Profitability

Diagrams | Matrices | Thinkers

The cost of acquiring a customer is substantial, particularly in chaotic and overcrowded marketplaces, while the cost of selling them more or selling them more often is significantly less.

The primary ways to grow the profitability of any business are:

1. Grow Marketshare: Increase your number of customers or clients.
2. Increase Value: Increase your average transaction value, pricing and bundle size.
3. Increase Frequency: Increase your frequency of purchase.
4. Reduce costs for the transformation and distribution of value.

tip

Engineer virtuous cycles that improve customer experience and strengthen trusted connections

Increase Income

Increase Revenue Growth Upwards:

Focus	Plans	Execution
Sell More Items Per Sale	?/5	?/5
Sell More Frequently	?/5	?/5
Grow Distribution	?/5	?/5
Increase Prices	?/5	?/5
Reinvest in Growth	?/5	?/5
Invest Profits	?/5	?/5
DePIN Strategy	?/5	?/5

Decrease Expenses

Reducing costs can increase profit margins. This can be achieved through process improvements, automation, and outsourcing

Reduce Operational Costs

• Cost of Goods Sold
• Operations Software
• Property Management

Optimize Labour Outputs

• Cost of Production
• Cost of Sales and Marketing
• Cost of Supporting Operations

Eliminate friction by building systems to run Business Operations as a Service with AI Agents on Crypto Rails.