We live in a day and time where our access to valuable data almost feels unlimited. We can track analytics on nearly everything, from the visitors to our websites to how many steps we take each day. Large companies have people dedicated to looking at and interpreting the data so they can create data-driven growth strategies.
On the other hand, many micro businesses don’t have the resources or knowledge needed to use the data in their business decisions. You may wonder if you need to dive into the numbers because you already have enough tasks on your to-do list. So how can data help your business grow?
Data helps you optimize your efforts
Do the things you spend time doing every day help your business grow? You don’t know the answer to that question unless you look at the data. For example, imagine you spend half a day working on email copy for your company newsletter. Is that worth your time?
You may think so because it’s something many marketing experts tell you is necessary for engaging your audience. But have you looked at your numbers? How many people are opening your emails? How many people are clicking through to your website to engage with your company or make a purchase?
If no one is reading your email, why are you writing it? If some people are reading, but they aren’t taking any action, is the newsletter really working?
When you know what the data says, you can begin making data-driven decisions that make sense. Looking at the data allows you to see what’s working, what’s not, and where you need to make changes. This can help you shift your time to working on the things that lead to positive results and growth.
Data helps you understand your customer base
The more you know about your target market, the better you can serve them. But if you don’t know your customers and what they need, you may waste your time with things they don’t need or want.
When you analyze current customer data, you can extract key information to help you make informed decisions. And it costs more to acquire new customers than retain your existing ones, so it’s crucial to identify how you can continue to serve your current clientele.
The better you understand your existing customers, the easier it becomes to reach new customers. What are their pain points? Why did they start working with your company? What words do they use when looking for help online? What is their buying behavior?
When you follow the data, it creates a yellow brick road to your target market.
Data helps improve processes
You can improve your processes by using data to help you understand what’s not working in your business. For example, you can use the data to:
- Identify and correct areas of delays in your processes
- Improve communication between departments to speed up processes
- Identify automation that can reduce the time to complete tasks
- Improve employee training processes to reduce errors
- Update website copy to increase leads
You can even use the data to identify areas where you need to establish processes and systems to improve workflow and efficiency.
How to understand the numbers
If you’re ready to move toward a data-driven culture within your company but aren’t sure where to start in understanding the numbers and what to look at, SPEARity business coaching can help. Call today to explore group business coaching and business consulting options for your company.