{"id":266,"date":"2023-05-31T20:26:00","date_gmt":"2023-09-04T20:26:35","guid":{"rendered":"https:\/\/www.salesforce.com\/?p=266"},"modified":"2023-10-17T16:10:01","modified_gmt":"2023-10-17T16:10:01","slug":"reducing-business-expenses","status":"publish","type":"post","link":"https:\/\/www.salesforce.com\/eu\/blog\/reducing-business-expenses\/","title":{"rendered":"How to Grow Stronger by Cutting Costs"},"content":{"rendered":"\n<p>Reducing business expenses can help organisations grow more agile, more profitable and better prepared for uncertain economic times. In fact, cutting business costs doesn\u2019t have to mean getting smaller \u2013 it can just mean <a href=\"https:\/\/www.salesforce.com\/eu\/blog\/2022\/04\/better-business-process-management-for-sme.html\" target=\"_blank\" rel=\"noopener\">working smarter<\/a>.<\/p>\n\n\n\n<p>But to effectively reduce business expenses, it\u2019s important to have a cost-cutting strategy that\u2019s been carefully considered and is centred around your business\u2019s goals, both short and long-term.<\/p>\n\n\n\n<p>Let\u2019s take a look at how SMEs can benefit from reducing business expenses \u2013 and some of the best ways they can do more with less.<\/p>\n\n\n\n<div class=\"layout-six wp-block-salesforce-blog-offer\">\n\t<div class=\"wp-block-offer__wrapper\">\n\n\t\t<div class=\"wp-block-offer__content\">\n\t\t\t<h2 class=\"wp-block-offer__title\"><span>Find out what CRM can do for you in the Salesforce CRM Superpowers e-book<\/span><\/h2>\n\t\t\t\t\t\t\t<p class=\"wp-block-offer__description\">Get to grips with CRM and learn how it can help you cut costs and improve efficiency in your SME business.<\/p>\n\t\t\t\n\t\t\t\n\t\t\t\t\t\t\t<div class=\"wp-block-button\">\n\t\t\t\t\t<a class=\"wp-block-button__link\" target=\"_blank\" href=\"https:\/\/www.salesforce.com\/eu\/form\/pdf\/crm-superpowers\/?d=inc-blog-banner&#038;nc=7013y000002lvsGAAQ\">Get the E-Book<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\n\t\t<div class=\"wp-block-offer__media\">\n\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"768\" height=\"432\" src=\"https:\/\/www.salesforce.com\/eu\/blog\/wp-content\/uploads\/sites\/14\/2023\/06\/crm-superpowers-blog-img-768x432-uk.png\" class=\"attachment-full size-full\" alt=\"\" srcset=\"https:\/\/www.salesforce.com\/eu\/blog\/wp-content\/uploads\/sites\/14\/2023\/06\/crm-superpowers-blog-img-768x432-uk.png 768w, https:\/\/www.salesforce.com\/eu\/blog\/wp-content\/uploads\/sites\/14\/2023\/06\/crm-superpowers-blog-img-768x432-uk.png?w=300&amp;h=169 300w, https:\/\/www.salesforce.com\/eu\/blog\/wp-content\/uploads\/sites\/14\/2023\/06\/crm-superpowers-blog-img-768x432-uk.png?w=150&amp;h=84 150w\" sizes=\"auto, (max-width: 768px) 100vw, 768px\" \/>\t\t<\/div>\n\t<\/div>\n\n\t\n\t<\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-reducing-business-expenses-can-provide-big-benefits\"><b>Reducing business expenses can provide big benefits<\/b><\/h2>\n\n\n\n<p>Cutting business costs can affect more than the bottom line. By eliminating unnecessary overheads, businesses can become leaner, nimbler and more efficient. Here are some of the top benefits of reducing business expenses:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>An immediate impact on the bottom line. <\/li>\n\n\n\n<li>By re-imagining traditional processes and infrastructure to reduce costs, businesses can also increase productivity and improve the employee experience. <\/li>\n\n\n\n<li>Increased profitability even if revenue stays the same. <\/li>\n\n\n\n<li>Greater economic stability, helping organisations weather tough economic climates. <\/li>\n\n\n\n<li>Better cash flow to pursue new opportunities as they arise. <\/li>\n<\/ul>\n\n\n\n<p>Of course, cutting business costs is easier said than done. After all, how can organisations know what to keep, what to cut and what to double down on? <\/p>\n\n\n\n<p>Here are 10 tips for reducing business expenses and becoming a lean profit machine.