![Page 1: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/1.jpg)
Numbers You Need to Know to Grow Your Business
And How to Measure Them
![Page 2: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/2.jpg)
Agenda• Why Bother?• Numbers You Need to Know to Grow
Your Business• How to Track Your KPIs
![Page 3: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/3.jpg)
But first …
Lets define a few terms first …
What is a KPI or Key Performance Indicator?
![Page 4: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/4.jpg)
Key Performance IndicatorA KPI evaluates a success of a particular activity. Basically, a KPI is used to measures the performance of a strategic business goal.
KPIs tend to be very different from department to department within an organization.
![Page 5: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/5.jpg)
Key Performance IndicatorThere are several types of Indicators that are used to visually represent a process and its performance.
• Quantitative• Leading• Lagging• Directional• Financial
![Page 6: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/6.jpg)
Key Performance Indicator
In practical terms…
KPIs are objectives to be targeted that will add the most value to an organization.
![Page 7: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/7.jpg)
So what is a Metric?Metrics quantify performance and are generally composed of a single number. Many metrics may compose a KPI … or not.
A metric may stand on its own if the metric determines the performance of a business goal.
![Page 8: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/8.jpg)
Here is an exampleSuppose you have a marketing campaign …
The campaign may have dozens of metrics
• Pageviews• Bounce rates• Conversion rates• And many more …
![Page 9: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/9.jpg)
Here is an example …Each of these are metrics • Pageviews• Bounce rates• Conversion rates
But … each one individually does not determine if the campaign is successful.
![Page 10: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/10.jpg)
Ahh…a KPI!
Using a group of metrics, we are able to analyze the outcomes and track the PERFORMANCE of our campaign (or a marketing goal)
![Page 11: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/11.jpg)
How do we know which metrics to choose?
While there are a variety of criteria, here are some questions to ask:
1. Do the metrics accurately portray the performance of a specific goal?
2. Do you have access to all the metrics you need to build the KPI?
3. Once the metrics are defined and the KPI is created, does the KPI lead to action?
![Page 12: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/12.jpg)
Why Bother?
![Page 13: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/13.jpg)
Would you drive a car without gauges?
![Page 14: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/14.jpg)
Why Bother?
1. Know how far you are from reaching your goals.
2. Pinpoint and manage key underlying issues.
3. Discover problems before it’s too late.
![Page 15: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/15.jpg)
Why bother?
4. Quantify success and failure.5. Offer employees more constructive
feedback.
![Page 16: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/16.jpg)
What to Measure
![Page 17: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/17.jpg)
What to MeasureFirst thing to know …
• All organizations should have some of the same KPIs in common.
• Many organizations will have very different KPIs because goals are different.
![Page 18: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/18.jpg)
Net Profit Margin Growth
Net Income / Sales
![Page 19: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/19.jpg)
Sales Growth
Previous Period SalesRevenue / Current
Period Sales Revenue
![Page 20: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/20.jpg)
Opportunities
![Page 21: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/21.jpg)
Sales by Contact Method
![Page 22: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/22.jpg)
Return on Investment
(Attributable Revenue – Campagin Investment) /
Campaign Investment
![Page 23: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/23.jpg)
Conversion Metrics
# visits / # leads
and
# leads per channel / # wins
![Page 24: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/24.jpg)
The Basics
1. Identify desired targets for each KPI2. Business data is assessed against target
on a regular basis3. Implement an executive dashboard that
highlights the current state of these KPIs4. The KPI dashboard must be easy to use.
![Page 25: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/25.jpg)
How to Measure
![Page 26: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/26.jpg)
Identify Your Data
![Page 27: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/27.jpg)
Connect to a KPI Dashboard
![Page 28: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/28.jpg)
Monitor Metrics in Real-Time
![Page 29: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/29.jpg)
So what do I need to do again?• Pull data from from various sources• Format the data to make the metrics
mean something• Update real-time so decisions can be
made quickly• Put your KPIs in the hands of those
who need the information
![Page 30: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/30.jpg)
What Systems Will Help With This?
There are several KPI dashboards available.
Many are difficult to deploy and expensive to use.
![Page 31: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/31.jpg)
Nexxtep DashboardsWe use a cloud based dashboard platform called Klipfolio.
![Page 32: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/32.jpg)
If you need help, we are ready!We can help you formulate your metrics out of your data and define your KPIs.
Nexxtep is a registered Klipfolio Partner.
![Page 33: Numbers You Need to Know to Grow Your Business (And How to Measure Them)](https://reader034.vdocuments.us/reader034/viewer/2022051818/54c18a2c4a795920098b45a7/html5/thumbnails/33.jpg)
For more information about our KPI services and a free Klipfolio trial, please visit:
ncare.com/kpis