My last column discussed industry trends including profitability benchmarks. In that column I made a possible bold statement: 20% profitability leads to mediocrity! I stand by that statement.
In my view, the industry benchmark needs to move to at least 33%. For some agencies 20% is a push, let alone 33%. There is a definite path that needs to be followed to get to higher profitability. Your action plan needs to include a halt to over-servicing, ex
Over the next few columns I will discuss these and more. Yes, this will not be the first or for that matter the second or third time I have discussed these issues. However, every winning team needs to constantly go over the basics. A great sports team knows that going over the fundamentals is still one important key to winning! Some advice: read this yourself and then pass it along to your CFO or other financial person. Make this a project for your agency no matter how large or small you are.