Searching for a substantial increase in profits and growth for your retail store? We can understand why. The performance indicators of your store will tell the story of success and areas to improve. The adoption of this retail business plan template will also position your retail store for long-term growth. Let’s scale your retail store business!
1: Return on Marketing Investment (ROMI)
Measure your marketing strategies by subtracting the marketing costs from the sales income. Divide the resulting number by the total marketing investment. The final result will indicate how well the marketing strategies are working. If the number is low, consider changing strategies to get a higher rate of return for your investment.
2: Customer Acquisition Cost (CAC)
What does it cost to turn a potential customer into a purchasing customer? To determine the result, divide the total marketing and sales costs by the number of new customers. If the cost to acquire a new customer is high, generate new strategies for sales.
3: Net Profit Margin
This measurement is the “bottom line” number: the actual profit your store generates. To measure, subtract the sales expenses from the monthly revenue. If the profit margin is low, increase it by reducing the sales costs or increasing the pricing of goods sold. Profits are critical; make informed changes to scale your store growth.
4: Sales Revenue
This key metric will gauge how well your company is performing in the marketplace. Subtract any returned or damaged items from the total sales income. The results will increase each month if your retail store is growing.
Scale your retail store by employing tactics, such as creating cost-effective marketing strategies, reducing overhead and increasing prices as needed. Check metrics often to stay on track for optimal performance leading to long-term growth.