How to Hit a Six-Figure Sales Goal
This month we’re going to stray a bit from our traditional Marketing Monday posts so we can focus on setting and hitting goals that increase your bottom line.
In any business, whether you’re an independent retailer or a tax accountant, there are only two ways to increase revenue: increase your sales or reduce your expenses. Whether you’re trying to make 10 percent more this year or hit six figures in sales, you need to break down your goals into daily goals and work every single day to hit them.
Start with your end-of-year goal
If your goal is to increase your business revenue by 10 percent, logic would tell you that you’d need to increase your daily sales by 10 percent to hit that figure (or reduce expenses by that same figure, or a variation thereof). This is where it helps to keep meticulous notes on your business on a daily basis. If you made $1,000 last year on this date, you’ll need to make an additional $100 to meet your goal of an additional 10 percent in sales. Figure out what you will do differently this year, on this date, to make that happen, because something needs to happen to realize a different result. It could be increasing your prices by one percent while reducing your costs by nine percent. It could be by taking advantage of buying groups or co-op marketing dollars. Regardless of the tactic, the idea is that something has to change to make your goal.
Set daily sales goals
Figure out your daily sales goal and every month commit to hitting that number. If you find yourself falling short, you need to do something to bring your numbers up. If you’re going to accept a new project or a fellow retailer asks you to do a co-marketing campaign, consider how adding any responsibilities to your daily workload will affect your ability to hit your daily sales goal. If you want to do something extra to help your business, do that either after you hit your sales goal for the day (for example, in the afternoon or after you close shop) or on your day off.
If keeping daily tabs is too much trouble, you can also break it down by hours available each month. So, for example, if you want to hit six figures this year, let’s say $100,000, that means every day you’d need to bring in $273.97. But, maybe you’re not open 365 days a year. If that's the case, you have to make up that daily lost sales goal during the days you are open.
Track the numbers
As much as our industry deals with numbers on a daily basis, it’s surprising how much we don’t track the numbers that matter—from our time to our profit margins.
We also talk a lot about customer service and being a part of a community. No one is debating those are important and necessary to stay in business. But, the reality is that unless your register is ringing sales, and more of them in this increasingly competitive marketplace, you can’t afford to stay in business.
It’s time to be ruthless and look at your business in a more holistic way. Sell off the dogs, focus on your bestsellers and items and categories that turn quickly. Start tracking the numbers and stay focused on your daily/weekly/monthly goals.
Take a mid-year stock report
We’re about to hit the mid-year mark, which makes this a good time to take stock of where you are in your business. Yesterday might have been better than you thought while today fell short, which means tomorrow you might need to step it up. You won’t know unless you track your sales compared to the goals you’ve set for yourself.
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