Projects • Kathy Hanson Backpocket Strategy

“Every choice you make in your business requires a decision. Whether you make that choice proactively or reactively is determined by your Plan. You need a solid strategy for executing your plan before making ANY decisions in your business; otherwise you are simply reacting to how you spend your time, energy and money. Reacting is not a business strategy.”
-Kathy Hanson-Kathy works with businesses of all sizes- from sole proprietors to those with hundreds of employees, from extremely profitable to barely making ends meet- she is committed to helping the owner gain control of how they spend their time, energy and money so they can build a sustainable, profitable business. Kathy is every client’s strategist, mentor, advisor and coach, utilizing her years of practical experience and powerfully energetic personality to give them realistic and actionable solutions.

Here are examples of Backpocket Strategy client Case Studies where Kathy’s solutions have made a positive impact in the business, and most oftentimes, a significant positive impact on the business owner.

Click on a topic below to view case studies:

Employees

Goal:

Employee retention. FORTUNE 50 FINANCIAL INSTITUTION

Situation:

Employee retention was at an all time low for national mortgage brokers. Client had identified the problem—the new hires are quitting after three months—but did not know why and did not know how to increase retention. This issue was costing the company millions of dollars in hiring and training new employees every year. Kathy was hired to determine reason for employees leaving and decrease numbers of resignations.

Backpocket’s solution:

Kathy conducted off the record interviews as an outside contractor with current and former brokers to identify issues. Kathy then communicated ex-employee concerns to management to verify employee concerns were justified and fact based. Kathy specifically addressed the top concerns by creating new training protocol and training tools for new hires. This new protocol and training tool also allowed the new hires to be more in control of getting the specific training support that they needed, which provided each new hire with valuable and timely resources to ramp up their business more quickly than in the past.

Backpocket’s impact:

Kathy saved this Fortune 50 company millions of dollars by increasing the retention rate by measurable amount in the first six months of implementation. Kathy’s strategy and tools also allowed new hires to begin selling more quickly, which gives each new broker a commission check more quickly, which in turn allows them to become self reliant and financially secure. Sales increased and retention increased.

Goal:

Manage marketing campaign involving 5 divisions. FORTUNE 50 HIGH TECH COMPANY

Situation:

Kathy managed a cohesive marketing campaign involving key players from five divisions (sales, product development, engineering, marketing, manufacturing) in five locations who typically operate in silos. Previous attempts at partnering ended in failed communication and unfinished projects. Typically, company’s outside advertising agency managed these projects. Kathy’s bid to project manage was substantially lower than advertising agency’s bid.

Backpocket’s solution:

Kathy’s strategy focused on timeline and benefit of outcome to each of the five divisions and the key players, while paying no heed to company politics. Kathy hyper focused on defining, then communicating identical steps and deadlines for each key player. Kathy scheduled weekly updates with clearly defined expectations and detailed activity reports showing each player’s components and the project’s production schedule.

Backpocket’s impact:

Multi-million dollar project was produced on time and under budget. Kathy saved company over $2 million dollars from previous multi-divisional project that was managed by large advertising agency.

Location (lease)

Goal:

Grow membership, purchase equipment and possibly change locations. Fitness boutique.

Situation:

Client wanted to grow membership from new tenant buildings being built in neighborhood and add new classes that required new fitness equipment. Many spaces were available in higher visibility locations for lease to accommodate possible growth. Client needed cash for capital expenditure of equipment and down payment on new location with possible capital improvements to new space. Currently has high retention rate with members and operating with a small profit every month.

Backpocket’s Solution:

Forego moving until membership grew to level at which membership fees covered additional lease expense. Research equipment and find most cost effective way to purchase equipment; buy used, buy new, rent, borrow. Market new classes and memberships to new tenant buildings in neighborhood to grow revenue.

Backpocket’s Impact:

Client found barely used equipment online for 25% of cost of purchasing new equipment of same caliber. Client promoted new class options to current members at increased membership fees and promoted entire class schedule to new members at a higher rate. Currently operating at a higher monthly profit, with the intent to move within a year after saving profits to pay for downpayment on new space and capital improvements, rather than taking out a loan from bank.

Goal:

Consider opening new business in upscale neighborhood to increase sales and visibility. High end dermatology and skincare business.

Situation:

Client wanted to move into prestigious upscale shopping district that she believed would help target her ideal client demographic and lead to increased sales.

Backpocket’s solution:

Kathy worked with client to define long-term goals and to determine if capital expenditure for new lease, insurance and remodeling space will result in necessary revenue to justify expense. Kathy helped owner articulate and define business plan to determine if this lease decision aligned with long-term goals. Kathy asked owner to consider the current competition in the surrounding locale and recent departures by successful businesses in the area. Kathy wrote comprehensive business plan and advised owner to make decisions based on strategy rather than impulse.

Backpocket’s impact:

Client decided to forego lease in this shopping center. Kathy recommended owner gather more evidence and data to support business plan to secure funding. Note: The leased space owner had wanted was still unoccupied after six months, which confirmed that the location was not as ideal as client had assumed.

Goal:

Consider move to upscale exclusive retail shopping centre to increase sales and visibility. High end retail and custom design business.

