ROCKS DIGITAL  BLOG

John Carroll

How Do You Measure Success? Sales, Phone Calls, ROI

Learn How to Measure Success with MetricsWhat is that one thing you should do every day to ensure your success? The short answer is “show up”. However if you show up, but don’t track the results you get by showing up then how do you know if it was really a success? There are a multitude of things to be done daily that will ultimately translate to success and every business owner has his/her own definition of success and what to measure to achieve it.

As a business owner, it is necessary to measure and track revenue, operating expenses, gross profit, operating income and net earnings. In order to build a profitable, sustainable business, you need to go farther and develop performance benchmarks and metrics to measure and track your progress. Just “feeling good” about how the business is doing and the prospects for a bright future are not enough.

“If you can’t measure it, you can’t manage it.” ~ Peter Drucker

How Do You Measure Success?

For sales, as an example, you need to develop performance metrics to track activity and results.

  1. # of Dials (Connections).
  2. # of First Calls (talked to the decision-maker).
  3. # of Sales Calls.
  4. # of New Proposals.
  5. # Closed Sales.
  6. # of New Customers Added.
  7. Revenue from New Sales.
  8. Sales Conversion Rates.
  9. Sales Goals vs. Actual Results.

Other critical sales related metrics to track and evaluate.

  • Average sales transaction size.
  • Average return on sales.
  • Cost of acquiring a new customer.
  • Average frequency of purchase.
  • Average customer life-cycle.
  • Lifetime value (LTV) of a customer.
  • ROI on customer acquisition.

Establishing similar metrics for all functional areas of the business is important to broadly measure success and identify any performance gaps.

“You can’t improve what you don’t measure.”

Now, another very important consideration is to select the right benchmarks for comparison to determine how you’re doing against the established performance “standards”.

Measurement Standards to Consider

  1. Competitive ranking.
  2. Historical performance.
  3. Business plan objectives.

While it’s incumbent upon every business owner to measure and track performance, unless you have the right benchmarks in place for comparative purposes, you’re just collecting data.

There are many qualitative and quantitative factors that ultimately go into determining how to define success. The more factors that can be measured and benchmarked to mark your overall progress, the better the odds of long-term success.

Please share below what metrics you use to measure success. Are you going to change anything after reading this post? Let’s discuss.

John Carroll

John Carroll is a Business and Leadership Strategist, Best-Selling Author, Blogger & Speaker. Top 100 Leadership Expert to Follow. Who's writing your story today?

More Posts

Download Our SEO Guide

Created in a joint partnership with Advice Local, this guide — What You Need to Know About SEO — provides an introduction to SEO concepts, strategies and best practices for optimizing a website. Complete the form below and get instant access.

    ROCKING DIGITAL SERVICES

    Web Design & Development

    Your website needs to be aesthetically pleasing and functional. We build websites for desktop and mobile that are both.

    LOCAL SEARCH & SEO

    Your website needs to attract search engines and consumers. We are experts in local search and SEO, and can make that happen.

    CONTENT CREATION & MARKETING

    Anybody can write words on a page, but can they write content that integrates SEO best practices and converts? We can.

    Here’s What our CLIENTs have to say

    [RICH_REVIEWS_SHOW num="all"]

    Their Local Business Websites Rock

    ★★★★★
    Rocks Digital knows how to build local business websites that convert prospects to customers. Not only do I recommend them to work on my reputation management client’s websites, but they work on the Reputation Sensei brand, too.
    - Chris Snellgrove

    They Customize Their Solutions

    ★★★★★
    Rocks Digital customizes to meet their client’s needs. We needed our existing website optimized for search. We are now placing for more industry keywords and continue to improve. They consult with our in-house team on content optimization, manage our GMB listing & more.
    - Greta Valenti

    Highly Recommend

    ★★★★★
    Rocks Digital manages not only the Association of Directory Publishers website, but our Trusted Local Directory. From helping us get our event information on the website to producing guides, blogs and new content, they have what it takes.
    - Cindi Aldrich
    [RICH_REVIEWS_FORM]

    LATEST BLOG POSTS

    LOCAL VISIBILITY REPORT

    Is your Google My Business listing helping or hurting you? Is bad data causing consumers and search engines to lose trust in your business? This is information you simply must know.

    To get these answers right now, just enter your business name below to run our FREE
    visibility report.


    Need a facelift
    for your website? More search traffic? Need to blog, but don’t have time?

    Our Digital Services Could Be For You