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-top-tips-for-reducing-business-expenses\"><b>Top tips for reducing business expenses<\/b><\/h2>\n\n\n\n<ol class=\"wp-block-list\">\n<li><b style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Evaluate your fixed costs. Look at your business\u2019s monthly expenses. <\/b><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Can you cut back on recurring expenses such as utilities and internet? Can you re-negotiate contracts with your existing suppliers? Is it possible to search for new suppliers? You can even consider things such as production costs, as new opportunities are always emerging.<\/span> <\/li>\n\n\n\n<li><b style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Unlock the power of automation.<\/b><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> Automating repetitive, low-value manual tasks can help to reduce operating costs and free the workforce. <\/span><a style=\"font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em; background-color: rgb(255, 255, 255);\" href=\"https:\/\/www.salesforce.com\/eu\/blog\/2023\/01\/intelligent-automation.html\" target=\"_blank\" rel=\"noopener\">Intelligent automation<\/a><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> can also help improve the customer experience and increase <\/span><a style=\"font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em; background-color: rgb(255, 255, 255);\" href=\"https:\/\/www.salesforce.com\/eu\/blog\/2022\/02\/improve-employee-engagement.html\" target=\"_blank\" rel=\"noopener\">employee engagement<\/a><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">, making it one of the most effective tools for businesses looking to get the most out of their resources.<\/span> <\/li>\n\n\n\n<li><b style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Turbocharge your sales funnel.<\/b><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> Even the most talented sales rep can be wasted if they\u2019re pursuing bad leads. Poor leads not only waste valuable time; they can affect employee morale and reduce productivity. To better empower your people, use a CRM (Customer Relationship Management) tool like <\/span><a style=\"font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em; background-color: rgb(255, 255, 255);\" href=\"https:\/\/www.salesforce.com\/eu\/products\/sales-cloud\/overview\/\" target=\"_blank\" rel=\"noopener\">Sales Cloud<\/a><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> to score and rank your leads, automatically surface the best opportunities, and connect the right lead to the right rep at the right time. <\/span><a style=\"font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em; background-color: rgb(255, 255, 255);\" href=\"https:\/\/www.salesforce.com\/eu\/blog\/2023\/01\/how-data-helps-do-business-better.html\" target=\"_blank\" rel=\"noopener\">Leveraging the power of data<\/a><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> is a great way to maximise efficiency and make the most out of every opportunity.<\/span> <\/li>\n\n\n\n<li><b style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Skill up the workforce. <\/b><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Cost-effective, on-demand training programs have made it easier than ever to learn new skills. Why not turn every worker into a multi-hyphenate? By <\/span><a style=\"font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em; background-color: rgb(255, 255, 255);\" href=\"https:\/\/www.salesforce.com\/eu\/blog\/2022\/11\/employee-upskilling-strategy.html\" target=\"_blank\" rel=\"noopener\">skilling workers across roles and functions<\/a><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">, you can get the most out of your workforce, as they\u2019ll be able to help wherever needed. This will reduce the need \u2013 and costs \u2013 for external expertise, as well as reduce hiring costs.<\/span> <\/li>\n\n\n\n<li><b style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Use budgeting software. <\/b><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">In order to make effective cuts, you\u2019ll need to know where your money is going. Budgeting software can help to predict revenue, calculate fixed costs and track fluctuating expenses. Most of all, it can help you stick to a viable financial plan based on your business\u2019s objectives. Just ensure that you set the right cost-saving benchmarks to track your progress.<\/span> <\/li>\n\n\n\n<li><strong>Weigh up the costs of physical infrastructure.