How are you doing……really?
No matter what you tell us or tell yourself, numbers don’t lie.
“Numbers” are just that… numbers and the story they tell is very black and white…
Often times, I find the “number” story alone can become easily misinterpreted because there are no points of reference to think through the story with.
While you look at the number story, you may even believe you are doing poorly when really you are doing great!
It’s about expectation AND perception.
If you are feeling like you are doing the right things but you are not achieving the income you were expecting there is a possibility that your expectation(s) are out of alignment with what you are currently doing.
So what is a good return?
There are no hard and fast rules but there are some great rules of thumb.
First you want to “break even”. Next, you want to grow to a 30% profit. In most industries the margins to shoot for are:
Acquisition and Overhead – 30%
Fulfillment – 30%
So what if you are breaking even – how do you begin to move to these margins?
Start by picking one area to focus on at a time. Look at each area of your business with these margins and ask yourself, “What is the one thing I can do to move closer to these margins”.
Have you have added team member(s)? If so, how do they impact what you are doing with your time so the bottom line moves closer to these margins?
As well, if you have tried a new marketing effort… how does the conversion move you closer to these margins?
There is a return on everything you do, so the big question is… what is it?
Sometimes the return first takes you a couple of steps back before it catapults you forward – be clear on the time frame(s) on your effort so your expectations are in alignment with your expectation AND perception.
And then celebrate!
Celebrate all of it. Celebrate where you have been, where you are and where you are going. Let the numbers be a point of reference to tell you where you are on the path. Let them inspire you to new actions.
Use the story to nurture you, not be something that causes grief, concern or shame.