How to Set Revenue Goals in Shopify
Ask any business owner or entrepreneur about goals, and you’ll soon see how vital they are to all businesses.
But how do you pick your goals? Why should you concentrate on revenue goals, and how do you set them in the first place?
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Whether you’re setting up your Shopify site for the first time, or you’re already in business - we want you to succeed.
Revenue goals are one way to define what that success will look like. Having a clear vision of what success will look like will make it easier for you to accomplish it - and measure it along the way of course.
So let’s take a look at how to set revenue goals on Shopify - and what they are!
Definition: Revenue goals are targets for the strategy and performance of a business that improve gross or net profit.
Unfortunately - lots of business owners and Shopify site owners neglect to set these goals in the first place.
They become too focused on finding customers, finding products, doing marketing, grinding to make their businesses work, and so on.
But it’s mega important. And let’s be clear, goal setting is not a once-off thing! This is an ongoing task.
SO WHAT'S THE SOLUTION??
Here are a few ways you can make goal setting easier for yourself:
Use the Golden Rules of Goal Setting:
- Set goals regularly - at least annually, but quarterly, or even monthly if possible. If you're struggling you might want to dive even deeper into weekly and daily sales goals!
- Make them SMART goals (Specific, Measurable, Achievable, Relevant, Time-bound)
- Communicate them to your team (let it inspire and motivate them!)
- Use the right tools and metrics to measure performance
- Review your goals regularly
So an example could be, “Grow product revenue from $5,000 per month to $20,000 per month by December 31, 2020.”
Why this is important?
When you know what you’re aiming for, you’ll know when you’ve reached it.
Or you’ll be able to quickly see if you’re off track and you need to take action.
NEXT UP: some common mistakes to avoid when setting your sales goals!
⚠️ Revenue Goal Pitfalls To Avoid! ⚠️
- Beware of the spreadsheet! It can be really tempting to set out your goals and set unrealistic targets that then cause you misery to try and live up to. Numbers and spreadsheets often assume linear growth, but in life and in business, it doesn’t work like that! So be realistic and give yourself some grace and room to grow. This is why tracking and measuring goals is so good - not just for your business but your mental health too!
- Keep an eye on your “Growth Gap” as well- this is really juicy! This is really just the difference between where you are now and where you want to be. It shows a revenue shortfall and this is a catalyst for you to take action - get investment, make tweaks, and generate growth to get you to your revenue goals!
- Remember: Don't let your goals rule you. Goals are meant to help you with on your business owner's journey!
How To Set Revenue Goals on Shopify:
Tracking Your Goals 📊
Now - you’re going to want to track your revenue goals - if you want to dive deep and get pretty technical, there’s 2 ways you can do this - One on Google Analytics, and one in Shopify.
These have a lot to do with creating conversion funnels and tracking them.
Psssst.... Let me let you in on a li'l secret....
The short cut for this is obviously your Sales Figures! This will give you an indication of whether or not you’re meeting your revenue goals.
From here on out, make it a habit to check in on them regularly, and adjust them as you go to monitor your Shopify metrics and your progress, so that you can continue to grow your business.
And remember, when you reach your goals - celebrate them, girl!
And tag us on social so we can celebrate with you!!
So that's pretty much a wrap....
If you’ve got a top takeaway I’d love you to share that with me in the comments, and let me know if you have any questions about Shopify or e-commerce in general - I’d love to help!
If you need some help getting started or even making over your store, hit us up!
You can also check out our done for you packages - or our DIY website workshop if that’s more your style!
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