<\/strong> The pandemic changed the way we work forever. Many companies that reluctantly shifted to remote working found that they thrived outside the limitations of the office. Others have permanently returned to the workplace or have adopted a hybrid approach. Of course, there\u2019s no one-size-fits-all solution, and every business needs to discover how \u2013 and where \u2013 they\u2019re at their best. If you\u2019re looking to reduce business expenses, look at how much your physical infrastructure costs. Can this be renegotiated<span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">? Can your physical spaces be reimagined? <\/span> <\/li>\n\n\n\n<li><b style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Reduce IT costs by creating your own solutions.<\/b><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> Bespoke technology used to be incredibly expensive, but that\u2019s starting to change. In fact, it\u2019s easier than ever to create custom solutions for your business, even without an IT background. The <\/span><a style=\"font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em; background-color: rgb(255, 255, 255);\" href=\"https:\/\/www.salesforce.com\/eu\/products\/platform\/lightning\/\" target=\"_blank\" rel=\"noopener\">Lightning Platform<\/a><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> makes it easy to build apps by just dragging and dropping components. Or you can simply shop for low-cost, pre-built components on the <\/span><a style=\"font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em; background-color: rgb(255, 255, 255);\" href=\"https:\/\/appexchange.salesforce.com\/\" target=\"_blank\" rel=\"noopener\">AppExchange<\/a><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">. Either way, <\/span><a style=\"font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em; background-color: rgb(255, 255, 255);\" href=\"https:\/\/www.salesforce.com\/eu\/blog\/2022\/12\/roi-crm-salesforce-investment.html\" target=\"_blank\" rel=\"noopener\">spending smartly on tech is key in an economic downturn<\/a><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">.<\/span> <\/li>\n\n\n\n<li><b style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Watch the competition.<\/b><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> No business stands alone in the marketplace, so keep an eye on what your competitors are doing. Are they adjusting their marketing strategy? Are they changing their pricing to adjust to the cost-of-living crisis? Are they reducing office space? Are they scaling back investment? Or perhaps they\u2019re doing the opposite and seizing new opportunities. See if changing competitor and <\/span><a style=\"font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em; background-color: rgb(255, 255, 255);\" href=\"https:\/\/www.salesforce.com\/eu\/blog\/2022\/12\/stay-ahead-of-consumer-behaviour.html\" target=\"_blank\" rel=\"noopener\">customer behaviour<\/a><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> can provide your business with new opportunities.<\/span> <\/li>\n\n\n\n<li><b style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Re-think your financial KPIs.<\/b><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\"> When creating sales and marketing strategies, you may want to focus on new KPIs (Key Performance Indicators). For example, instead of long-term benchmarks, you might want to focus on KPIs that are centred around immediate revenue. If you\u2019re more focused on immediate profits than nurturing long-term relationships, you can look at reducing CPL (Cost Per Lead) or CPC (Cost Per Click. <\/span> <\/li>\n\n\n\n<li><b style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Consider outsourcing. <\/b><span style=\"color: var(--c-nero); font-family: var(--f-secondary); font-size: 1rem; letter-spacing: 0.0012em;\">Are you already outsourcing some operations? Could you be? Outsourcing isn\u2019t for every function, or even every business, as it can sometimes create more problems than solutions. But outsourcing certain non-core activities could help eliminate business expenses and unburden the workforce. On the flip side, if you\u2019re already outsourcing things like bookkeeping, you may be able to reduce costs by automating these functions instead.