Profit Calculator
The 1% Challenge
Consider that in any company, profits only come from these three variables:
The total cost of the operation, including the cost of goods sold.
The total sales volume of your products or services.
The price of your products or services.
Of these three, the price has the highest leverage on profitability. In fact, for the average company, a 1% increase in price generates an 11.3% increase in profitability. Whereas for the same average company, an increase of 1% in sales volume causes a 3 1/2% increase in profitability, and a 1% reduction of costs generates a 5 1/2% increase in profitability.
The challenge: Have you ever failed to change anything a tiny one percent?
Fill in the form below to access our Profit Calculator and fill in your current revenue and cost, plus a price increase percentage. It will tell you how much a one percent price increase (or discount reduction) will affect your profitability.
(The information you provide in the calculator is anonymous and is not stored anywhere.)