Dan Kennedy's Magnetic Marketing Podcast Simple Strategies For Uncovering Hidden Profits In Your Business
Oct 10, 2025
Steve Wilkinghoff, a former chartered accountant and author of 'Found Money', reveals the complexities of business profitability. He debunks myths about revenue equating to profit using examples like Amazon. Steve shares insights on customer profitability mapping, stressing the importance of targeting high-value customers. He emphasizes the danger of attracting low-value clients and how rebranding can boost demand, like the Patagonian toothfish. The discussion also covers effective cross-selling strategies that can significantly enhance profits.
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Map Customer Profitability And Fit
- Map customer profitability and a separate resonance score to split customers into four actionable quadrants.
- Use the map to identify 'hidden liability' customers and protect or replace high-profit clients at risk of leaving.
Stop Marketing To Low-Value Segments
- Eliminate unprofitable target segments even if they increase raw response counts.
- Reallocate marketing to fewer, higher-value prospects and spend more per qualified prospect.
Great Product Closed From Bad Pricing
- Steve joined a great local gym that transformed his health but the owner closed due to poor pricing.
- The gym had a terrific product but the owner assumed quality alone would yield profit and mispriced memberships.
