Knowing your business' numbers is very important.

Any Business Coach knows that knowing your numbers is a necessity to survive when running a business.

Do you know your numbers in your business?

If you don’t think knowing this information makes a difference in business, it does. It can mean the difference of making more profit. Knowing your conversion rates is essential. Think about doing it in various steps:

You need to know your numbers for every step of the sales process.  For example, in a retail fashion store, getting customers in the store is one thing, starting a conversation is another, getting clothes tried on, and so on …

Do you know it for each and every sales person at every stage of the process ?  Dale might beat Sally, but Helen beats Dale, and all at different stages of the sales process, so they can learn each stage from each other.

Do you know your conversion rates for each marketing medium.  As in, do you know what the rates are for Yellow Pages V Referrals, not just think you know, but actually know.

How much do customers spend on the initial transaction? How much are they worth over their lifetime of buying from you?

How many referrals do you get from each marketing medium and from each salesperson, and so on?

Is this a lot of work?   Yes…but it’s worth it.

Imagine you knew that every $1,000 advertisement bought you 100 leads and 20 sales of $500 each.  How often would you invest $1,000 to make $10,000? What if they came back for three years on average and spent another $2,000 on average?

So, it’s work, and it might be hard work, but it’s much better to do the work than struggling to pay the bills because you don’t know your numbers.

If you’re struggling with keeping track of your numbers like this, perhaps a business coach could help. See what a free business coaching session can do for your business.