Goals vs. Objectives: The Simple Breakdown

Setting goals and objectives is essential in achieving success for any ecommerce business. But what exactly are goals and objectives, and what is the difference between them? In this guide, we will break down everything you need to know about goals and objectives and provide tips on how to set effective ones for your ecommerce team.

Strategy vs. Objective

Before diving into goals and objectives, it's important to understand the difference between strategy and objective. Strategy is the overarching approach you take to achieve your goals, while objectives are the specific, measurable targets you set to reach your goals.

Types of Goals

There are three main types of goals: time-based goals, outcome-oriented goals, and process-oriented goals.

Time-Based Goals

Time-based goals have a specific deadline for achieving them, such as increasing sales by 20% within the next quarter.

Outcome-Oriented Goals

Outcome-oriented goals focus on achieving a specific result or outcome, such as reducing cart abandonment rates by 50%.

Process-Oriented Goals

Process-oriented goals focus on improving a specific process or system, such as reducing customer service response time to under 24 hours.

How to Measure Goals

Measuring the success of your goals is essential to ensure you are on track to achieving your objectives. There are several ways to measure your goals:

Ask a Closed-Ended Question

A closed-ended question is a question with a specific answer, such as 'Did we increase our sales by 20% this quarter?' Yes or No answers make measuring your goals much easier.

Use a Points System

Assign points to each goal and measure success based on how many points were achieved. This allows you to measure the success of multiple goals at once.

Follow a Rubric

A rubric is a detailed guide that outlines the criteria for successful completion of a goal. This takes the guesswork out of measuring success and creates a clear path to follow.

How to Measure Objectives

Measuring your objectives is very similar to measuring your goals. However, instead of measuring success based on whether the objective was achieved, you measure success based on how close you are to achieving it. Here are a few ways to measure your objectives:

Measure Attainment

If you have a specific target to hit, measure how close you are to achieving it.

Measure Qualitative Data with Surveys

If your objective is to improve customer satisfaction, use surveys to measure how much your customers' satisfaction has improved over time.

Measure Past Performance vs. Current Performance

Compare current performance to past performance to measure how much you have improved over time.

Examples of Goals and Objectives

Let's take a look at a few examples of goals and objectives:

Scenario 1: A Milestone Goal

Goal: Launch a new product by the end of Q1

Objective: Develop and test the new product by the end of January, produce the final product by the end of February, and launch it by the end of March.

Scenario 2: A Growth Goal

Goal: Increase website traffic by 50%

Objective: Launch a 3-month SEO campaign targeting high-traffic keywords and increase social media content by 50%. Measure website traffic at the end of each month to monitor progress.

Scenario 3: A Quantitative Goal

Goal: Increase sales by 20%

Objective: Launch a 20% off sale for all products for the month of December and increase email marketing campaigns by 50%. Measure sales at the end of the month to ensure the target was met.

Set Effective Goals and Objectives For Your Team This Quarter

Now that you understand the difference between goals and objectives and how to measure them, it's time to set effective ones for your ecommerce team. Follow the steps outlined in this guide and keep your team accountable for their progress towards achieving these objectives. With clear goals and objectives in place, your team will be on track to achieving ecommerce success.