Here’s what we will cover today:

• Learn how to track key metrics (KPIs) to measure progress

• Stop playing entrepreneurship - win the game!

• Sales slump? Try pickleball invites - an unconventional strategy

Quote of the Day

“Empower yourself and realize the importance of contributing to the world by living your talent. Work on what you love. You are responsible for the talent that has been entrusted to you.”
~Catharina Bruns

Today’s Tip

One of the challenges of running an organization is that you aren’t directly accountable to anyone.

Of course, you’re accountable to many people — your clients and customers, your employees and stakeholders.

But you don’t have one person to whom you report. With whom you set goals. And who forces you to make commitments and attain those goals.

Unless you have a Board of Directors or Advisors, of course, but even then, those encounters are often only quarterly or monthly at most.

Rather, as a business owner, you are most accountable to numbers; specifically the business numbers, metrics, or goals you want your business to achieve.

So, let me ask you a question: Do you know what specific numbers, results and/or goals you absolutely must achieve in the next 12 months?

Clarifying these goals is a key part of the strategic planning process. And I’d be lying if I said this was always comfortable and fun. Because to do it right, you need to break down all of your big goals into parts.

Accordingly, as business owners, we tend to put off developing our strategic plans since our employees and customers rarely if ever ask to see them.

It’s one of those “Geez, I should probably get around to this” items that no one else knows about, so it’s easy to keep on the perpetual back burner.

But what my students and I have found is that once you have a formal strategic plan in place, even if it’s not perfect, the path in front of you becomes much clearer.

Specifically, when you set your goals, identify the Key Performance Indicators (KPIs) to monitor and improve and help you get there, and break down the big, ugly projects into smaller pieces, the future becomes much clearer and much more attainable.

In fact, the process of reaching your business goals can become a fun game to play–when you do this and truly know how to win!

Consider this…when you play tennis, Scrabble, or some favorite game of yours, aren’t your objectives usually the same (score the most, win the game), but the rules by which you score points and succeed along the way are different?

Tennis has its own unique scoring system. And Scrabble has points and Triple Word Scores to shoot for along the way. Which leads to this key question: What are your business’s key metrics that you must focus on in order to win?

Understanding and improving these key metrics, which we refer to as Key Performance Indicators or KPIs is the key to winning in business. So, what are some of the KPIs you should be monitoring?

First, there are some common KPIs that most businesses watch the Revenues you generate from your products & services, your core expense groups, like Marketing Expenses, Operating/Fixed expenses, etc.

There are also your general Marketing indicators to watch, like the total number of new leads your ads generate within the time period you’ve chosen. You’ll want to pay attention to what each new lead costs you, what percentage of them buy something, and what the average sale price per transaction is.

Some marketing indicators will be different for each kind of advertising you do. For example, if you’re sending out direct mail, you’d want to know how many people you’re sending mailers to and how many responded by phone (or online) to know your response % as well as your Cost per Lead for direct mail.

Or, if you’re using Search Engines to help people find your business online, at the least, you’ll want to know which keywords you are trying to rank for, what your current rank is for each, and how much traffic and leads your website generates.

Identifying and improving your KPIs is THE WAY to reach your business goals and win the “game” you’ve created. Identify them with a fine toothcomb. Pay attention to them. Find ways to improve them. Work hard until you see results. And don’t forget to have fun and enjoy the game!  

Today’s Resource

Do you have the right plan?

The right strategic plan for your business includes:

1. the best strategy to follow

2. a written roadmap so there’s no confusion as to what your team needs to accomplish and when

Our strategic plan template allows you to create a winning plan quickly.

In no time, you’ll have a strong plan to follow so your company wins.

Why play the game of entrepreneurship if you’re not going to win?

Trivia

Today’s Question: How many acres of trees are used to make the newsprint for the average Sunday edition of the New York Times?

Previous Question: What unusual use did non-drinker Andy Warhol make of Absolut Vodka, the Swedish liquor for which he and other artists created a series of innovative print ads?

Previous Answer: He claimed he used it as perfume.

Andy Warhol was asked to create a unique artwork for Absolut Vodka in 1986. Some people saw this as a big risk. Nothing like this had been tried before by any commercial brand. The risk paid off. Absolut Warhol was an immediate success and still has an iconic status today.

News

How to Negotiate/The Art of Deal Making with Tim Ferris

Sales meetings bombing? Try pickleball invites

Help Other Entrepreneurs & Business Owners

Do you know someone who could benefit from our newsletter?

Please let them know they can sign-up here.