Sunday, May 29, 2011

Stats Lie, Trust Your Own Numbers

The only numbers that really count are yours, the ones you make, the ones you manage.

The weather service says Jackson County has only received 3" of rain (as of May 27) yet my dad had a bucket of 8" of water from just the previous week (including evaporation).

The various reports have retail sales up, down, or flat, so many different ways that you could get dizzy trying to follow.

Even Winston Churchill says, "The only statistics you can trust are those you falsified yourself."

And as Seth Godin pointed out in his last post, none of these reports on the economy really matter.

The only economy that counts is your local economy. The only statistics that count are the numbers you create and measure.

Are you tracking Customer Counts? This is a good sign of the health of your marketing campaign.

Are you tracking Average Ticket? This is a good sign of the ability of your sales staff?

Are you tracking Gross Margin Return on Inventory? This is a good sign of the ability of your buyers.

Are you tracking Cash Flow? This is a measure of the ability of your company to react to changes in the local economy.

Those are the numbers that count.

Phil
www.PhilsForum.com

PS Need help in understanding those numbers? Help is available in the Freebie section of my website. Need more help? Send me an email. You can be successful in any economy when you track the right numbers.

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