Hello,
I was wondering what type of key growth indicators do you focus on?
Do you simply focus on revenue as a measure of how your business is growing or do you have
other key numbers that need to always go up?
Thank you
Ryan
Hey Ryan!
I believe for any type of business you should always consider ROI, and not of a single action (as one marketing campaign for instance), but of the whole investment, including effort, time spent, studies, etc.
I look mostly at ROI, but I also consider what volume I'm able to run, how confident do I feel about the market ... If I am certain that my skills are improving in a new market, the revenue/volume goes up and I'm able to keep solid ROI - I know I'm heading in the right direction.
This is quite obvious thou, so not worth much as an advice.
I'd say you need to ask in a more specific way, I'm not sure what advice you are looking for.
I focus on revenue and profit.
To manage my campaigns I use additionally CPV and EPV.
So simple....lol
Revenue growth, profit growth, margins on campaigns (ROI and services accounted for), operational income (after paying salaries) and net income (after also paying any taxes that are due).
It really depends on what sort of goals you have and what you can reinvest the money in.
A classic example is Amazon, who has little profit compared to many other companies valued in their range but their growth and the opportunities for them are great that people make money just by owning Amazon stock. If you are the sole owner of your business and you never want to sell it, you make money only from the dividends you can pay yourself, so then you do care about net income.