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Expanding Revenue From Existing Customers Print

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Growing without new sales.

WHY IT IS THE EFFICIENT ROUTE

They already trust you, and there is no acquisition cost.

WHAT EXPANSION LOOKS LIKE

More users Higher usage Upgrading to a higher tier Additional products

WHAT MAKES IT NATURAL

Pricing that grows with the value delivered.

WHAT TO AVOID

Upgrades that feel like removing something they had Pressure when they are not ready

WHAT TO BUILD

Visibility of what a higher tier provides, where the limit is reached.

WHAT TO NOTIFY THEM OF

Approaching limits, before they are hit.

WHY BEFORE

Being blocked unexpectedly produces resentment rather than an upgrade.

WHAT TO MEASURE

Expansion revenue as a proportion of the total.

WHAT SIGNALS READINESS

Growing usage Additional people invited Requests for capability in a higher tier

WHAT TO DO WITH THOSE SIGNALS

Contact them, helpfully.

WHAT NOT TO DO

Automatically upgrade and charge.

WHY

It is widely regarded as unacceptable and produces disputes.

WHAT ELSE EXPANDS REVENUE

Services: setup, training, migration.

WHAT TO BE CAREFUL WITH

Services growing until you are no longer a product business.

WHAT TO PRICE THEM AT

Enough to cover the time properly.


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