How to Measure Success
Using Data Driven Tests to Reach Your GoalsClick to View on Medium.com
Every cleaner has goals. Savvy business owners are constantly thinking about ways to increase revenues and decrease costs. For cleaners, that means driving new orders, maximizing order size, expanding your routes, and running your operations more efficiently. But how do you know if you are reaching these goals?
The answer is data. Successful cleaners track every aspect of their business, test new ideas against that data, and then measure the results. You don’t have to be right every time if you can make decisions based on reliable data.
Think of your dry cleaner as a series of science experiments. Let’s say your goal is to make your routes 20% more efficient. First, start with the data you already have: the average cost of running the route and revenue generated.
Next, come up with an idea to make your delivery service more efficient. that you can test, for instance: “If we sent customers a reminder the day before their pickup, would we get more orders and less no-shows?”
The reminder above attempts to accomplish two goals: (1) it reminds the customer to put their clothes out, and (2) gives them the option to skip their pickup if they do not have one. This simple action from the customer can make up a lot of wasted time and gas for your driver.
Now, run the test and measure the results against those two goals: (1) did the average number of orders increase and (2) how many customers replied ‘SKIP’? Then, determine how much money you made from those orders and saved in labor and gas to measure the success of the text campaign. For instance, one cleaner we work with saved $600 a month on one route alone by testing and implementing a similar initiative.
Great ideas do not mean much if you cannot measure their effectiveness. Good data capturing techniques and tests like validate those ideas and enable you to confidently implement them. Test, measure, repeat is a proven formula for success.