Reading time: 8min
Before we jump in, here is a quick term clarification so that everyone can follow:
Value: One of the most used words, yet nobody knows what it truly means. The value equation below will clarify it.
I know that your biodiversity organization is vital for preserving nature, but how can you convince others to increase your sales?
I saw many nature-driven people struggle to find the right strategy to make their message resonate with potential customers or donors. So I wanted to tackle the “how to increase sales” topic next!
Now, instead of studying business for years, I highly recommend you to read the book $100M Offers by Alex Hormozi. It is 150 pages packed with business wisdom.
But you might not have the time for this either, so today, I will share with you my favorite part of the book. How to use Alex Hormozi’s value-boosting trick that will help your nature business or NGO double your sales.
Double the sales of your Nature organization with this value equation
Value is such a buzzword that everyone talks about, yet definitions are unclear, and everyone seems to value other characteristics regarding products, services & co.
So I love Alex Hormozi’s take on that. He simplified it into four key components:
- dream outcome (increase);
- perceived likelihood of achievement (increase);
- time delay (decrease);
- effort & sacrifice (decrease).
Combined, these four key elements make up what we often call value. If you nail this one, it will help your biodiversity organization to double your sales easily.
The 4 value equation components you need to increase your sales
1. Dream Outcome
The dream outcome is the final goal of your customers – what do they really want to achieve? What are their deepest desires? Basically, it represents the gap between where they are now and where they would like to be. This is the component you always want to increase with your nature venture.
2. Perceived Likelihood of Achievement
Next, you must consider the perceived likelihood of achieving this desired outcome. So, how much do your customers believe that your solution can enable them to make this dream come true? Here again, this is a factor you always want to increase for your target customers.
3. Time delay
This one is an easy one. Basically, how long do customers need to wait until they reach their dream outcome? This is an aspect you want to decrease for your customers so that they don’t have to wait too long.
4. Effort & Sacrifice
Finally, there is effort and sacrifice. It refers to how much work (and money) customers will need to put in before they see results from using your product or service. If they think there are too many hoops to jump through before seeing any benefit, then they may decide against investing in your offering altogether. So decrease this aspect as much as possible.
By considering each part of this Value Equation, your biodiversity organization can create an attractive value proposition. It increases customer engagement and leads to doubling your sales; triple and more!
OK, that was a lot to take in. So, let’s break it down with 2 concrete examples to make it much easier to follow.
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Example of how to apply this value equation for a biodiversity business and double your sales
To be specific, let’s take a biodiversity DNA monitoring company. They provide organizations with the data and insights they need to make informed decisions about their environmental impact.
To do this exercise right, it is crucial that you know who your target customers are. Of course, you can always have a generic value proposition, but it gets much more powerful if you create value for a specific group.
Now, let’s say, in this case, the target customers of your biodiversity monitoring company are corporate companies. So, we adopt this value equation for them.
What is the dream outcome of corporate companies?
The dream outcome for corporate companies is to be perceived or become a company that cares. That is their deep desire, so that they can stay in business for the next decades.
How to increase it: Communicate this dream back to them. Show them that you understand them and explain how your solution will get them there.
Example: Design your communication over social media, website & co., in this way to reflect this dream outcome.
What is their perceived likelihood of achievement?
Here, the corporates look for more hard facts. How big are the chances that this biodiversity monitoring will get me there?
How to increase it: Make it a no-brainer to choose your product because of your great success rate.
Example: Use testimonials from other companies that clearly show how you helped them to get to this dream outcome. Back it up with numbers if you can.
What would be the time delay before they get to their dream outcome?
Corporations move slowly, but they are looking for fast solutions that can solve their problems ASAP.
How to decrease it: Reduce the time investment on the corporate side to the maximum.
Example: Measure the entire onboarding from the first demo call to the implemented solution on the ground. Flex with that number and constantly try to increase it further.
What are the efforts and sacrifices that corporate businesses are ready to make to reach their dream outcome?
Corporations want the dream outcome, but like us humans, they will always choose the way of the smallest resistance.
How to decrease it: Put as much work as possible on your shoulders to lift it off from the corporate. The less work it is for them, the bigger the chances you will succeed.
Example: If they would do this entire work in-house, they would need to hire people, create a task force, spend time on research, etc. Show them how your product is a plug-in solution that is immediately running and removing all this hustle.
👋 Looking for the best tools and resources to make your organization thrive?
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Example of how to increase the donations for your environmental NGO
Now, the same for a nature NGO because I saw biodiversity NGOs struggling with this. Again, let’s be specific and imagine the ideal target donors are young families that live on the coastline, and the NGO is protecting sea otters.
What is the dream outcome of young families that live on the coastline?
The dream outcome for young parents is to leave behind a world for their children that they grew up in (ideally even better).
How to increase it: Communicate this dream back to them. Show them that you understand them and explain how your solution will get them there.
Example: Design your communication over social media, website & co., in this way to reflect this dream outcome.
How strong is their perceived likelihood of achievement regarding your NGO?
Here, the young family is looking for some track record of what you have done so far and if you can help them to realize this dream.
How to increase it: Our otter NGO can provide statistics showing the number of population numbers or acres protected in previous years.
Example: Try to find key performance indicators that you can measure and communicate to them widely on your website, socials & co.
How long are they ready to wait to reach their goal?
Ideally, young parents would like to see their kids growing up with nature, so if you could speed up this process, that would be fantastic.
How to decrease it: Provide concrete examples of what a donation would fund over a certain time.
Example: Increasing the otter population by 50 in one year.
What are the efforts and sacrifices these young families are ready to make?
Young families have little time. Children are demanding a lot of attention. So make it effortless to support you.
How to decrease it: Make it as easy as possible to donate or offer incentives.
Examples: Tax deductions, special gifts for donating at certain levels, and monthly subscriptions are a great way to go.
By taking these steps, your nature NGO can effectively communicate the value you provide to potential donors and increase your sales.
Your turn: discover how to double your sales by working on the 4-value components
5 key steps that support you in doubling your sales for nature
- Dedicate an hour this week (what about Tuesday?) to going through the value equation in detail and determining what changes are necessary for improvement.
- Consider which of the four drivers (dream outcome, perceived likelihood of achievement, time delay, and effort and sacrifice) could use some work.
- Tackle one by one.
- Read more about it to get a deeper understanding in Alex Homorzi’s book 100M Offers
- If you are lost or overwhelmed, feel free to book a free introductory call with me to brainstorm ideas on how to increase your value and double the sales of your nature organization
Cheat sheet to increase your sales and the value of your nature venture
In a nutshell: value drives sales. Value is a buzzword. Split it up into components and improve each one as much as possible.
Best Book: 100M Offers by Alex Hormozi
Set up time: 1h
Maintaining time: There is a constant improvement you need to make. But if you dedicate 8 hours to it once, it can take you a long way.
In a crowded environment with little money in it, it is hard to sell. I hope this gives you the boost you deserve.
See you next week. Have a wild one!
Oliver
🦧 Whenever you are ready, there are 2 ways we can help you:
1. 1-to-1 business consulting. Detailed and personalized consulting to double the impact of your biodiversity organization in the shortest possible time. Not sure how good your pitch deck is?
Sign up for the waiting list by writing us at oliver@wildbusinessmates.com (unfortunately, we are booked out at the moment).
2. Wild Business Mates in Action. Wild Business Mates help you execute in areas you are struggling with. Tech, Marketing, Sales, Communication, etc. We can realize all the steps I mentioned above.
