The 7 Places Your Business Is Quietly Leaking Revenue

Most mid-market companies have at least four of these. Almost none of them know it.

GROWTH & COMMERCIAL STRATEGY

Goran Shutinovski

5/2/20266 min read

There is a particular kind of business problem that never appears on a board agenda.

It doesn't trigger an emergency meeting. It doesn't generate a crisis report. It doesn't cause anyone to lose sleep — not immediately, anyway.

It just quietly drains performance, quarter after quarter, until the gap between what the business could be generating and what it actually generates becomes too large to ignore.

I call these revenue leaks. Not gaps in strategy. Not talent failures. Structural bleeds — places where money flows out of a commercial model because the model itself was never properly diagnosed.

After 18 years leading commercial operations at P&G, Respect Energy, and across 20+ markets in Europe, I have seen the same seven leaks appear in businesses of every size, sector, and geography. They are almost never what leadership thinks the problem is.

Here they are, in the order they most commonly compound each other.

Leak 1: Pricing That Was Never a Strategy

Most companies set prices once — at launch, at the start of a category, or by copying a competitor — and then leave them there. They adjust occasionally for inflation. They discount when sales slow. They rarely ask the structurally important question: does our current pricing architecture reflect the value we actually deliver?

The answer, in most cases, is no.

Underpricing is more common than overpricing in mid-market B2B. It happens because pricing conversations feel risky and the cost of underpricing is invisible. Revenue lost to pricing weakness doesn't show up on a P&L as a line item. It shows up as a margin that is lower than it should be, against a benchmark nobody ever calculated.

The signal: your win rate on proposals is high (above 65–70%) but margins are compressed. Customers rarely push back on price. You have never lost a deal you wanted to win because of price alone.

What I saw at Oral-B/P&G: in markets where we held premium positioning with discipline and refused to follow competitor discounting, market share and margin both grew simultaneously. The ones who discounted gained volume briefly and lost both within two years.

The diagnostic question: when did you last raise prices on your core offer, measure the demand response, and use that data to rebuild your pricing architecture?

Leak 2: Retention That Nobody Is Actually Managing

Customer acquisition gets budget, headcount, and board attention. Customer retention is usually managed informally, reactively, and by whoever happens to notice a renewal is approaching.

This asymmetry is commercially irrational.

Acquiring a new customer costs between five and seven times more than retaining an existing one in most B2B service businesses. Yet marketing budgets skew overwhelmingly toward acquisition. Retention is treated as an account management function rather than a strategic commercial priority.

The signal: you know your acquisition numbers precisely — cost per lead, conversion rate, average deal size. You cannot immediately state your retention rate by customer segment, your average customer lifetime, or your churn rate by cohort.

What I saw at Cosmofon Telecommunications: a structured retention intervention — identifying at-risk accounts early, personalising the contact, and improving service response — reduced churn by 22% within 18 months. No new products. No price changes. Just structural attention applied to a metric that was previously unmanaged.

The diagnostic question: do you have a formal retention model, or do you discover customer loss when an invoice goes unpaid?

Leak 3: A Go-To-Market Model That Has Never Been Rebuilt

Markets change. GTM models don't, unless someone forces the issue.

The go-to-market approach that worked when a business had 20 customers and three salespeople rarely remains optimal at 200 customers and a ten-person commercial team. Channels that once produced leads become saturated. Buyer behaviour shifts. New competitors enter through angles the original model didn't account for.

But GTM redesign requires admitting that a system leadership built and believes in is no longer fit for purpose. That is an uncomfortable conversation, so it usually doesn't happen.

The signal: lead quality has declined but volume looks similar. Sales cycles have quietly lengthened. The team is working harder than two years ago but revenue growth has slowed. New market segments remain perpetually "next year's priority."

The diagnostic question: when did you last map the full buyer journey — from problem awareness through decision — and verify that your commercial model intercepts it at each stage?

Leak 4: Positioning That Has Drifted Into Meaninglessness

Brand positioning is not a marketing problem. It is a commercial efficiency problem.

When positioning is clear and differentiated, buyers self-select. They arrive already partially convinced. The sales conversation is a confirmation, not a persuasion. Conversion rates are high. Price tolerance is elevated.

