The key to understanding your business is numbers. You need to set goals, analyze level of achievement, and plan for your next level of success.
It is time to talk numbers and how to measure your business. Every business is different. There are base numbers most companies need to look at. However, to truly measure your business you will need to add specifics based on your business needs.
Be sure you have assigned someone to be in charge of the data. If it's up to everyone to complete, No One will complete it.
To set a goal you need a plan. Start with a marketing plan and how to funnel people to your website or location. Your KPIs (key performance indicators) will vary depending on your business. You need to start with these three questions: How do you acquire website / foot traffic? How do people use your website? or Shop in your store? and How many of these people are converting (buying)?
If you are an e-commerce or brick and mortar site, your KPI's will not be the same as someone who, like me, is a consultant. E-commerce/brick and mortar sites will focus on items sold, sell-through rates, and cost per item vs price; ass well as, the three questions above. These are few of the basics you should be looking at. On the other side of the spectrum, base analysis should include time spent on page, time spent on site, top pages and exit pages. Again, this is a base list of some of the items to consider.
Once you are armed with your numbers, setting goals will be a cinch. I always add a 10% stretch goal. How much do I realistically believe I can achieve- that's my goal. My stretch goal is generally 10% above. Sometimes I do a 20% stretch based on data I have on hand and current trends.
Next week we will delve into the numbers. How do you interrupt and use the data.
I am also giving a freebie worksheet to those who sign up for my email list. The worksheet is a breakdown of where to start your website analytics and what KPI's should be looked at first.
Reality is every business has it's own needs and nuances to consider. If you want someone to look over or help you determine what to analyze; make an appointment with me. Head over to my website to learn more and schedule your Retail Success Strategy Session.
You can find out more about us and the company at: www.amginnovativeconsultants.com
Check out our new page, Retail Success Packages, with package and pricing info. To schedule your free appointment, you do not need to know what package you want or be a retailer. My Four Pillars of Success can be applied to all industries.