Important Gym Business Metrics – Part 2: Sales

This is the second article in a four-part series detailing some of the more important metrics that you should be using in your gym to determine your performance. You can view part one here, part three here, and part four here.

The performance of your business is a key part of your business dashboard. It is paramount that you know how well (or poorly) your business is performing. Without this knowledge you are simply guessing your way through the complexities of running a business.

In this second part of the series, we will look at metrics related to sales.

One of the important factors in measuring performance is to not measure irrelevant areas. For that reason this article present three key metrics. In the end, it’s up to you what you measure. Just be sure those metrics actually give you the information that you need to make better business decisions.

Monthly sales

The number of sales that you close in a given period is a key measure of how well your sales activities are performing. The most basic measure tallies every sale that you generate in a given period of time. A monthly tally will give you a statistically significant total, however you can measure over any period as long as you compare to like periods for assessment purposes.

Aside from the total number of sales that you make in any period, you might want to tally the sales for different products and services. Understanding these numbers in detail will allow you to make better decisions around where you spend your time and money.

Cost per acquisition

For every sale you make, you spend money. Effectively you buy your clients. Therefore, a key metrics is the cost of each sale. This metric provides information that will help you determine how much you can spend to generate leads and sales, and also indicate where improvement may be made.

To calculate the basic cost per acquisition simple divide your marketing spend for a specific period by the number of sales made in that period. This number will generally be higher than cost per lead.

You can get more specific by calculating cost per acquisition for specific products, services, and for sales made directly from certain campaigns.

Conversion rate

Conversion rate is a metric that explains your sales performance relative to your marketing performance. The calculation divides the number of sales by the number of leads for a specified period. To express as a percentage the result is multiplied by 100.

For example, if in a month you made 21 sales from 39 leads, your conversion rate would be 53.8%. You could say that you closed approximately 1 in 2 sales in that month.

Conversion rate is a metric that you should pay close attention to. By improving it even slightly you can make great gains in you business. For example if the conversion rate for those 39 leads was 65% then you would make 25 sales.


Sales metrics are closely related to marketing metrics so be sure that you measure performance in both areas.

Remember what Mark Twain said, “There are three kinds of lies: lies, damned lies and statistics.” These metrics can give you the info you need but if used out of context they can misinform you. Be certain of the context of these metrics and use them wisely.

2017-05-15T08:09:37+00:00 By |Categories: Sales|