With the world in Western Australia slowly returning to normal, masks are off, mandatory check-ins are gone and we’re accepting Covid as a fact of life, attendance numbers at RBS Breakfast Club are on the rise.
We met once again to network, support and collaborate with each other. Today’s featured presentations were from Ann of Robburns Financial Services, Sharyn of Sharyn McCaskey Social Media and Frank from Frankli Better Service.
Featured Presentations
From Ann we heard about the importance of planning early for your retirement. Far too many business owners don’t think about putting money into their superannuation until it’s too late. The sooner you start contributing, the bigger your nest egg will be.
From Sharyn we heard about the importance of making sure you read the fine print on social media platforms. Did you know some platforms “own” everything you share and can do with it as they please?
And from Frank we heard about how a little bit of time and effort during the winter months can save you a big headache when the weather gets better. So remember to run your sprinklers for a few minutes once a week and keep the pool clean. What you spend running the pool pump now is nothing compared to how much it might cost to turn a green pool clear again.
Group Discussion
What metrics do you measure in your business?
That was the topic of debate this morning and as always there were varying opinions. Everyone seems to agree that keeping track of your sales figures is essential. Other than that, some people are keeping lots of records and others are happy to make it up as they go along. As always the opinions were as varied as the businesses present.
Those who have a physical shopfront keep track of different figures from those who work from home. Those who provide a service keep track of hours more closely than those who provide a product. For them, stock numbers are more important.
4 Metrics You Should Be Tracking
- Sales Revenue
- Customer Acquisition Costs
- Customer Churn
- Customer Engagement
Sales Revenue
This is an obvious one and a good place to start. If you’re not keeping track of your sales, you’re not likely to be in business for long.
Customer Acquisition Costs
Following on from keeping track of how much cash you’re bringing in, have a look at how much you’re spending to attract that customer. If you can find a way to keep your Customer Acquisition Costs lower than your competitors, you’ll be the dominant player in your industry in no time.
Assuming you can keep on top of the next two metrics.
Customer Churn
In every business, customers will eventually leave. No one will need your product forever. Perhaps they relocate, perhaps their needs change, whatever the reason, eventually they’ll stop buying from you. How soon this happens after their first purchase is your customer churn.
Customers are expensive to attract. The longer you keep one, the more you can afford to spend on Customer Acquisition and remain profitable.
Customer Engagement
This can be tricky to measure and will differ depending on your industry. Customer Engagement could be measured by the open rate of your newsletter, the number of comments on your social media posts, or the amount of time they spend lingering in your retail store.
Whatever measure you use to keep track of Customer Engagement, keep it consistent and measure it against your own performance over time.
