How do you define success in your business? It’s a question I ask every client – and most of the prospects I ever speak with.

The interesting thing for me is how often the people I speak with don’t have a specific answer. Sure, we can come up with just about anything on the fly. Yet it’s not difficult to tell the difference between established, well-thought-through business goals and those that we sort of find when we need to talk about such things.

Having a way to measure the success of your business, however, is one of the most vital parts of running a business.

It doesn’t matter whether your business is selling products, providing services or selling ad space on your blog – it does you good to have a clear idea of your goals. And, hence, a clear definition of what success looks like for your business.

All my clients use the web in some form these days. So often I hear success measured in visits to their website or page rank in Google. Sure, those are measurable results. But I, as a business advisor, would never consider those to be metrics used to define success of your business.

Let’s think about it for a minute…

You can have a page rank of 6 in Google and get 1000 unique visitors a day to your website or blog. That’s good, right? And most of us would be happy with numbers like this, right? Heck, the way Google’s playing around with page rank these days, I’d be happy to get back to a 6.

Yet, your page rank doesn’t equal income. Nor do any of those visitors guarantee a dime of revenue. Sure, if your website is selling ad space, you might get bits of cash for impressions. And you may be able to get a little higher ad rates with traffic and page rank higher. But you’re certainly not going to make a living on that alone.

And so these aren’t very solid metrics to use for defining your business success. Don’t believe me, ask around and see. Personally, I know more than a dozen bloggers who have highly successful blogs – more successful than mine in terms of traffic, page rank, back links and Technorati rating – who aren’t making enough money to cover their monthly expenses, let alone turn a profit. A couple are good friends that I’m trying to help out.

The point is you want to define the success of your business based on what you’ve set it up to do – make money. That doesn’t mean that you only measure by your bank statement at month’s end or by your bottom line accounts receivable versus accounts payable. There’s more to it than that.

For instance, take whatever you’re doing currently to market your business and track responses from your marketing efforts. Let’s say that one of your goals is to spend some time commenting in forums to drive targeted traffic back to your site that you can convert into leads. It’s a clear goal and something that can be easily measured using basic website statistics. Measuring your success might look something like this:

You posted 50 times in the forum last month. From those posts, you got 41 referring links from the forum to your website. From those visitors 11 commented on a blog post (leaving their email address with you), 6 subscribed to your newsletter and 1 contacted you directly with a question. You can then decide whether those 50 forum posts were worth the effort (I’d say yes, depending on what the commenters and newsletter subscribers do over the next few months).

You see, the idea here is that you set metrics that relate to your business goals. The month of forum posts may or may not directly result in revenue that month. But it’s not always about revenue. To make money you need leads and so the work you did in the forum could have been about generating leads – which you did. Now you just have to create the next metric for converting those leads into paying clients.

Measuring your success isn’t difficult. It just takes a little strategy, planning and forethought. And on the web, tracking results is incredibly easy. You just have to know what you’re tracking – and why. Then you can adjust your efforts for the next round of lead generating activities. That’s how successful business owners use the web.

How are you measuring your business success on the web? Are you at all? If not, why not? Would it change if you had someone to help you (I know someone, personally)?

All-in-all, how do you know if you’re successful with your marketing efforts?

(note: image from victor_nuno on Flickr,  some rights reserved)

If Mr. Shaw is correct (and I think he is) then all progress – hence all success – happens when you adapt your surrounding conditions to meet your specific situation.

Think about what that means in your business.

So often, small business professionals get caught up in playing follow the leader. They find some system or program – some marketing philosophy or method for copy writing – and they follow blindly. They think that because this method has worked for others, that it’ll be great for them.

What they don’t see is that when we’re always a follower we’re always at the whims of the what’s around us. And when the marketing plan doesn’t work for them they either figure they’ve not learned enough or that they can’t learn it at all. So they either spend more time as a follower or they quit.

But successful business – whether you’re a coach, consultant, therapist, widget maker, etc – isn’t found in following the leader or conforming to the masses. Successful businesses are built out of stepping out of line and finding your own path.

I liken building a successful small business to hiking, which I’ve done plenty of in my short life. Sure, you can follow the trail that’s been cut and see some great scenery. It’s easy, just walk and let the trail be your guide. Or you can decide to bushwhack; getting off trail and taking a risk. It’s when I’ve gone off trail that I’ve discovered the most serene mountain lakes, amazing meadows full of blooming flowers, glaciers hanging off unimaginable cliffs and easy access to ridge lines that lead to breathless views – none of which I would have seen if I’d remained on the trail.

The same is true with your business. Be willing to cut your own path. At the very least, explore off trail. Don’t just be a follower who adapts his or her self to the conditions that already exist. Rather find your independence, become your own leader and make the conditions that surround you work for you and your business.

How can this be pragmatic? Don’t just settle for following someone else’s marketing plan. Learn it, adapt it to your business – rather than your business to it – and leverage what you learn to generate more business. If you’re learning copy writing, don’t just learn the formula. Instead, learn the formula and then figure out how you can adapt it to your specific way of communicating and to your specific business model.

In other words, own it. Own what you learn by making it part of you and adapting it to how you work best. Learn it, adapt it, own it! And be as unreasonable as your business success allows.

So what can  you do today to be a little unreasonable; to go off trail or to adapt your surroundings to your business?

And if you’re unsure, consider how you’re allowing your surroundings to dictate how you do your business – and share it in the comment box.

Let’s talk about it.

