Do you know the 6 sales stats you should be tracking in your business?
If you have ever watched Shark Tank you have heard the Shark’s ask the entrepreneurs about their sales data. How many products did they sell? Where did those sales come from?
When an entrepreneur can’t answer that question that’s a red flag. It means they are not monitoring their sales data.
You may feel like it’s a pain to have to monitor your sales data. This is especially true when you are making money and it seems like everything is working just fine. The problem is you are not considering changes that may take place in the future.
Even if things are going well wouldn’t you like to make your business even better?
When you track your sales data, you can improve even when you are already doing great. Tracking sales data ensures that great sales can be made even better.
The fact is, if you don’t track your sales data, you can’t determine what’s working and what isn’t. You may accidentally choose to stop doing something that is working in favor of something you assume works just because it’s your preference. By tracking and understanding the sales data that you generate, you’ll be able to tweak and modify your campaigns to get even more sales.
Once again, we go back to Shark Tank. I mentioned earlier they will ask where the sale is coming from. They want to know if it’s from social media (which sites?) Are the sales coming from their website? How are they acquiring customers? Entrepreneurs who go into the tank unprepared are not going to get an investment from the Sharks.
To get that information, you may want to track the following:
1 – Sales During a Specific Time Period
There are times when you should track your sales during a specific period. For example, if you’re having a special sale or promotion, is it working? How do those sales during that campaign compare with regular sales during a similar time period?
2 – Sales Stats by Product or Service
Your sales should be tracked individually so that you can figure out what is selling and what is not selling. If you have product C that never sells but product B that sells great, you’ll want to spend more time promoting product B than C.
3 – Sales Stats by Lead Source
If you have affiliates, or you posted a guest post, or a social media link to a product etc., which lead source is doing a better job sending sales to your links? If you get tons of clicks every time something is promoted on LinkedIn but no buys, but fewer clicks when you post to Facebook but more buys, you’ll want to adjust your marketing. If you are not tracking your sales, you won’t know this.
4 – Revenue Stats Per Sale
This is an important sales number to know because it informs how much you can afford to spend on promoting that item. You may use the data to decide to add an upsell to a funnel that has lower-than-average revenue per sale.
5 – Returning Customer Sales Stats
Do you know what percentage of your customers buy from you again and again? This is an important figure because if you have a healthy business, you’ll have plenty of returning customer sales. It’s easier and cheaper to keep a happy customer than find a new one.
When you use an email newsletter this can help you track returning customers. For example, you can offer returning customers a “special” code they can use to make a future purpose. Doing this will help you see how may customers are coming back and what offers appeal to them most.
6 – New Customer Sales Stats
You’ll want to track how many new customers you get for a campaign compared to returning sales. This information can help you increase your lifetime earnings from new customers if you know how to get them to become returning customers.
Depending on the type of business you have, you may have more or fewer opportunities to collect sales data to study. Sales data can give you the information you need so you can make the most of your marketing efforts and bring your business to the next level.