January 2015 Income Report
Posted by Chris Thomas on February 12, 2015. 0 Comments
In the last 6 months I've really gotten into Podcasts.
Almost every day I take the time to walk home after dropping the kids off at school. It's about 5km's (3 miles) and it takes about an hour. It gives me the time to get some exercise and I can listen to podcasts about topics that I find interesting, such as how to build a better business and online marketing etc.
One of the people I admire the most online is a guy called Pat Flynn who runs the website www.smartpassiveincome.com.
I stumbled across Pat a few months ago after he was interviewed by Amy Porterfield in her Podcast, Online Marketing Made Easy.
Having listened to Pat in the interview, I really admired his honesty and integrity and I began to also listen to his podcast, the Smart Passive Income Podcast.
At the time of writing, I think I've now listened to almost all of his 144, hour long podcasts!
The thing that really struck me was the fact that he published his monthly (and annual) income reports on his website and it got me thinking about how that transparency built instant trust for me.
Pat's also been featured on Forbes as a top 10 leader who's not afraid to be transparent.
It also got me thinking about whether I should do something similar, as very few private companies that I'm aware of do this.
For the last few weeks I've been weighing up the 'pro's and con's' and for now I can't think of a good reason not to share with you a simple screen shot showing income report from Google Analytics which is further along in this post. That might change in the future, I'm not sure, but for now I can't see how it would hurt.
I'm hoping too that it displays that this is a real business with real customers and is trying its best to be open and honest about how it's travelling along.
I'm not going to go into all the details on the expenses side of the ledger, suffice to say the broadly speaking, postage costs exceed $5,000 per month, my assistant and colleague Paula is paid a weekly salary and there are lots of Advertising fees (Google, Facebook, some Twitter and Bing ads charges) and of course there is the cost of manufacturing and transporting goods (COG's) as well as the tax man.
I don't draw a salary at the moment as I'm ploughing every bit of profit the business makes into manufacturing more stock to ensure we have enough on hand to meet upcoming demand.
There are also R&D costs each month. Behind the scenes I'm working on developments to try and improve the Hibermate's performance and comfort. While we have a pending patent, there's no guarantee that it will be granted. On top of that, there will probably be copycats who may work to bring a similar, and possibly better, solution to market. I simply have to keep innovating to stay ahead of any potential new entrants. Plus I really like innovating!
The Hibermate is also very close to being listed on Amazon and it'll be really interesting to see how it goes there. What will sales look like? How will it be reviewed? These are questions I don't have the answer to, and frankly, I'm a little nervous!
We shall see.
Anyway, from January 2015 and for the foreseeable future, I'm going to post the monthly income screenshots from the Company's Google Analytics account. I may also do something similar for Amazon when the Hibermate starts selling there...
So here goes... and as you will see, this is a classic start-up with very modest income but a solid revenue base from this very website you're visiting and reading from right now. All revenue is in Australian Dollars. If you like, you can convert to your own currency here.
If you squint, you can see that Pitch Black is by far the most popular, followed by Dark Navy and for me a real surprise, Hot Pink coming in at 3rd. There are also sales of the older style version. Pitch Black sells at almost double the next nearest colour! Need to order more of those!