This document discusses 10 important marketing metrics to track: ROI, CPO, CPC, CPA, LTV, CAC, LTV to CAC ratio, Payback CAC, Marketing Originated Customer Percentage, and Marketing Influenced Customer Percentage. It provides the definitions and formulas for calculating each metric. Tracking these metrics regularly allows marketers to understand what is and is not working in their campaigns and optimize their strategies based on the results.
5 metrics to strengthen your multichannel sales strategydevin simon
For many eCommerce companies, measuring multichannel sales performance is a challenge. And as your organisation expands to new sales channels like marketplaces, your own brand web stores, and social commerce channels, the complexity for measuring their performance increases.
So, you may end up being confused on which KPIs to track, or end up tracking every known KPI out there. To avoid this, we have listed some of the most prominent KPIs that can help you critically analyse your multichannel sales strategy:
Pricing - Setting up your startup for SaaS GrowthAnadi Raj Tiwari
Deep dive into Pricing Strategy. Learn the axes available to pull pricing lever for SaaS growth in subscription economy. Understand the influence ASP has on the options available and how to align it strategically across the 3 key SaaS sales model.
Without a trusted method, your forecasting formula can lead to uncertainty, and this can become precarious. Let’s take a look at another option — a model that actually reflects how opportunities “flow” through your pipeline.
Taking the Guesswork out of Pipelines and ForecastsThe Naro Group
A healthy pipeline has velocity, with sales deals always moving. They are either continuously moving down the funnel towards a predictable closing date, or if an opportunity has lost momentum, it's qualified out of the sales pipeline altogether. This kind of pipeline has self-validating principles at each step in the sales process, with specific measures that help you understand not only where the real opportunities are, but also how your sales people are performing and what deals you can truly expect to close.
5 metrics to strengthen your multichannel sales strategydevin simon
For many eCommerce companies, measuring multichannel sales performance is a challenge. And as your organisation expands to new sales channels like marketplaces, your own brand web stores, and social commerce channels, the complexity for measuring their performance increases.
So, you may end up being confused on which KPIs to track, or end up tracking every known KPI out there. To avoid this, we have listed some of the most prominent KPIs that can help you critically analyse your multichannel sales strategy:
Pricing - Setting up your startup for SaaS GrowthAnadi Raj Tiwari
Deep dive into Pricing Strategy. Learn the axes available to pull pricing lever for SaaS growth in subscription economy. Understand the influence ASP has on the options available and how to align it strategically across the 3 key SaaS sales model.
Without a trusted method, your forecasting formula can lead to uncertainty, and this can become precarious. Let’s take a look at another option — a model that actually reflects how opportunities “flow” through your pipeline.
Taking the Guesswork out of Pipelines and ForecastsThe Naro Group
A healthy pipeline has velocity, with sales deals always moving. They are either continuously moving down the funnel towards a predictable closing date, or if an opportunity has lost momentum, it's qualified out of the sales pipeline altogether. This kind of pipeline has self-validating principles at each step in the sales process, with specific measures that help you understand not only where the real opportunities are, but also how your sales people are performing and what deals you can truly expect to close.
As a recruiter, you can better assess your available sales talent and easily align what you have and what your client wants delivering high client retention and more importantly maintain higher fees though adding value.
Customer Lifetime Value in Digital MarketingTaste Medio
Orientace na budoucí profit zákazníků zní v teorii skvěle, ale jak s tím dokážete aktivně pracovat? Kdy a jak konkrétně přináší CLV užitek a konkurenční výhodu?
RFM Segmentation is the easiest and most frequently used form of database segmentation. It is based on three key metrics: Recency, Frequency and Monetary Value of customer activity. RFM is often used with transactional history in e-commerce, but can also work for Social Media interactions, online gaming or discussion boards. Based on calculated segments a marketer can prepare cross-sell, up-sell, retention and reactivation capampaigns. This deck provides a simple introduction to the RFM Segmentation methodology.
How to Manage Your Sales Pipeline - 10 Tips!Swati Gupta
Sales pipeline management is a systematic process of driving through the stages within a sales funnel. Look at the 10 ways how to manage your sales pipeline?
Customer Lifetime Value for Insurance AgentsScott Boren
Customer lifetime value for insurance agents was presented by Scott Boren to the BIG Insurance Group in Southern California. The lecture was designed to share insight from his consulting firm and the impact a customer lifetime strategy can have on an insurance agent's service, marketing, and in identifying developing customer personas.
This presentation provides insight into how to forecast and calculate customer lifetime value (CLV). Here a startup applied a scientific approach to maximise customer retention and minimise churn. The outputs of the analytics were built into the system and business processes driving the success of the company and helping it to win the customer service of the year award, and to achieve a successful exit through acquisition.
