Are you curious to understand how to use data analytics to increase sales of your business?
Let me tell you, you’re headed in the perfect direction & this post will help you with few tips on how to do that precisely
Because it is the one crucial element that you should never underestimate and constantly focus on until you reach your goals.
Let me share a quick story on how it is important so that you get some context and then we can move on to the specifics of how you can actually do it.
Data Analytics to Increase Sales Client Conversation
So was having a discussion with a potential client a few days ago(at the time of publishing this post) about his business and specifically his Google Ads campaigns.
He mentioned how his ads are not generating any ROI, leads have dropped and conversions were reducing.
Rather than giving random advice, I decided to take a look at both his landing pages and google ads campaign so that I can share with him real insights that can move the needle in his favor.
I shared with him insights & suggestions about his overall marketing and google ads campaign only based on Data analytics to increase sales that he should work upon so that he can generate maximum results.
Some of the questions I asked him for data analytics were:
- 1. How many conversions, leads, traffic have you received?
- 2. What is your Average Order Value?
- 3. What is your ad spend vs your revenue(less: costs)?
We went on to analyze that his Google ad Campaigns are not generating profits and he was running at a loss.
Answering these questions gave him clarity about his business that he did not have previously and knew exactly what he needed to do in order to grow.
At the end of our 2nd call, he was so impressed with my approach that he was literally requesting me to work with him and help him generate more results for his business.
Let’s think about a scenario where we did not discuss on data, what would have happened then?
He would have continued to run the google ads campaign at a loss since he did not take the time to analyze his costs and his actual revenue associated with his campaigns / posts.
So now that you know why it is important to use data analytics to increase sales for your business, it is a question of how to actually do it:
Well, obviously there is a manual way and automated way through usage of tools to analyze data. Let’s take a look at both of them now:
1. Using Manual Data Analytics methods
If you do not have a website you can even use a simple Google Sheet to fill out important details about your business and goals.
I have created a simple sheet for your easy access but you can always make a copy of it and modify it as per your requirements:
1. Total Traffic
2. Total Leads
3. Total Conversions
4. Total Cost Per Lead/Acquisition
5. Total Revenue
6. Average Lifetime Value(LTV)
7. Average Order Value(AOV)
8. Total Cost Per Click(CPC)
9. Total Click Through Rate(CTR)
10. Total ROI(Revenue – Ad Spend – Other Costs)
At the start, especially if you are a solopreneur and a small/medium size business and your revenue is less than $10 Million Dollars / Year, then the tracking data through tools like Google Analytics & SEMRush and using Spreadsheets to calculate your ROI should not be that difficult.
You can use this sheet on a daily basis to see which campaign/posts are generating the most results for your business and accordingly do more of the things that are working and less of the things that are not.
However as you progress and generate more revenue, you might feel, manually tracking numbers is time consuming and takes too much efforts.
That’s where Big Data Analytic tools come in.
2. Using Automated Data Analytics methods
Automated Data Analytics uses AI Driven technology that not only pulls information from multiple sources for your business to present to you insights purely based on technology and codes.
Generally these types of tools are used by corporates and big companies whose yearly revenue is over $10 Million Dollars / Year and rely on heavy data to take strategic decisions.
There are lots of Big Data analytics tools out there but you can check out Tableau as they offer a Free Trial as well. You can also talk to their Sales Team and schedule a Demo if you are really interested in exploring more.
So if you are a company in industries like Construction, Healthcare, etc. that rely on Data Intelligence, you can use Data Analytics to not just track your efforts but also make strategic decisions to grow your business.
With that said, I hope this post was insightful to help you use data analytics to increase sales of your business is very crucial for the long term stability of your business.
You can easily use simple spreadsheets like the one shared above to track basic numbers that matter to your business to do this and do not need any complicated tools at the start.
However if you are looking for more help in analyzing the data, you can schedule a Free 30 Mins Coaching Session with me by clicking the button below so that I can take a look at your business and share with you similar insights that can help.