Know Your Numbers… Data is Everything
How do you make strategic decisions about your business?
Do you make them on the fly?
If numbers are NOT your thing, make sure you read on, this post is just for you.
Do you just think of ‘stuff’ and then forge forward without really considering the numbers?
Hmm, typical entrepreneur 🙂
How do you know what to improve in your business?
What to spend more marketing dollars on?
What you really need to focus on is data. Knowing your numbers helps you to make informed decisions.
It helps you to see what leads are coming in and what sales you are making.
You can look at your website analytics and see which pages are more popular on your website.
You can have a look at your gross and net profit to check your margins.
There are many things you can track and save so you have all the data you need to make well-informed decisions about your business.
I’m good with maths, but not good with focusing on that side of the business.
What I love doing is creating products, I love marketing but most of all I love setting up systems and processes.
I need simple KPI’s (Key Performance Indicators) so I know how we’re travelling at any time without having to think or stress.
I have a bookkeeper, I also have a part-time CFO (chief financial officer) advising me on tax provisioning, and all things numbers but short story version, ahh, KPI’s 🙂
I have an SEO (google friendly) team, and a Social Media marketer, and all sorts of data but to help it all make sense easily, I have simple reports given to me.
My KPI’s are simple:
- Website Visits VS Enquiries (using various lead magnets)
- Enquiries VS New Clients
- New Contacts in Database
- Referrals VS New Clients
- Sales – in $$ and units sold
- Gross Profit % – Plus I have this broken down across my 4 main service offerings
- Net Profit %
1) Start thinking about the types of numbers that are important to you in your business
2) Think about what figures you would need to know to make informed decisions
3) Think about the types of decisions you need to make to move your business forward
4) List out your answers so you can start collecting your data
Want to talk?