“I’m ecstatic and perplexed,” the CEO of a leadership training and development firm told me.
On the ecstatic side was that the company had tremendous revenue growth in 2023. After a few years of painstaking work, they signed several six figure engagements with wonderful clients.
She was perplexed because her team continued to do what they had done to reach that high, but revenue in 2024 had simply stopped growing.
“We hit a plateau and can’t see why.”
We agreed that I would take a look.
The very first thing I saw was they didn’t demonstrate the IMPACTs they’d delivered in 2023.
Not on their website, not in the lead magnets they offered, not in the speaking engagements they had.
There was no emotion, no stories of relief from the struggles that clients had conquered.
There was lots on their process, and plenty of idealistic language about the power of leadership and teams.
The second thing I noticed is that nowhere did they convey that they’re prepared to help with what’s next: new trends, new tech, the societal divisions that inevitably spill over into the workplace, or the whiplash caused by changes in remote/in-office work requirements.
Ours is a fast changing world.
Companies seek outside experts who can help them navigate this speed and complexity. What was relevant in 2024 was different than what had been relevant the prior year.
“Insanity”
I told her this seems like a turning upside down of the old “definition of insanity.”
That definition says, “Insanity is doing what you’ve always done and expecting different results.”
In this case, they continued to do what they’d done and didn’t even get the same results!
Get off the plateau plan
We made a “get off the plateau” plan for 2025:
- Write short stories about the IMPACTs they delivered to clients. Include examples of relationships improved, missions met, innovations developed. Avoid the processes and talk about the changes in people’s lives. Point out that when people’s work lives change for the better, the companies where they work benefit.
- Illustrate how their work helped people in leadership roles address and solve the problems that were new in 2023 and in 2024. Those problems are now history but there will be new ones in 2025. Prospective clients want to believe that this firm is on the leading edge of solving new problems as they arise.
- Write a new Great Fit Client profile that reflects the kind of companies who will be most impacted by the new problems of 2025. Getting this clear and solid will force them to create marketing that attracts these companies.
Rethink their pricing model and their proposal practice
They have typically applied a cost-plus model for pricing They list their various tasks, assign a fee for each, and add them up, plus a percentage for profit.
I recommend they adopt IMPACT Based Pricing, which means they earn fees proportional to the IMPACTs or life changing differences they deliver.
They also typically write a proposal that offers one option. After experiencing for years the benefits of offering 2 or 3 options, I’m urging them to take that approach.
Only offering one option and fee contributes to being stuck on the plateau. It’s take-it-or-leave it.
Many prospects will choose 1 of 3 options rather than leaving you altogether. They love the autonomy of having choices. They evaluate your options in relationship to each other, rather than in relationship to continuing to do what they’ve been doing (incorrectly derided as not doing anything).
What’s your plan for 2025?
As this company has learned, continuing to do what you’ve always done does NOT guarantee you the same results!
It’s time to take BOLD steps.
I don’t mean highly risky, although some may be.
I do mean leaps, not baby steps.
Choose one to start.
Your firm’s pricing strategy and pricing model would be the best place to start.
Pricing strategy is your pricing rule.
On one end is cover all costs and profit. On the other end is compensation for the IMPACTs delivered.
The pricing model for the first is cost-plus.
The pricing model for the second is IMPACT Based Pricing.
Need a unbiased outsider to take a look at your plateau?
That would be me!
If you’re ready for BOLD commendations, let’s talk.
Text BOLD to 703-801-0345.