SaaS Accounting: The blueprint to understanding and optimizingPrice Intelligently
A bad accountant or finance manager can spell doom for your company though by causing you to not invest cash that you should be or worse - spending money you don’t have in the bank. This is why you need to know your SaaS accounting chops, too. To help, let’s walk through a breakdown of how revenue flows through your business from a booking all the way to cash collected.
Here we walk through exactly how to calculate ARPU (Average Revenue Per User) including what to and not to include in the calculation, as well as how to optimize this crucial SaaS metric.
6 Marketing Metrics CEO's Should Care About OverGo Studio
73% of your fellow executives don’t believe that marketers are focused enough on results that truly drive incremental customer demand.
To get the most from your business’s marketing efforts expect data driven reports on total costs of marketing, salaries, overhead, revenue and customer acquisitions.
This cheat sheet cuts through the unfocused metrics and guides you through the only 6 marketing metrics you need to be focus on:
Marketing % of Customer Acquisition Cost
Ratio of customer lifetime value to CAC
Time to Payback
Marketing Originated Customer %
Marketing Influenced Customer %
As a recruiter, you can better assess your available sales talent and easily align what you have and what your client wants delivering high client retention and more importantly maintain higher fees though adding value.
Customer Lifetime Value in Digital MarketingTaste Medio
Orientace na budoucí profit zákazníků zní v teorii skvěle, ale jak s tím dokážete aktivně pracovat? Kdy a jak konkrétně přináší CLV užitek a konkurenční výhodu?
RFM Segmentation is the easiest and most frequently used form of database segmentation. It is based on three key metrics: Recency, Frequency and Monetary Value of customer activity. RFM is often used with transactional history in e-commerce, but can also work for Social Media interactions, online gaming or discussion boards. Based on calculated segments a marketer can prepare cross-sell, up-sell, retention and reactivation capampaigns. This deck provides a simple introduction to the RFM Segmentation methodology.
How to Manage Your Sales Pipeline - 10 Tips!Swati Gupta
Sales pipeline management is a systematic process of driving through the stages within a sales funnel. Look at the 10 ways how to manage your sales pipeline?
Customer Lifetime Value for Insurance AgentsScott Boren
Customer lifetime value for insurance agents was presented by Scott Boren to the BIG Insurance Group in Southern California. The lecture was designed to share insight from his consulting firm and the impact a customer lifetime strategy can have on an insurance agent's service, marketing, and in identifying developing customer personas.
This presentation provides insight into how to forecast and calculate customer lifetime value (CLV). Here a startup applied a scientific approach to maximise customer retention and minimise churn. The outputs of the analytics were built into the system and business processes driving the success of the company and helping it to win the customer service of the year award, and to achieve a successful exit through acquisition.
SaaS Accounting: The blueprint to understanding and optimizingPrice Intelligently
A bad accountant or finance manager can spell doom for your company though by causing you to not invest cash that you should be or worse - spending money you don’t have in the bank. This is why you need to know your SaaS accounting chops, too. To help, let’s walk through a breakdown of how revenue flows through your business from a booking all the way to cash collected.
Here we walk through exactly how to calculate ARPU (Average Revenue Per User) including what to and not to include in the calculation, as well as how to optimize this crucial SaaS metric.
6 Marketing Metrics CEO's Should Care About OverGo Studio
73% of your fellow executives don’t believe that marketers are focused enough on results that truly drive incremental customer demand.
To get the most from your business’s marketing efforts expect data driven reports on total costs of marketing, salaries, overhead, revenue and customer acquisitions.
This cheat sheet cuts through the unfocused metrics and guides you through the only 6 marketing metrics you need to be focus on:
Marketing % of Customer Acquisition Cost
Ratio of customer lifetime value to CAC
Time to Payback
Marketing Originated Customer %
Marketing Influenced Customer %
The 6 Marketing Metrics Your Boss Actually Cares AboutClearPivot
Clickthrough rates. Bounce rate. Time on site. "Viral coefficient." But when it comes to the marketing metrics that executives care about, the marketing department panics. But it doesn't need to.
In a way, executives are easy to please: they want to see the numbers that impact the bottom line. They want to know that the marketing program they approved is garnering solid returns for the company. They want to know how it's growing sales and how cost-effectively it is doing so. And when it comes to how many times someone "shared a post on Facebook," it's likely that the executives don't care, unless it somehow directly impacted sales. In fact, sharing these soft metrics may reinforce their collective belief that 73 percent of marketers are not focused enough on results.
But there's good news: marketing results can now be tracked and measured in a financially qualifiable way.
