By Allan Ferguson
One of the fastest tips I can give any service business owner is as simple as do you understand what is making your phone ring and how much it’s costing you?
We’re in such a dynamic environment we sometimes can get ahead of ourselves and look past something as basic as knowing these crucial numbers.
This process doesn’t have to be too elaborate either!
I have written before on the power of knowing your numbers and I’m such a strong believer in this because it’s fundamental to the reason why you’re in business to begin with.
Everyone in our industry is reliant on generating leads to make the phone ring, so if you aren’t tracking the reasons why customers are calling you then you’re relying on assumptions, and that is not smart business.
You must be getting feedback on why your customers ring you!
Of course this will depend on the size of your business and the staff you have available, but even if you’re a one man band, so to speak, you still can be tracking these numbers.
It can be as easy as setting up phone numbers related to certain marketing campaigns or locations, tracking Google AdWords or even directly asking the customer “why did you choose our business?”
Remember the goals here is to track where a lead comes from, the lead’s source and then calculate what that lead has actually cost your business.
This will give you a much stronger idea about effectiveness of your lead generations and you’ll develop a better understanding of how much it costs you to get a customer to ring you.
You’ll also be able to compare different lead sources over time, identify market trends and gain so much greater confidence in your decision-making because it’s based on facts built up over a timeframe you control.
I say this is a fast tip because it is not a drastic change to your business and the knowledge you gain can be immediate.
Tracking leads is one of the most basic numbers a contractor or manager can know but it is so important and something I cannot recommend highly enough for you to start doing today.
Allan Ferguson is the CEO of Service Professionals Australia.
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