(note: image from mutbka on Flickr,  some rights reserved)

Certainly you can approach your business as though it’s a set of skills you learn and then implement. Yet I’ve found, for myself at least, that running my business like this has no life. You can create success and make tons of money, but what’s the end game?

For me, having my own business is about living life. I utilize my business to aid me in creating the lifestyle I want. My life is not, however, my business just as my business is not my life. What my business gets me is an opportunity to live the life that I – and my family – want. And for us, that’s the end game.

So I tend to approach business as being from part of my lifestyle. Which means I bring everything I know into my business. Certainly that includes marketing strategy, business development, and sales. Yet it also means I look at business with an eye toward spirituality, life purpose and philosophy.

Now I don’t see spirituality and philosophy as being something to push through business – as many are doing today. Their approach is to create spirituality in business – and that’s fine for them. It’s simply not how I approach my own business.

My approach is take the teachings, the lessons and the knowledge I’ve gained studying philosophy or practicing spirituality and live them inside my business. So words such as integrity or honesty have meaning to me in my business not because they seem like ways to gain an advantage over the competition or generate more sales. Rather, applying these concepts in my own inner life is the foundation in which my business is built. For me, it can be no other way.

So often, when I look to solve a business problem for myself or a client or I want to make some part of my business model better, I turn to philosophy and spiritual teachings. And just this past weekend I opened again, for the first time in years, Sun-Tzu’s The Art of War. And the first passage I read included:

Strategy without tactics is the slowest route to victory. Tactics without strategy is the noise before defeat.

Now, of course, Sun-Tzu’s writing about military strategy in The Art of War. But the book really presents a complete philosophy for managing conflicts and winning clear victories. For instance, Sun-Tzu writes, “Supreme excellence consists in breaking the enemy’s resistance without fighting.“

So consider the gem I rediscovered in considering strategy and tactics. What Sun-Tzu offers is so fundamental that there is no debate that can deem his words untrue.

If we go off and just implement our ideas without forethought or planning, we end up failing. Sure, we may gain some success in the short term, but in the long run we’ll either find out selves in a cul-de-sac or out of steam.

And if we spend so much time on planning and trying to forsee all the pitfalls and possible road bumps along the way, we may move forward, but the pace will be painfully slow. So slow that we could find ourselves questioning whether we belong doing our business or not.

There is a fine balance between planning and implementation. The two dance together in a healthy, sustainable business model. You want to be planning and visioning for the future, and at the same time you want to be implementing your plan so that your business can build some momentum and so you can learn what in your strategy works or not. Then, you will grow at a pace that’s sustainable.

How are you managing and balancing your strategies with your tactics? And what have you learned from it?

And perhaps as interesting…do you use the wisdom of those who came before us to help you gain perspectives in  your business? If so, how?

Let’s talk about it.

(note: image from jocuristrategice.ro/)

But one thing is similar between almost every client…they somehow see their blog as their business. I’m not sure where this developed exactly, but I see this all over the web as well. Perhaps there’s a misunderstanding between those who have made money blogging and those who want too.

But a blog is not a business. Blogging, in it’s own right, is no more a business than your gasoline is a car. Sure, the car and gasoline are forever linked, even dependent on each other, but you’re not going to step inside a can of gas and make it to the grocery store.

You can think of your blog in similar terms. Your blog is like gasoline in that it can make your business go. And done well, blogging can make your business grow. But you first need a clearly defined business model before you can attach a successful blog to it.

Even for the problogger, your blog is the method that allows you to make an income – in other words, it’s marketing. But your business is about publishing, sell advertising or affiliate programs or being paid for reviews. The blog is simply the way you accomplish your business model.

I bring this up because I see so many people getting it backward. They think the blog is their business. They see the blog as their car. They expect to just get in and have the blog deliver them to their destination. But it doesn’t work that way. You can blog successfully for years and never make any money. You can have tens of thousands of commenters and no clients.

The answer to making money with your blog isn’t about text-link ads, having more ad space or finding the right affiliate programs. It’s not even about converting clients or selling products. All this can certainly make you money, but your chance of success decreases greatly if you don’t have a plan – a business model to follow.

Here’s some simple points to set you in the right direction toward finding your business model:

• Know thy self – What is it you have to offer. With a service or product this is obvious. For the problogger, it’s still necessary as content will drive your success.
• Know thy market – What is it the people who make up your market need? Solve a problem for them and they’ll become a customer. One help…think of your market as a person.
• Know thy vision – Think about where you want your business to go and what you’d like to accomplish with it. Write down your ideas. And be sure to set goals.
• Know thy plan – Your business is like building construction – you have to have a plan. Your plan is the path� you’ll follow toward accomplishing your goals.
• Track thy success – Tracking is way underutilized by small business owners today. As a blogger, tracking traffic is great. But consider tracking conversions and revenue and tweak things to gain more success.

The bullet points above ideally answer four questions – who are you, what do you do, who do you do it for, and how do you do it? When the answers to these questions are clear, you have the foundation for your business. Now, go get your blog to do the marketing for your business.

And that’s what a blog is – a marketing tool; a method for drawing attention to your business. But first you have to know what your business is about. You have to know who you serve and with what. And to be successful, you need to know how to meet the goals you set for business. Blogging can help with all this. But without a clear vision and solid plan, you’ll likely end up like the tens of thousands of bloggers who are writing their fingers off and making pennies.

So if you’re problogging, what’s your business model? And if you’re blogging to convert clients or customers, how are you using your blog to gain revenue?

More importantly, how well is it working? I’d love to chat about it…

(note: image from B Tal on Flickr)