The essential equations every marketer needs to knowemfluence
As a marketer, you work tirelessly to move the needle on a huge laundry list of metrics. But with studies that show 73% of executives don’t believe that marketing drives demand and revenue, marketers are under pressure to make sure we can prove the ROI of our marketing efforts. In this session, Alex Greenwood of AGPR shares six metrics—and the math equations to get them—that prove the value of your marketing efforts.
Marketing Performance Report Card: 6 Metrics You Should MeasureJoe Square
With the shift into a data-driven marketing industry, how can you as a marketer evaluate your marketing effectiveness?
L7 Creative has created the Marketing Performance Report Card that includes the top six metrics you can use in your marketing performance evaluation.
7 Product Management Metrics for every Product Team.Prodeasy
Product metrics are numerical indicators of a product's health. By monitoring and examining these product KPIs, a product team may make better decisions. Stakeholders, marketers, and product managers can utilize metrics to define goals, monitor progress, find problems, and assess the effects of their decisions. Various indicators exist depending on the industry, stage of growth, and corporate strategy. Have a look at the 7 Product Management Metrics for every Product Team.
5 KPIs every travel business should be monitoring TTC
Tracking additional Key Performance Indicators (KPIs) can help you to understand the key drivers of your business and make more informed decisions. Here are five common KPIs used by travel companies.
8 Top Digital Marketing Metrics To TrackBMN Infotech
n the digital age, marketing is defined differently than it was in the past. It is no longer limited to light branding and nebulous awareness campaigns.
Performance measurement system for startups and scaling upBrowne & Mohan
what measures should startups and scaling up firms use to direct and align their multi-functional activities. In this paper, Browne & Mohan consultants present a comprehensive performance system that not only guides startups and scale ups, but bind several functions within the organization towards common objective.
Digital Marketing: Key Metrics with Jill Quick & Dave ChaffeySmart Insights
A webinar hosted by Smart Insights:
Break down the jargon, and understand the concepts needed for a solid data driven approach for your marketing. Learn how to build a KPI dashboard with the right metrics, with insights from key industry influencers, for you to find nuggets of insights that drive your business in a profitable direction.
To hear the accompanying audio: https://www.brighttalk.com/webcast/8551/220651
Best Crypto Marketing Ideas to Lead Your Project to SuccessIntelisync
In this comprehensive slideshow presentation, we delve into the intricacies of crypto marketing, offering invaluable insights and strategies to propel your project to success in the dynamic cryptocurrency landscape. From understanding market trends to building a robust brand identity, engaging with influencers, and analyzing performance metrics, we cover all aspects essential for effective marketing in the crypto space.
Also Intelisync, our cutting-edge service designed to streamline and optimize your marketing efforts, leveraging data-driven insights and innovative strategies to drive growth and visibility for your project.
With a data-driven approach, transparent communication, and a commitment to excellence, InteliSync is your trusted partner for driving meaningful impact in the fast-paced world of Web3. Contact us today to learn more and embark on a journey to crypto marketing mastery!
Ready to elevate your Web3 project to new heights? Contact InteliSync now and unleash the full potential of your crypto venture!
What You're Going to Learn
- How These 4 Leaks Force You To Work Longer And Harder in order to grow your income… improve just one of these and the impact could be life changing.
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2. To lend a helping hand, the eLama marketing team has decided
to cover key marketing metrics, their advantages and calculations.
Nowadays, marketing goes hand in hand with analytics. Marketing
has become far more measurable than ever before. So, you can
estimate customer engagement and determine which tactics work
and which don’t through the use of marketing metrics.
It’s not always clear which metrics you should use to measure
the effectiveness of marketing campaigns, and more importantly,
it’s not obvious how to use them to improve your results.
3. ROI (return on investment) reflects the efficiency of your
investments. The easiest way to calculate ROI is to deduct
the marketing costs from the total profit and divide
the balance into them:
ROI (return on investment)
ROI = ((Total profit - Marketing costs) /
/ marketing costs) * 100
CPO (cost per order) can be translated as «cost per order»
and indicates how much the advertiser has paid for selling
one unit of the product. In marketing, this metric
is calculated by the formula:
CPO (cost per order)
CPO = Marketing costs / The number
of orders
Let's start with the basics:
4. CPC (cost per click) is the price you pay for a click, the amount
that an advertiser pays to ad system for click. No matter how
manytimes the ads are viewed, the advertiserwill only pay for
the number oftimes it is clicked. Howto calculate CPC:
CPC (cost perclick)
CPC = Cost to theAdvertiser / Number
of Clicks
CPA(cost per action) — with the help ofthe CPAmetric,
advertisers can calculate how much they have paid for
targeted action on their site. In otherwords,
CPAis the cost per action. Howto calculate CPA:
CPA(Cost perAction)
CPA= Marketing costs /The number
oftargeted actions
5. Customer Lifetime Value (LTV) is one of the most important
marketing metrics. It is the average revenue you get from
a customer during your relationship. By using LTV you can
calculate how much you should spend to acquire new
customers. You are in profit if your LTV is higher than your
CAC (cost to acquire a customer). If it’s not, you are in loss.
