Is That Line Worthwhile?

Ever wonder if that line you represent is actually worth the time and effort? Are you looking at a new line and can't decide if you should take it on? Where should you be spending more time and where should you spend less? If you are like most reps, you have a bunch of lines that you should ask hard questions about. In some industries, we've found as many as two thirds of a rep's lines are unprofitable.

Line Profitability Analysis is a technique to let you estimate the profit and loss by line represented. Most of us have lines we suspect are costing us money to represent, but we don't have any way to evaluate that. So we make our decisions on lines to represent (or drop) based on the emotional ties we have. LPA gives you a way to look objectively at your lines. Of course, there may be good reasons to represent a line that isn't profitable, such as its a leverage point for a larger, profitable line or its new and will grow, but there are lots of lines we keep around "because they pay the postage." This presentation, can be adapted to take between 1 and 4 hours depending on the level of detail and how much time you want to spend actually applying the data to your own businesses (which I recommend). The same approach could be adapted to perform Customer Profitability Analysis, although the quantity of data would be significantly larger.

Come learn more about optimizing your ROTI (Return On Time Invested).


This topic can also be presented as an interactive 1/2 day workshop where participants use their own data.