Compliance: A Hidden Driver of Sales

In the world of return on investment (ROI), compliance is often viewed as a necessary evil. It’s not something that directly contributes to the bottom line, but rather an obligation that must be met to avoid future problems. However, when positioned correctly, compliance can be a powerful driver of sales.

Imagine a chemical plant that spends money to prevent groundwater pollution. While this investment may not lead to immediate financial gains, it’s a proactive measure to avoid costly environmental damage and legal issues down the road. Similarly, businesses that prioritize compliance are investing in their future success by mitigating risks and ensuring long-term sustainability.

During tough economic times, businesses are more likely to allocate budget to initiatives that can demonstrate a tangible return on investment. You can imagine trying to convince the CFO to invest in compliance when they need to meet quarterly targets. They’re like, “Forget about the groundwater! We need this new solution to make sales! Without sales, we’re toast!” It’s a bit extreme, but you get the idea.

One approach is to highlight the potential cost of non-compliance, such as fines, legal fees, and damage to reputation. By quantifying these risks, businesses can better understand the value of investing in compliance solutions. For example, a company could face annual fines of $100,000 for non-compliance, making the cost of a compliance solution seem like a small price to pay in comparison.

In other cases, businesses may already recognize the need for compliance but are seeking the most cost-effective solution. By demonstrating how a compliance solution is more affordable than alternative methods, such as hiring additional staff, businesses can make a compelling case for investment.

So, compliance may not always be top of mind for businesses, but it should not be overlooked by sales. By framing compliance as an investment in future success and pairing it with cost-saving measures, savvy sales professionals can make compliance a driver of sales.