Stay Ahead With Just 3 Lead Indicators
Life right now for small businesses, solopreneurs, real estate professionals, local businesses and coaches/advisors is frenetic, demanding, and constantly in flux.
You're your own boss, employee, marketing department, and customer service. You wear a plethora of hats, and sometimes the sheer volume of responsibilities can be overwhelming.
But what if I told you that your path to success doesn't have to feel like running with the bulls in Pamplona?
What if you could sift through the noise and focus on just three pivotal lead indicators to stay ahead of the curve?
In a recent article I talked about the importance of lead indicators over lag indicators. Check that article out.
What Are Lead Indicators?
Before we dive into these magical metrics, let's clarify what we mean by lead indicators.
Lead indicators are actionable metrics that forecast outcomes. Unlike lag indicators—which show you results post-action—lead indicators provide insights into future performance. For solopreneurs, understanding these indicators means having a finger on the pulse of what's about to happen, not what has already transpired.
The impact of lead indicators lies in their ability to give you real-time data you can act on now. They empower you to make micro-adjustments to your strategies, which can dramatically impact your macro results.
Indicator 1: Customer Engagement Rate
No business thrives without customers. But you don’t just need customers; you need engaged customers. Customer engagement is a lead indicator because it provides actionable insights into customer behavior, expectations, and loyalty.
How often are customers interacting with your brand online? What's the frequency of their purchases? How are they responding to your email newsletters or social media posts?
Here's how to capitalize on it:
Social Media Engagement: If you post content on platforms like LinkedIn or Instagram, track likes, shares, and comments. Engagement rates can signal the quality and relevance of your content.
Email Open Rates: High email open rates often translate to higher customer engagement. If people are ignoring your emails, it's time to pivot your strategy.
Customer Reviews and Feedback: Positive reviews are gold. Encourage satisfied customers to share their experiences and pay close attention to what they’re saying.
For small businesses, solopreneurs, real estate professionals, local businesses and coaches/advisors, every customer counts.
That's why customer engagement isn't just a number; it's an ongoing relationship that needs nurturing.
Indicator 2: Sales Pipeline Activity
You can't afford to rely on last month's revenue to predict next month's income. That’s where your sales pipeline comes into play.
Here’s what you need to scrutinize:
New Leads: How many leads are entering your pipeline? If this number is stagnating or decreasing, that’s an early warning sign.
Next Steps & Movement Forward: You have a client journey mapped out right? What is the next step your Ideal Client takes? Are people moving forward or are they getting stuck somewhere?
Lead-to-Customer Conversion Rate: Pay attention to how many leads convert into customers. A high conversion rate means you’re targeting the right audience, and your offerings resonate with them.
Time to Conversion: How long does it take for a lead to become a customer? The shorter, the better, as it typically indicates higher interest and a more efficient sales process.
Your pipeline is your future. Keep a vigilant eye on it, and you'll always know what’s coming down the road.
Indicator 3: Personal Productivity Metrics
The lifeblood of your business is your ability to stay productive. Given that you are the engine driving your business, your productivity is a lead indicator for your business' performance.
Here’s how to harness it:
Task Completion Rate: Keep track of the tasks you complete each day. If you see a pattern of uncompleted tasks piling up, it’s a red flag.
Time Allocation: Use tools like time trackers to gauge where your time is going. If you’re spending 80% of your time on tasks that yield 20% of your results, you're misaligned.
Energy Levels: Don’t underestimate the importance of your mental and physical energy. Low energy levels often precede low productivity.
Being aware of your personal productivity levels allows you to act before your business hits a wall. If you see a drop in productivity, intervene immediately—whether that means reassessing your workload, refining your strategies, or taking a well-needed break.
The Bottom Line
Surviving the hustle of business doesn't require juggling countless metrics. All you need to stay ahead are these three key lead indicators: Customer Engagement Rate, Sales Pipeline Activity, and Personal Productivity Metrics.
Keep these numbers in your line of sight, act on them, and watch as your business not only survives but thrives.
Remember, your biggest asset and liability is you.
Therefore, focusing on these lead indicators isn’t just good business sense; it’s essential for your long-term success. So, start tracking these today, because if you’re not moving ahead, you’re falling behind. And, standing still is not an option.
Here’s 4 things you can do right now:
1. LEADS (GET TO 6 FIGURES): PROGRAMS & COURSES
2. LEVEL UP (GET 6 FIGURES+ ): COACHING
3. LEVEL UP ACCELERATOR: ONE DAY DEEP DIVE
4. LEVERAGE (TIME BACK FOR 6+, 7 FIGURES): LET DARIN DO IT