doesn’t mean it should be on your exec dashboard
Choose the rightmetrics to drive your business to higher sales, greater pipeline yield and profitability
1. Marketing Cost per Sale Track leads to close and beyond Understand efficiency, cost by lead source Drive efficiency best practices to other channels Bonus: Track marketing cost through to renewals, referrals
2. Customer Lifetime Value What are you willing to spend to acquire? Which customers are most profitable? How will this drive sales incentives & behavior? Bonus: Is your customer experience team involved in defining target customers and setting expectations before the sale?
3. Nurture Database Performance How do you define a “nurture” lead? What # and % of deals come out of the growing nurture database? What systems do you use to manage this database? Bonus: Can you predict future revenue from the nurture database over time?
4. Sales Cycle Length How long is each stage once a lead is qualified and in the market to buy? What “catalyzing events” exist (internally or externally) that accelerate deal velocity? Does your lead-opportunity-sale model reflect this length & duration?
5. Addressable Market Size Does the full organization define the market similarly? How does your sales goal translate to market penetration expectations? Based on your funnel mechanics, is this number realistic? Is your addressable market small enough?
7. Deal Size Are some deals not worth pursuing? Do you know your sweet spot? Are you proactively targeting it? Are you adjusting your sales & marketing strategies based on revenue, margin and lifetime value yield potential?
8. Qualified Leads Do sales & marketing agree to a common definition? Are there explicit next steps for managing these leads forward? Are you managing & optimizing qualified lead output (#, %, $) from your marketing channels?
9. Referrals Are you maximizing measurement of referral capture without constraining volume? What programs/incentives do you have in place to drive the right referrals? Are you segmenting referrals from current customers vs. prospects, influencers, etc?
10. Customers Quantify your best customers, and ensure your sales/marketing is focused on finding & closing more of them Is your core or most-valuable customer segment(s) growing or shrinking? Can you quantify your share of wallet?
General Metrics Best Practices Have an objective & action for each metric (or get rid of it) Manage review sessions to next steps Crawl first; publish your first new dashboard by tomorrow afternoon Actively manage “number creep”