When positioning has drifted — through inconsistent messaging, category crowding, or the gradual accumulation of "we also do this" additions — buyers cannot distinguish you from alternatives. Every deal becomes a competitive fight. Price becomes the primary variable. Win rates fall and so do margins.

Most mid-market companies have drifted positioning. They know their original story, but the market has moved and the story hasn't been rebuilt to match.

The signal: ask your five best salespeople to describe your company's differentiation in one sentence each. If you receive five different answers, your positioning has fragmented. If any of the answers could apply equally to a competitor, you have a commoditisation problem.

The diagnostic question: does your positioning describe what you do, or does it describe why only you do it this way?

Leak 5: A Conversion Funnel Nobody Is Measuring in the Middle

Most businesses measure the top of their funnel (leads, traffic, enquiries) and the bottom (revenue, closed deals). The middle — the stages between initial interest and signed contract — is typically a black box.

And that is exactly where most of the money disappears.

Qualification rates, proposal conversion, sales cycle duration, win/loss patterns by segment, decision-maker engagement — these are the variables that govern whether a healthy top of funnel produces proportional revenue. Without measuring them, you cannot improve them.

The signal: lead volume looks reasonable but revenue targets are missed. Proposals are sent but win rates are unknown or not tracked by segment. You do not conduct structured win/loss reviews.

The diagnostic question: what is your stage-by-stage conversion rate for the last six months, and at which stage does the greatest drop-off occur?

Leak 6: Key Accounts That Are Being Managed, Not Grown

Your top 20% of customers almost certainly generate 70–80% of your profitable revenue. Are they receiving 70–80% of your commercial attention?

Almost never.

Account management time tends to be distributed across the customer base in proportion to volume of requests and complaints, not in proportion to strategic value. The most profitable customers are often the quietest — and therefore the most neglected. They leave not because of a bad experience, but because a competitor finally gave them the attention you should have been providing.

The signal: you have no formal customer tiering system. Key account reviews are reactive rather than scheduled. You are not regularly discussing growth opportunities with your top 10 accounts. Some of those accounts are also talking to competitors.

The diagnostic question: when did you last sit down with your three most valuable customers — not to handle a problem, but to discuss their business and where you could be doing more together?

Leak 7: Leadership Capability That Has Not Kept Pace with Business Complexity

This is the one nobody wants to name. So I will.

As businesses grow, the commercial and strategic demands on leadership increase faster than most leadership teams develop. Decisions become more complex, require more data, involve more stakeholders, and carry larger consequences. The skills that got a leadership team to €10M revenue are often not the skills required to reach €50M.

This is not a personal failing. It is a structural reality that most organisations never address directly because the diagnosis implicates the people who would need to commission it.

The signal: decision-making is slow or inconsistent. Strategic priorities shift frequently. The leadership team agrees on goals but not on how to get there. Middle management is frustrated by unclear direction. The organisation feels busier than it is productive.

The diagnostic question: does your leadership team have a shared, explicit model for how your business grows — or is strategy still a set of intentions rather than a set of testable causal assumptions?

Where to Start

Most businesses reading this have at least four of these seven leaks active simultaneously. Trying to address all of them at once is how organisations produce high activity and low movement.

The correct sequence is constraint logic: identify which single leak is most limiting system output, remove it, measure the effect, then move to the next.

In my experience, Leaks 1 (pricing), 3 (GTM model), and 5 (funnel conversion) tend to be the highest-leverage entry points for mid-market businesses in CEE and Western Europe. But the constraint varies by business, sector, and stage.

If you recognise your business in more than three of the descriptions above, the most useful next step is a structured diagnostic conversation — not a sales call. A 30-minute structural review of where your commercial model is bleeding and what the sequencing of fixes should look like.

That conversation is free. The cost of not having it is not.

[Book a 30-Minute Structural Diagnostic →]

Goran Shutinovski is the founder of Sugori Consulting. He has led commercial operations at P&G, Gillette, Respect Energy, and Cosmofon across 20+ European markets, with P&L responsibility up to €170M.