Tracking revenue doesn’t capture the full scale of a growing business. Inc. reported alternative ways to track business growth in 2020, which will ultimately contribute to bottom-line revenue totals.
Putting too much focus on revenue can overlook other key growth metrics. Referrals, efficiency and churn rates are the top three alternatives to measure growth outside of profits.
Increasing referrals through a promotional, incentivized campaign can be a sign that the business is already doing well. They are also easy ways to make new sales.
With any business, increasing efficiency helps the profits go further. Investing in updated technology and tools can increase productivity and offset the upfront cost. Tracking performance and productivity levels can pinpoint areas that need investment to increase efficiency
Lowering churn rates is also a good sign of growth. Less client turnover results in less revenue loss and can have the side benefit of increasing referrals.
Invest in customer surveys, analyze when clients are leaving and your interaction with them before so. Read the full story from Inc., which goes into deeper detail about how these metrics can be used to show business growth.