Know Your Numbers: Financial Dashboards for Business Growth
When you go to the doctor for a checkup, your doctor will measure your pulse and other vital signs to see how healthy you are. If your doctor spots any problems during this process, he can show you how to take corrective action before you encounter additional complications. Although most people know the importance of tracking their physical health, many business owners overlook the health of their business, which is a mistake that you can’t afford to make.
Luckily, you can track your results with dashboard software, such as Quickbooks small business, that will show you the vital signs of your business. With the touch of a finger, you can see your sales, conversion rate, return on investment and more. Using this information, you can focus your attention on the tactics that are working and eliminate the ones that are not. You are now going to uncover some of the statistics that you can monitor with dashboard software and why they are critical to your long-term success.
If you sell physical products, investing in your inventory is a critical part of the puzzle that can make or break your business in no time. Buying too much inventory can tie up your funds and prevent you from investing in other areas of your business, but not buying enough items can cause you to run out of stock.
When you opt to use dashboard software, you can track your inventory turnover rate. You will then know how long it will take for you to sell each item, giving you a clear picture of how many products you need to buy. You will save time, money and energy, and you will always have the right number of products on hand.
Website Traffic and Conversions
Those who want to expand their business understand why they need to get as much web traffic as possible, but getting a lot of visitors won’t always provide you with the best possible results. When you don’t want to waste money on campaigns that don’t benefit your bottom line, use dashboard software to track your website traffic and conversion rate.
Doing so will show you the amount of money that each visitor is worth, and you will be able to uncover the traffic sources that are generating the most profit. You will also spot sources of traffic that cost more money than they make, and cancelling those campaigns will significantly reduce your overhead expenses.
Social Media Shares
If you are running a business but not taking advantage of social media outlets to attract new prospects, you are leaving a lot of money on the table. Social media allows you to increase engagement and to grow your brand when you follow the proper process.
Once people like or follow your page, you can reach out to them without being forced to pay additional marketing fees, but you can even get free exposure by encouraging your fans to share your content. When you integrate your social media profiles with your dashboard software, you can see the type of content that earns the most shares. After you discover the kind of content with which your audience is likely to engage, you can reproduce your results on a consistent basis.
Whether it involves your marketing campaigns, inventory expenses or something else, you will want to know the return on each investment that you make. This data will give you an idea of how much profit you can expect from each aspect of your business, allowing you to make informed decisions.
When you use dashboard software to monitor your spending and income, it will display the profitability of all of your business activities. Once you have access to these reports, you can anticipate how much revenue you will earn for each pound that you spend. When you make small changes or run split tests, you will see whether your decisions help or harm your bottom line.
Entrepreneurs, if you want to boost your business to the next level so that you can get the most from your effort, it’s time to take advantage of dashboard software. It will provide you with data that would otherwise take days or weeks to uncover, and you can then make small changes that will impact your profit margins in a profoundly positive way.
Most people are blown away when they see the difference that dashboard software has on their business, and you will probably feel the same way when you use it for the first time. Gaining these insights is one of the top investments that you can make, and you will know that you have done the right thing when you see the outcome.