9 Key Marketing

MetricsEvery Company

Should Measure

Organizations should begin to standardize marketing measurements across their:

- sales channels- business units - media

With standardized measurement, you can get closer to the more complex process of tracking: - Corporate Brand Equity - Market Share - Marketing ROI- Product & Customer Profitability

Here are the9 Key Marketing

MetricsEvery CompanyShould Measure…

Cost to Generate Traffic

Multichannel marketers are tracking the costs to generate traffic to their sites from all possible sources.

These often include the costs to complete the transaction, which can include a call center or the technical support of the site itself.

Marketing Spending Metrics

Marketing Spending Metrics are often looked at to try to establish the ROI value of incremental spending. Some of the measurements in this area include cost per impression, reach, frequency, share of voice.

Visitor Acquisition KPIs

Visitor Acquisition KPIs are used to understand the health of the sales funnel.

Types of things you’d need to define first:• What is a visit? • What is the source of the visitor? • What is a return visitor? • What is a unique visitor?

Tracking sources often requires the integration of multiple reporting tools.

Site Effectiveness Measurements

Look at the conversion effectiveness of the site or channel.

The sales funnel is critical here.

How efficiently can a visitor be turned into a customer?

Definitions are critical in conversion metrics – especially if the conversions of one channel are to be compared to others.

Conversion Metrics

What does a conversion mean?

The problem of properly attributing conversions to their sources is common and must be consistent across each channel.

Buyer Metrics includes the frequency of purchases, or the retention rates of customers that can be rolled up to overall market share, brand equity and/or customer lifetime value. The most quoted Buyer Metric is typically the Average Order Value, or the AOV, which is used to understand and compare different groups of buyers.

Buyer Metrics

Multichannel and e-commerce marketers track revenue carefully to compare the margin generated from each channel, to determine the value of incremental sales, and to guide pricing and promotion decisions.

Revenue

Companies use these metrics to understand the value of their individual customers, regardless of which sales outlet they have chosen. Again, this is an area where definitions are critical from one channel to the next. The methodology for the measurement of loyalty and customer-level profitability can vary considerably from company to company, depending upon the purchase dynamics of the product.

Customer Loyalty & Profitability

Categories of Metrics can include:- Channel margin from each channel selling

different products.- Performance compared to sales target- Net Profit- Return on Sales- Return on Investment- Net Present Value- Return on Marketing Investment

Profitability and ROI

Any one of these 9 key marketing metrics can be challenging to reach without integrated databases and marketing technology.

And so…

Creating clear definitions across departments and channels is critical.

more and more marketers are building their ability to measure

these key performance indicators and use them to make smarter decisions across the marketing organization.

As data and tools begin to converge,

Engaging your customersthrough analytics, strategy and technology

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