Every business requires smart and careful oversight in order to grow and thrive, and cellphone repair store is no exception. With all the tasks related to repair orders and trade-ins taking place every day, it can get a little overwhelming for you to monitor the health of your business, especially if you’re in the thick of things.
Fortunately, identifying the key metrics for your business’s growth is not really that difficult. Here are 5 metrics that we believe can help you track your repair store’s success.
Sales Figures
This one is pretty standard and tells you a lot about your business overall. The sort of sales figures that you see every month show just how much cash you were able to generate through repairs, trade-ins and successfully fulfilling orders. It also gives you an idea of how effective your marketing and business growth plan is, as the more interest people have in you, the more sales you’ll be making.
Sales figures in cellphone repair store can be the result of a number of factors, such as market conditions, hardware supply, software updates, competition, etc. It’s always good to have new salespeople, attractive discounts, and additional services to improve on the quality of your sales numbers. Rather than going for a quick payday, focus instead on a long-term strategy to establish a good sales result. Always remember that at the end of the day, your sales need to balance out your cost of goods and operating expenses for healthy results.
Customer Acquisition Cost (CAC)
In many situations, gaining a customer requires that you spend cash on your marketing efforts to bring them through the door. This is known as the customer acquisition cost (CAC), and for a cell phone repair shop, it isn’t commonly looked into. However, the CAC can provide plenty of insight into how much of an effort you’ve made into acquiring a customer and the kind of return on investment you can expect from them.
Generally, the lower the number, the better it is for your business. For an industry such as cell phone repair, it might not take as much time to recoup the cost of acquiring a customer, since repairs generally come at high margins. The higher your CAC, the more competitive a space you’re operating in and the more effort you need to make to truly stand out and capture your intended customer. There are multiple factors that govern this area as well, so make sure you analyze this metric while taking into account all the associated ties it has to your business.
Customer Loyalty & Retention
This is an interesting one… customers who frequently visit your cellphone repair store can be a great indicator of your business’s health. Having a repeat customer means you’ve conducted good business with them in the past and have a healthy relationship with them, which in turn helps grow your sales. What’s more, many customers nowadays are more open to leaving positive reviews, recommendations and spreading the word about your business.
Measuring this metric is pretty simple – all you have to do is track down the number of customers that you’ve conducted business with more than once over a certain period of time. The more times a customer has made use of your services, the better. Those are the ones that you want to focus on for your positive reviews and feedback. This number can be easily increased by servicing repairs with high-quality products and providing great customer support.
Efficiency Rating
Cell phone repair is a service that takes quite a while, and the quicker you can get it done, the more productive you will be with your business. Efficiency rating generally comes down to how optimized your workflow is – if you’re able to take less time and resources to repair cell phones and other devices, you’ll be able to process more orders and therefore, make more sales as a result.
Calculating your labor hours is a good way to start with measuring your efficiency rating, and measuring how long it takes you to complete a repair job can help determine the areas that need more oversight. You might even want to look into automating certain processes so that you can cut down on lead times and improve your efficiency. Similarly, the cost of parts needed and servicing all play a vital role in calculating your efficiency rating. It may take some time to pin this metric down, but once you work on it, you’ll have a much clearer picture of what areas to tweak in your business to improve its overall health.
Employee Satisfaction
Our final metric might not be a conventional one, but it sure is important for your business. It’s very simple – the happier your employees are, the more productive they are, and the more smoothly your business will run. Keeping employee satisfaction high means your people will be genuinely working to make your business succeed. Their happiness results in better customer service, which makes both the employee and your customer feel rewarded.
Be sure to conduct regular surveys and evaluations of your team, ask them to leave feedback on their satisfaction levels, and keep an open-door policy so that they can approach you readily with more honest opinions. You’ll also want to throw in a few perks to keep morale high, like offering free coffee or planning company activities. When it comes to employees, the more you focus on taking care of them, the more they will take care of your customers.
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