A Dashboard Doesn't Drive Itself - Creating a Marketing Dashboard with Metrics that Matter

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What You Need to Know About Better Dashboards

Four Realties That Change Marketing Reporting

Two Rules of Better Marketing Measurement

Where to Start: KPIs, Metrics and Flow

What Companies are Measuring Now

Where Measurement is Going Next

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Reality 1: Marketing Has More Roles Than Ever

SiriusPerspective: Waterfall-long alignment is driven by planning

and execution tied to five critical task families.

Inquiries

Marketing Qualified

Leads (MQLs)

Sales Accepted

Leads

Sales Qualified

Leads (SQLs)

Closed/Won

Business

SEED

The use of traditional and

social media to set the stage

for demand to be created.

1

ACCELERATE

Efforts geared to help sales

move deals more quickly

through the pipeline.

4

ENABLE

Helping reps move

marketing-created demand,

as well as to source their

own demand.

3

CREATE

The generation of “original”

demand, with a focus on

quality vs. quantity.

2

NURTURE

Care and feeding of prospects

that have fallen out of the

waterfall.

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Source: SiriusDecisions

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Reality 2: Different Sales Models, Different Marketing

SiriusPerspective: What marketing needs to deliver changes based

on sales tier, and so do the KPIs and metrics to track results.


SEEDACCELERATE

ENABLE

Strategic

Enterprise/Territory

Small/Medium BusinessTIER THREE

CREATE

NURTURE

SEED

ENABLE

NURTURE

CREATESEED

ACCELERATE

ENABLE

TIER ONE

TIER TWO

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Reality 3: Most Inquiries Arrive Via Inbound Channels

SiriusPerspective: The reality is that prospects find you when they’re

ready; inbound marketing needs a bigger slice of most plans


15% 12% 9%

11%9%

6%

19%21%

14%

55% 58%71%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

2009 2010 2015

Web

Direct Mail

Email

Events

Reality 4: Tactics Are Valued Differently By Phase

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SiriusPerspective: It has never been more important to understand

how buyers buy and what they prefer to drive marketing focus


Buyer-Preferred Tactics by Buying Phase

Result: BtoB Reporting Must Evolve

SiriusPerspective: Reporting needs an overhaul to support the

expanded role and changing tactic mix for b-to-b marketers

Buyer Control and Preference for Multiple

Tactics

More Roles for

Marketing

Plan, Execute

and Measure

Differently

Rule #1: Never Confuse Activity with Results

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SiriusPerspective: Marketing reports must answer the question “what

do they do for us?” in terms sales and management understand

What Marketing Reports:

“We held 6 webcasts,

2 tradeshows, did 5 press

releases and sent 10

email campaigns last

quarter.”

What Management Wonders:

“What revenue did that

bring in?”


Don’t Link Individual Tactics to Closed Deals

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SiriusPerspective: Don’t attribute wins to a single touch when it takes

on average three to six touches to qualify a lead, and more to close.

MQL

Web/

Inbound

Tele

Other Outbound

First/Last Touch

MQL

Close

Single Tactic Attribution Multi-Touch Attribution


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Rule #2: Measure Numbers that Matter

Metric: A measurement system that quantifies a

trend. Metrics are used to diagnose causes, explain

results, and project future events and likely outcomes.

KPI: Key performance indicators are measurements

that indicate the health of the business and are

centered around aggregate growth, costs, market

share and profit.

Source: SiriusDecisions Inc

SiriusPerspective: Understand the difference between KPIs and

metrics and what they tell you about marketing impact

Choose the right measurements for your business

SiriusPerspective: Take on the marketing measurements that will

have an impact and are achievable.

Data Source Data Quality

Ownership Audience

Business Decision

Measurement Selection Criteria

What business

decisions will you

make with the

measurement?

Can you identify the

data source?

What is the quality of

the data?

Who is the audience?

Who will “own” the

data?

Questions to Answer

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Where to Start: Four KPIs Summarize Marketing Impact

Marketing Sourced Pipeline

% of sales pipeline uniquely

created by marketing

10% to

50%

Marketing Influenced Pipeline

% of sales pipeline touched

by marketing

30% to 82%

Investment-to-Pipeline

Average cost of demand creation

of the sales pipeline

1% to 4%

Investment-to-Revenue

Average revenue generated from $1

invested in demand creation

$5 to

$20+

Avera

ge

*

*Cross-industry averages for b-to-b companies

SiriusPerspective: To reflect changes in marketing’s charter, its

measurment will take a broader look at investment and results.

SiriusPerspective: Net out marketing’s contribution and effective use

of budget with four benchmarkable KPIs.


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Where to Start: Six Metrics Diagnose Opportunity

Database

% database with bad/

incomplete records

25%+

Inquiries Raw

response or hand raiser

2-5%

Marketing Qualified

Leads (MQLs)

Lead ready for receiving function to

work

4% to 8%

Sales Accepted

Leads(SALs)

Lead accepted by

receiving function

45% to 75%

Sales Qualified

Leads(SQLs)

Lead that is opportunity in

pipeline

50% to 60%

SQL-to-Close

Leads that have closed

20% to 30%

SiriusPerspective: Net out Marketing’s contribution and effective use

of buget with four benchmarkable KPIs.

SiriusPerspective: Expand on KPIs with six metrics that break

marketing demand ceration contribution into component parts.

*Cross-industry averages for b-to-b companies


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Avera

ge

*

What B-to-B Companies Are Measuring Now

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SiriusPerspective: Though many metrics are counted, those rated

most valuable are related to waterfall results.

Overall Status

• ROI

• Market share

• Customer sat/loyalty

• Views by segment and geo

• Marketing spend vs. budget

Demand Creation

• Marketing sourced demand

• Marketing influence

• Waterfall metrics

• Buying cycle length

• Cost per lead

Reputation

• Web analytics

• Analyst positioning

• PR/AR activity

• Event activity

Marketing Operations

• Database growth

• Shared services utilization

• Stakeholder satisfaction


Effective Dashboard Structure: Information Flow

Marketing Operations KPIs and Metrics (Operate)

Sales Enablement KPIs and Metrics (Enable)

Demand Creation KPIs and Metrics (Create and Nurture)

Reputation KPIs and Metrics (Seed)

Executive Summary

SiriusPerspective: The best reports and dashboards select the right

measures by audience, then show and tell the story clearly.

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Where We’re Headed: Marketing Influence and ROI

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SiriusPerspective: To reflect changes in marketing’s charter, its

measurement will take a broader look at investment and results.


Marketing Influence: What to Track

SiriusPerspective: Measuring overall marketing influence relies on

associating tactics with contacts and opportunities

ResultsBuying Cycle

PresenceResponse

Participation

Response

Database Growth

% of Pipeline Touched

Marketing Tactic Cadence for closed deals

# of touches

Sales Cycle Length

Sales Phase Duration

Revenue

Cost per Lead

ASP/Deal Size

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*for marketing touched deals

Summary

Today

Review metrics and KPIs to be sure they’re the right ones

Make sure dashboard is logically organized

Set goals for updated measurement

In Three Months

Map marketing tactics to the buyer’s journey, including the

parts where sales is involved

Monitor impact

In Twelve Months

Use full year of new metrics to benchmark progress

Revisit allocation of marketing focus to reflect sources of

impactSource: SiriusDecisions

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Contact Us

Megan Heuer, Service Director

Marketing Operations Strategies

[email protected]

(203) 665-4022

Follow Megan and SiriusDecisions:

http://twitter.com/megheuer

http://twitter.com/siriusdecisions

© 2010 Marketo, Inc.

Date post:	08-May-2015
Category:	Business
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