<\/span> <\/li>\n<\/ol>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"h-are-you-ready-to-do-more-with-less\"><b>Are you ready to do more with less?<\/b><\/h2>\n\n\n\n<p>It\u2019s important to remember that eliminating business expenses only makes sense if it benefits your organisation. For example, reducing your marketing budget may negatively impact your engagement, sales and relationship-building. And if lowering costs leads to lower quality, your reputation may suffer. These consequences could outweigh the benefits of cutting costs.<\/p>\n\n\n\n<p>On the other hand, if you can reduce expenses while maintaining the same level of sales and <a href=\"https:\/\/www.salesforce.com\/eu\/blog\/2021\/01\/customer-centricity.html\" target=\"_blank\" rel=\"noopener\">customer-centricity<\/a>, you\u2019ll be well-positioned to thrive in challenging economic times.<\/p>\n\n\n\n<p><b>To see more about how you can help your business reach its full potential, check out our guide, <a href=\"https:\/\/www.salesforce.com\/eu\/form\/pdf\/crm-superpowers\/?nc=7013y000002lvsGAAQ\" target=\"_blank\" rel=\"noopener\">Unlock the Superpowers of Your CRM.<\/a><\/b><\/p>\n\n\n\n<div class=\"layout-six wp-block-salesforce-blog-offer\">\n\t<div class=\"wp-block-offer__wrapper\">\n\n\t\t<div class=\"wp-block-offer__content\">\n\t\t\t<h2 class=\"wp-block-offer__title\"><span>Find out what CRM can do for you in the Salesforce CRM Superpowers e-book<\/span><\/h2>\n\t\t\t\t\t\t\t<p class=\"wp-block-offer__description\">Get to grips with CRM and learn how it can help you cut costs and improve efficiency in your SME business.<\/p>\n\t\t\t\n\t\t\t\n\t\t\t\t\t\t\t<div class=\"wp-block-button\">\n\t\t\t\t\t<a class=\"wp-block-button__link\" target=\"_blank\" href=\"https:\/\/www.salesforce.com\/eu\/form\/pdf\/crm-superpowers\/?d=inc-blog-banner&#038;nc=7013y000002lvsGAAQ\">Get the E-Book<\/a>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\n\t\t<div class=\"wp-block-offer__media\">\n\t\t\t<img loading=\"lazy\" decoding=\"async\" width=\"768\" height=\"432\" src=\"https:\/\/www.salesforce.com\/eu\/blog\/wp-content\/uploads\/sites\/14\/2023\/06\/crm-superpowers-blog-img-768x432-uk.png\" class=\"attachment-full size-full\" alt=\"\" srcset=\"https:\/\/www.salesforce.com\/eu\/blog\/wp-content\/uploads\/sites\/14\/2023\/06\/crm-superpowers-blog-img-768x432-uk.png 768w, https:\/\/www.salesforce.com\/eu\/blog\/wp-content\/uploads\/sites\/14\/2023\/06\/crm-superpowers-blog-img-768x432-uk.png?w=300&amp;h=169 300w, https:\/\/www.salesforce.com\/eu\/blog\/wp-content\/uploads\/sites\/14\/2023\/06\/crm-superpowers-blog-img-768x432-uk.png?w=150&amp;h=84 150w\" sizes=\"auto, (max-width: 768px) 100vw, 768px\" \/>\t\t<\/div>\n\t<\/div>\n\n\t\n\t<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Reducing business expenses can help SMEs increase profitability and efficiency. Here are some top tips for cutting costs.<\/p>\n","protected":false},"author":1,"featured_media":268,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"sf_justforyou_enable_alt":true,"optimizely_content_id":"58edb12dbf58405d88998890c0e96b01","post_meta_title":"","ai_synopsis":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"sf_topic":[274,32,33],"sf_content_type":[],"coauthors":[26],"class_list":["post-266","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","sf_topic-reports","sf_topic-small-business","sf_topic-startups"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.2 (Yoast SEO v27.2) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Reducing Business Expenses: 10 Tips for Doing More with Less - Salesforce<\/title>\n<meta name=\"description\" content=\"Reducing business expenses can help SMEs increase profitability and efficiency. Here are some top tips for cutting costs.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.salesforce.com\/eu\/blog\/reducing-business-expenses\/\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to Grow Stronger by Cutting Costs\" \/>\n<meta property=\"og:description\" content=\"Reducing business expenses can help SMEs increase profitability and efficiency. 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