Understanding Transactions with your Customers

How can you identify profitable transactions?

Generally speaking,

Size – Larger transactions have a better chance of being profitable

Blend
– Transactions with a higher non-product component have a better chance of being profitable.

Nature
– Non-competitive transactions have a better chance of being profitable.

Account Age
– Transactions with the existing customer have a better change of being profitable.

Success Basis
– Transactions won because of non-price aspects, (ie not competitive tender) have a better chance of being profitable.


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