Your Key Numbers
This week, Nigel helps you to unpick the most important thing, that REALLY matters in your business.
CLUE: It's not responding to your emails in under 10 minutes or having the office refurbished. It's not even dealing with staff issues.
This ONE THING will help you to deliver growth year on year - consistently.
**DISCLAIMER** - This may become an obsession!
Hi. Welcome to Business Growth Central, where I want to start this week by talking about numbers. No, no, no, no. Come back. Come back. Come back. Come back. Honestly, you'll find this really helpful and it'll be really simple and straightforward. And I promise I won't confuse you because I know numbers are not the natural space for so many of our EC members. And that was true for the hero of the story that I need to tell you today. Because our hero is a member of one of my mastermind groups, and he runs a chain of opticians.
Now, they'd been hit pretty badly by the virus. They weren't able to operate fully, as many businesses were similarly restricted, but things were just about on the cusp of getting back to normal. But our hero, for that is what he is, was very distracted by a whole load of other very urgent and necessary things that needed to be sorted in the business. He had staff issues and people issues. He had some builders doing refurbs on his premises. All sorts of shit that he had to sort out. "Stop," we said, "this is all very, very well, and we can be a little bit sympathetic, but where are you on the numbers?" "What do you mean?" says he. And, of course, we then unpicked the things that really matter if you run a chain of opticians. And the things that really matter if you're in a chain of optician shops, in truth, there's only two of them. You only need to focus on two numbers to ensure, nay guarantee, your success. "What are those two numbers?" I hear you crying out. Well, I shall tell you.
If you were an opticians shop, then what matters every week is how many eye tests did we do this week? And what was the average transaction size that went through our till? Now, not every single transaction comes from an eye test, but a very high proportion do because in our opticians chain, every store manager has a limited capacity of eye tests. There's only so many they can do in a week. And if they hit that capacity, that business will trade at a very successful level. Especially if the average transaction size is also managed and is at the right level. Getting those two numbers right equals success because those two numbers are in the right place.
Now for them to be in the right place, a couple of things got to happen. First of all, you've got to recognise that actually my obsession, my very healthy obsession, has to be on those two numbers. They're the thing that matter most, above anything else. Above any day-to-day distraction or crisis, which will come at all of us from time to time. But those of us that prevail, those of us that deliver growth in business year on year, consistently, those people focus on the right numbers. See, I told you it was a simple story about two numbers. If you'd like help understanding what the key numbers are in your business that you should be healthily obsessing about, then jump on one of our EC marketing clinics. I run them every single week. You'll get emails about them every Monday, and you're free to put your question in. I would love to focus and understand your business and help you to get a proper grasp of the one or two or three critical numbers that will make all the difference to you.
So remember, today's key takeaways are to identify the two or three most important numbers in your business and keep focused on them. See you next time.