A humble business view to debate
In the business technology there is not a single truth, there is many, all people involve in technology are in the search of the perfect model for his business, an emotional agony to adapt it to this constant change world.
Like everyone else, I have had my own path, always learning from everything. Meanwhile I enjoy coding, I have had to learn a lot about business, since I decided to fly to my own.
My first business advice is why I’m writing now, just a subtle advice that after three years have a lot of sense to me. This advice is based in four pillars for a CEO who i met.
Stakeholders, Customer/Clients, Partners and workers, for my advisor, was like four spinning tips to watch constantly in time and be careful to not fall any of them.
Sound like a perfect balance, any of this pillar is important in a successful company, but, what about of indicators, the pillars are clear, but what are the numbers which determines the velocity of this spinning tips.
After a year from my first advise I was selling e-commerce and to be prepared, I read “E-commerce Evolved”, an introductory book about marketing and e-commerce and I see the key indicators who I am looking for. New customers, Size of the orders, and frequently of the orders.
1. Get more customers.
In any business the customers (today called users) are the blood of the business, this is a fact, even if your value is social you must increase your customers.
2. Increase the size your orders
You have your users, and you know how them are, you know his problems, even you know his revenues (CRM times), increase the orders bringing more value to them and your indicators.
3. Increase the order frequency
Depend on business, this section could have sense for some business than others, if your business is not monthly paid, your incomes could be based on demand, like e-commerce.
In the example, If we get on a 10 percent in every indicator, we will have a 33 percent of revenue, and a new customer costs the same as retaining 5 in the e-commerce market, probing us how our investment be in balance between marketing and operational excellence.
There are 4 spinning tips that his speed is determined by the three main key indicators, connected with other business (partners and customers) who have the same needs (and the same indicators).
This simple model or draft is just an adventure to see how others could view his business and if make sense to see in this way or if I am definitely wrong.
Thanks for reading.
