How To Measure Your Business Growth
I used to dread business growth metrics. I bet you know the feeling, right?
I’m not a numbers girl, so I always felt a little out of my depth when people start spewing data. But I also was kinda afraid of my metrics. Doubts would always creep up in my mind…
- What if I didn't do as well as I thought?
- What if I’m not making enough money?
- What if I see that no one is reading anything?
- What do I do then?
I was always afraid that the numbers would tell me that I’m doing badly. That if I looked at them, I’d have to admit I was wrong about everything. But the truth is — the numbers set me free.
It reminds me of what Jesus said in John 8:32, “Then you will know the truth, and the truth will set you free.” So my numbers may not be as glorious as the gospel, but they did set me free.
- Wasting time in the wrong places
- Posting the wrong content
- Feeling bad about what I was earning
- Spending money I thought I needed to spend
- Not spending money I didn’t think I had
It’s so important to have accurate information and not just anecdotal information. And now I check in on it regularly to see how I’m doing and where I can focus. It helped me see my strengths, my gaps, and what to cut out so I could finally focus on growing instead of just being busy. It gives me a plan and that always brings me peace.
I think this quote sums it up perfectly: “You can’t manage what you don’t measure.” —Peter Drucker
So here are 3 categories you need to measure in your business growth.
1. Revenue Generating Activities
Everyone knows to track revenue — but sometimes we forget to track the activities that we’re taking to get there. This is so important because just like everywhere else in life the 80/20 rule seems to apply. 80% of your results will come from 20% of your efforts, and if you know those efforts then you can devote more resources to them.
So what might these activities be? Anything to do with content, connections, and conversions.
- Visibility activities (how often + where)
- Most popular posts
- How people are finding you
- Free calls done
- Discovery calls booked
- New clients
- New prospects
- New connections
- Time spent in each
- Conversion rates for calls, funnels, and other sales mechanisms
When we track and measure these activities, you’ll start to see patterns and what you can do more of or even less of. It’s through this kind of tracking that I decided to do more guest blogging and podcasts, more Pinterest, and less Facebook group visibility while getting the same amount or more clients than before.
2. Business Growth
This part will seem like a no-brainer. You have to measure the growth of your business so you know exactly what needs attention. Your business should always be growing, but you may be focused on certain types of growth at different times.
So be sure to set clear goals and give yourself grace in areas where you weren’t focused that feel stagnant. Where we focus is where we’ll grow. Here are a few metrics you should track in this category.
- Email list total
- Group total
- Instagram following
- Pinterest repins, clicks, and follows
- Facebook Page growth
- Twitter growth
- Opt-in page conversion rates
- Traffic to your site
- Engagement in email, social posts, etc.
- Income in
- Expenses out
- Revenue stream performance
You’ll see clear patterns, especially around the activities you take. For example, if you see lots of Pinterest activity you should see growth in website traffic. Group and email growth should hopefully result in more income or at least conversations. So be sure to focus where you need it most and don’t get too distracted by the other numbers you see.
The truth is that business growth isn’t all quantitative, and not all numbers matter, right? Einstein once said, “Not everything that can be counted counts, and not everything that counts can be counted.” I think businesses thrive on quantitative and qualitative issues. So I wanted to give you some “intangible” metrics you can track as well.
- Confidence Level
- Success Level
- Impact Level
- Personal messages you’ve received
- Great client feedback
- Client wins
- Expert status boosts
These are my favorite things to track because I love how these things feel, and when I feel better, I do better. I bet you’ll see the same thing happen for you too.
Don’t jump in and measure all these things at once. Start with what’s most important right now. Measure, reflect, and refine. Then repeat and add more as necessary. Eventually you’ll see this as a fun exercise, and it will bring you more peace than you thought and help direct all the activities you take so you don’t feel overwhelmed any more.
Bonus is … you get to celebrate way more! That’s always a great thing in my book!
Decide which metrics you’re going to measure and how often you’ll check in on them. Then pick a way you’ll reward yourself when you hit your goals!
I have mine in a spreadsheet that I check weekly, and I do a deep review quarterly to see if I hit my goals. If I do, my husband I have tacos and champagne (and old tradition of ours)!
Share yours with us in the comments below.