1. What is Sales Growth?

Sales growth measures the rate at which a company's sales revenue increases over a specific period. It's a key indicator of business performance and market acceptance of products or services.

2. How Does the Calculator Work?

The calculator uses the growth formula:

Where:

• \( Current \) — Current period sales (currency)
• \( Previous \) — Previous period sales (currency)

Explanation: The formula calculates the percentage change between two periods, showing how much sales have increased or decreased.

3. Importance of Growth Calculation

Details: Tracking sales growth helps businesses evaluate performance, identify trends, make strategic decisions, and compare against industry benchmarks.

4. Using the Calculator

Tips: Enter current and previous sales amounts in currency values. Both values must be positive numbers for accurate calculation.

5. Frequently Asked Questions (FAQ)

Q1: What's considered good sales growth?
A: This varies by industry, but generally 10-15% annual growth is strong for established businesses, while startups may aim for higher rates.

Q2: How often should growth be calculated?
A: Typically monthly, quarterly, and annually, depending on business needs and sales cycles.

Q3: What if growth is negative?
A: Negative growth indicates declining sales, which may require investigation into market conditions, competition, or internal issues.

Q4: Does this account for seasonality?
A: No, this is a simple period-over-period calculation. For seasonal businesses, year-over-year comparisons may be more meaningful.

Q5: Can this be used for non-sales metrics?
A: Yes, the same formula works for any metric where you want to measure percentage change between two periods.