Let’s be honest….chances are you have never run a business before. Most of us don’t have an MBA, either. And…from what I gather…I am the 1% of network marketers that actually love numbers…which means that you probably don’t.
It is totally ok that you started a business without any business background. I did, too! But, if you are serious about GROWING your business, you have to start looking at some numbers. Numbers tell you where you have been so you can better plan where you are going. Numbers help you identify what is working and what isn’t. Numbers show you the true health of your business.
I personally track 23 data points in my business every month. Yup. 23. Don’t freak out…you don’t have to do that…..yet 🙂 But, there are FIVE essential numbers you SHOULD track every single month, no matter how big or small your business is.
1. PERSONAL SALES VOLUME vs. TEAM SALES VOLUME
Every month, you need to track your personal sales volume. If you have a team, then you will want to track your team volume. These numbers are what you use to track the growth of your business. Over time, these numbers show you trends in seasonality, promotions, etc. Setting goals for a new year is VERY powerful when you have historical data to look at that shows trends and patterns in your business. For example, I know what month is ALWAYS down a good 15% every year. Because I know that, I can plan for it when I am setting goals in my business.
2. # OF NEW REACH-OUTS
How many people did you share your opportunity with each month? Adding a new friend on Facebook does NOT count. Putting a name in your contact management system (like myBeeHyve) does not count. This # means that you actually had a conversation (in person or online) that included information about your business and/or products. If I had to pick the ONE number to track, this would be it. This number is the key driver in growing your business. If this number is low, the rest of your numbers will be low.
3.# OF FOLLOW-UPS
How many times did you send a follow-up message? This is not the # of people you sent a follow-up message to but the actual # of follow-up messages sent or conversations. For example, if you sent someone a sample and then followed up with them twice about that sample in the same month, that would count as TWO follow-ups.
4. # OF NEW TEAM MEMBERS
How many people joined you personally in business each month? This is only the people that YOU personally enrolled, no matter where you place them in your organization. After several months of tracking your numbers, you can use the # of new reach-outs (# 2 above) and this number to determine your personal conversion rate. Conversion rate shows you how many new people you need to talk to on average to enroll a new team member. If you want to grow your business faster, turn THIS dial.
5. # OF NEW CUSTOMERS
How many people purchased products from you for the FIRST time each month. These new customers are now your TOP business prospects! Happy customers make GREAT new team members the next month.
BONUS # to track….your paycheck!
It is VERY powerful to see how your paycheck changes in relation to the other numbers above. Numbers don’t lie. If you are not talking to new people, your paycheck will reflect that.
I have been tracking these numbers in my business for 4 years now. As my business grew, the number of “numbers” I track has increased because there is more to look at. I now track 23 pieces of information to highlight areas of my organization that are doing well and which ones need help. This information allows me to create very detailed goals with a meaningful action plan.