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1 of 5
5 Key Questions
What returns do you expect from the
community?
DISCLAIMER
• The foremost important objective for most
businesses is to increase profits.
• There might also be “softer” goals (e.g.
sustainability, customer satisfaction, internal
climate) but they normally serve to the main
objective.
• Here we illustrate which drivers of profit can
be activated by online communities.
Drivers of Profit
• There are infinite way to categorize and
therefore list the drivers of profit
• For our purposes, we split them in two main
groups:
Revenue Growth Profitability Increase
Drivers of Revenue Growth
Revenue Growth
RETAIN EXISTING
CUSTOMERS
DRIVE PURCHASES
TOWARDS HIGHER
VALUE DEALS
EXPLOIT ADDITIONAL
SELLING
OPPORTUNITIES
ATTRACT NEW
CUSTOMERS (FROM
WITHIN THE
COMMUNITY)
ATTRACT NEW
CUSTOMERS
(LEVERAGING OTHER
SOCIAL NETWORKS)
Drivers of Profitability
Profitability Increase
STREAMLINE
PROCESSES (E.G.
CUSTOMER SUPPORT)
REDUCE COSTS (E.G.
PRINT)

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Returns

  • 1. 5 Key Questions What returns do you expect from the community?
  • 2. DISCLAIMER • The foremost important objective for most businesses is to increase profits. • There might also be “softer” goals (e.g. sustainability, customer satisfaction, internal climate) but they normally serve to the main objective. • Here we illustrate which drivers of profit can be activated by online communities.
  • 3. Drivers of Profit • There are infinite way to categorize and therefore list the drivers of profit • For our purposes, we split them in two main groups: Revenue Growth Profitability Increase
  • 4. Drivers of Revenue Growth Revenue Growth RETAIN EXISTING CUSTOMERS DRIVE PURCHASES TOWARDS HIGHER VALUE DEALS EXPLOIT ADDITIONAL SELLING OPPORTUNITIES ATTRACT NEW CUSTOMERS (FROM WITHIN THE COMMUNITY) ATTRACT NEW CUSTOMERS (LEVERAGING OTHER SOCIAL NETWORKS)
  • 5. Drivers of Profitability Profitability Increase STREAMLINE PROCESSES (E.G. CUSTOMER SUPPORT) REDUCE COSTS (E.G. PRINT)