Situation:

Client wanted to move into prestigious upscale shopping center she believed would substantially increase her visibility, retail traffic and high end custom design clients and therefore, increase sales substantially. Shopping center recently changed owners and new tenant mix is moving to exclusive highend shops with fewer local business owners.

Backpocket’s solution:

Kathy worked with client to define long-term goals and to determine if capital expenditure for new lease, insurance and remodeling space will result in necessary revenue to justify substantially higher lease expenses. Kathy reviewed financials on similar businesses within the center to determine if sales were significantly higher due at this premier location. Kathy interviewed local business owners within this industry to research competition and market share. Several business owners were getting out of the industry all together, presenting possible market share gains.

Backpocket’s impact:

Client decided to forego move to maintain current profitability and growth, rather than risk financial losses. Kathy recommended owner gather more evidence about current shop owners within exclusive retail center to determine if they are experiencing higher levels of traffic and sales with new building owners and new tenant mix prior to considering the move again in a year or two.

Time Management

Money

Goal:

Increase profitability and completion rate of curated printed guidebooks. National publication business supporting local entrepreneurs in 40 cities.

Situation:

Client has franchises in 40 cities nationwide with marginal success in capturing ROI for local businesses after publication. Client has been in business for over ten years and hired Kathy to increase profitability and visibility while also reducing production time frame in Minneapolis/St. Paul in 2010.

Backpocket’s solution:

Kathy refocused entire sales and production process to emphasize and increase foot traffic and sales to local business owners. Kathy bid out printing and production and found cost and time savings throughout entire process. Kathy suggested bringing printing to US vs. overseas where the production and shipping time caused lengthy delays. Kathy’s printing production expertise allowed for cost savings and efficiencies that were passed along to client. Kathy’s marketing strategy involved intense collaboration with local businesses throughout the project to ensure local community benefit and measurable results.

Backpocket’s impact

: Printing was moved to the United States for a 3 month gain in production time to end product on shelves. Kathy’s strategy produced the largest first edition in the shortest production time in the 10-year history of the guide. Kathy’s strategy produced the first guide to ever to sell out. Kathy’s strategy increased profits and increased customer awareness for business owners involved in project. Kathy’s improved strategy was implemented in three other cities with similar positive results. Kathy’s editorial, production and manufacturing changes were then implemented with all other guides printed by this client. Kathy subsequently hired to manage seven city guides currently in production in 2010-2011.

Goal:

Secure funding for manufacturing new product invented by owner of retail and online business. Organic, all natural beauty products.

Situation:

Small business owner has developed product and needed financing for manufacturing and marketing. Banks were not willing to loan money to small company with limited profitability in retail market despite retail business staying viable during recession while also showingstable online business revenue. The funding requested is too low for banks to make profits while too high for personal loans, which is also not recommended.

Backpocket’s solution:

Coached client to stay focused on business plan for product and stay motivated with opportunities with other financing options. Client highlighted independent blind test group results and vast experience in industry in her business plan. Strategy was to also highlight case studies and show lack of competition with this product while emphasizing years of research and development to create this specific product. Client’s business plan outlined every facet of production: manufacturing, packaging, marketing, PR, wholesale and retail sales. Kathy kept client encouraged to stay positive and stay focused because she did all of her due diligence and the payoff would happen.

Backpocket’s impact:

Client received private funding from three different sources based on stellar business plan, sustained belief in the product and professional connections!

Competition Branding

Sales

Goal:

Increase profitability and sales. High end printing manufacturer.

Situation:

Fifty-year-old printing manufacturing company had sales force consisting of seven commissioned sales reps with a wide range of technical expertise as well as age and experience diversity. Kathy’s goal was to grow sales in a shrinking marketplace (advertising is trending paperless, printing sales are declining) and create incentives to motivate sales force and also attract competitor’s top salespeople.

Backpocket’s solution:

Kathy created incentive plans that compensated the sales force like a baseball team. Kathy identified individual achievements and incentives- higher base, commission, exclusive client lists, profitability- and set up commission structures to marry built in accountability and merits with financial motivation for each individual salespeople.

Backpocket’s impact:

Kathy was able to hire two of the top sales people away from the two biggest competitors with this new commission strategy, while also weeding out two of the under performing salespeople who did not measure up to their own sales goals. Sales grew from $4 million to $8 million in three years in a shrinking marketplace with tough competition and low profit margins. Kathy’s attention to fiscal accountability from sales through production grew profit margins for the manufacturing company by 100%.

Goal:

Gain exposure to increase sales. Wardrobe consultant.

Situation:

Client needed website to reflect the multiple facets of her business and allow potential clients—corporate executives as well as sole proprietors—to quickly understand her proficiency and expertise for their specific industry or business.

Backpocket’s solution:

Kathy redesigned client’s website to allow a diverse audience to quickly navigate to the pages that pertain to them. Website now reflects client’s versatility with simple access to her seminar videos, client testimonials, vast client list and success stories.

Backpocket’s impact:

Kathy’s client landed national retail chain training seminars, regional Fortune 100 accounting firm protocol seminars and is in consideration for regional law firm presentations. Year over year, increase in clients.