Art gallery improves profitability by understanding four ways to grow any business

There are only four ways to grow a business:

  1. Increase the number of customers
  2. Get them coming back more often
  3. Increase the average spend
  4. Improve the effectiveness of every business process

A local art gallery worked with their accountant to improve profitability significantly by running a series of quarterly themes through the year. Before each quarter, they gathered their small team together and the accountant facilitated a brainstorming session – what could they do to improve the key focus of the quarter? They set a clear goal and prioritized the top three actions to be implemented in the next 90 days.

Examples of the projects implemented included:

Increase number of customers

  • Identify WHO customers are and nurture them
  • Referral campaign
  • Introduce an online store

Get them coming back

  • Birthday emails and texts
  • Record customer preferences and personalized emails when new pieces became available

Increase average spend

  • Test price increases
  • Reduce discounts (offered to customers who didn’t ask for them)

There are hundreds of ideas out there, but if you try to implement a hundred things, you’ll likely do nothing. Plan, prioritize, and implement a small number of things. And if you need someone to hold you accountable, just get in touch!