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Wednesday, November 30, 2011

Using New Yardsticks to Measure Your Business

JoAnn Lombardi
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The Internet is an important tool for enhancing the value of any business and its owners. As a business owner, it allows you to develop new ways to measure your performance as well as market to qualified buyers if you are looking to sell.

 

At VR, we use a variety of different yardsticks to help enhance the value of your business so that it will be more attractive to qualified buyers. In today’s marketplace and marketspace, it’s imperative that you utilize the resources that VR provides to effectively sell your business.

 

It can be a challenging process to move to a more e-centered universe with your business as you prepare to sell. The new yardsticks should include not only yourself as an owner but your employees as well. It should incorporate non-financial measures.
 
Innovation and Flexibility
This can involve the average time from concept of a website to launch, the speed to match a competitor’s site as well as which the competition will match the site and the time between new versions of a site.

Customer Loyalty
Look at the percentage of customers who return within a year, time between visits to your business, duration of those visits by your custoemrs, conversion rate and percentage of customers that provide you with their personal information. 
 
Transactional Excellence
Examine unique visitors each month, online sales abandoned, percentage of orders correct, time to respond to a customer and percentage of orders filled on time. 
 
Customer Information
This stems from the percentage of email addresses that you collect from online traffic to your web site. 
 
Infrastructure Reliability
Here, you should be examining the time it takes to load a page, network uptime, ease of system expansion. 
 
 

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