If you’re in the home inspection business, it’s important to place your attention on business metrics. Not only will monitoring these metrics help you make informed decisions, but this will also help identify opportunities where you can improve and grow your business.
In this article, we’ll outline the important home inspection business metrics to monitor. To help assess whether or not you’re making progress toward your desired outcomes, document these metrics in your home inspection business plan and track them regularly.
1. Number of Inspections
The number of inspections is an important metric that can help forecast revenue and manage resources. By tracking the number of inspections conducted over time, you can identify which times of the year demand is consistently high or declining. This will help you to plan ahead in hiring additional staff to manage the workload or reassess your marketing strategies and invest in advertising to attract new customers.
2. Average Revenue per Inspection
This metric is important because it will help determine how much you’re earning per inspection. To calculate this metric, divide total revenue by the number of inspections conducted.
3. Customer Satisfaction
Customer satisfaction is another crucial metric for the success of your home inspection business. Survey your customers after every inspection to gauge their level of satisfaction with your services.
4. Referral Rate
Referrals are an excellent source of new business, so tracking your referral rate is essential. Divide the number of new customers you receive from referrals by the total number of customers to determine your referral rate.
5. Time per Inspection
Time per inspection is a metric that can help increase efficiency and profitability. By tracking how long it takes to complete an inspection, you’ll be able to identify areas where improvements can be made to the process to save time and increase productivity.
6. Cancellation Rate
Cancellations can be frustrating and may impact the revenue of your business. Keep track of the number of inspections that are canceled, and analyze why they’re canceled. This will assist in identifying patterns indicating problems with customer service or scheduling processes.
Tracking these metrics can help you make informed decisions, identify areas for improvement, and grow your home inspection business. By staying on top of these metrics, you’ll be able to optimize your operations and provide the best possible service to your customers.