Calculate this value mathematically using one of the methods
enumerated below:
Customer Lifetime Value
This method requires more input but results in greater precision
T = average number of orders (sales) per month
AOV = average receipt
AGM = share of profit in revenue ALT = average duration of customer
interaction with the company (in months)
LTV = Total revenue from a customer -
- Customer acquisition and retention cost
LTV = Average purchase * Average number of purchases *
* Average retention time in months or years
LTV = ((T * AOV) * AGM) * ALT
Advanced marketing metrics to strengthen
your marketing campaign:
6. Determine the real return on investment
(ROI) against the cost of acquiring a new
customer
Maximize lifetime customervalue in relation
to the cost of attracting new clients (CAC)
Elucidate yourtarget audience
Strategize customer retention more accurately
Knowledge of LTVis needed to produce
a comprehensive cross-section of clients based
on theirvalue. By means ofthorough comprehension
and proactive use ofthis metric, any company can
build a strategyto work with their specific client
base and focus its attention on the group of clients
with whom it is more profitable to do business
WhyLTV?
7. Customer Acquisition Cost (CAC) is the total sales and
marketing cost of convincing a potential client to buy your
product or service. In other words, it is the average amount
of money that you have spent to acquire a new customer.
To calculate CAC just add all of your marketing and sales
costs for a specific period together and divide them
by the number of customers acquired during that period:
Customer Acquisition Cost (CAC)
As previously stated, your CAC should be lower than your LTV.
Otherwise, you are not in profit.
For instance, if you spent 150000 per month and got 25 new customers,
then your CAC is 6000.
CAC = Marketing and sales costs / The number
of customers acquired during that period
8. LTV to CAC ratio measures the relationship between
the lifetime value of a customer and the cost of acquiring them.
This ratio shows the performance of your investments into
marketing and sales. Tracking this metric over a time period
provides you with an insight into your business strategy.
For example, if you’re spending too much per customer
or if you’re missing opportunities from not spending enough.
LTV:CAC
An ideal LTV:CAC ratio should be 3:1 or higher. The value of a customer
should be three times more than the cost of gaining them. At the same
time, higher is not always better. Keep in mind that if your ratio is too high,
it is likely that you are under-investing in marketing and sales.
For example, if your LTV is $3,000 and your expenses for acquiring
a customer are $1,000, then your LTV:CAC ratio would be 3:1.
Once you have both LTV and CAC calculated,
it’s easy to calculate their ratio. Just divide LTV
by CAC.
9. Payback CAC is a measure that shows how long you take
to earn back the CAC you spent to get a new customer. It tells
you break even on a specific customer, group of customers
or all of your customers.
This metric is relevant for SaaS companies where you have
to spend money upfront to acquire new customers and payback
comes over a period. You become “profitable” and your CAC
is recovered once the sum of the profit from a customer
overcomes the amount of money invested in their acquisition.
Payback CAC
How to calculate Payback CAC:
Take your CAC and divide it by margin-adjusted revenue
per month for the average new customer you just acquired.
Thus, you get the number of months to payback.
CAC = average customer acquisition cost
MRR = average monthly recurring revenue
ACS = average cost of service
Payback CAC = CAC / (MRR - ACS)
10. The Marketing Originated Customer Percentage is a ratio that
shows what percentage of your business is driven by marketing
efforts. This metric is very useful in determining how the efforts
of your marketing team affect your business.
It is calculated by dividing the number of customers through
marketing leads by the total number of customers.
Marketing Originated Customer
Percentage
Marketing Originated Customer % =
= New customers started as a marketing lead /
/ All new customers in a month
It’s typically expressed as a percentage, so multiply your result by 100
This metric is similar to the Marketing Originated Customer
Percentage but it takes into account all of the new customers
that marketing interacted with while they were leads anytime
during the sales process. The number of these leads is obviously
higher than the Marketing Originated percentage.
Marketing Influenced Customer Percentage
Marketing Influenced Customer % = Total new
customers that interacted with marketing /
/ Total new customers
11. Conclusion
what’s working and what’s not
Measuring these metrics on a regular basis is crucial for marketing and
gives you an opportunity to understand .
The metrics provide you with a full insight into the performance of your
investments. Based on the results you get from these metrics you can
analyze and optimize your marketing strategy.