a three-point system of active, passive, and referral sales, you can ensure that your business remains vibrant and robust in all times. The future belongs to those who can see beyond the one-dimensional, who can innovate, adapt, and grow in multiple dimensions. Let your business be a prism, reflecting not just light, but a spectrum of opportunities.
Like what you see? Let's dig in together.