And with the wealth of tools we have today for tracking and measuring, we can't afford not to know what's going on with our campaigns. So, which KPIs do we need to track?
Below we list four KPIs that you will definitely need to track to vietnam mobile number determine whether a strategy is successful or not:
Website traffic
The first thing you need to know is how many people are visiting your pages, because a percentage of them will end up becoming leads that will later become potential customers and therefore more sales. Why not find out more about them? Find out who they are, where they come from and what they did once they were on your site. This information will help you determine something important: What they want from you.
Knowing this will help you anticipate the needs of your leads, which is ultimately what inbound marketing is all about: attracting prospects who need what you offer. To do this, we recommend measuring:
Sessions started
Demographic profile of users
Page views
Page per session
Average session duration
Bounce Rate
Traffic source
Leads
Prospects are, without a doubt, the ones that end up driving sales. The more leads you have in the funnel, the more possibilities there are to make a sale. Here it is worth noting that not all leads have the same appeal, and knowing which leads are most important for our company is extremely important, so we give priority to those who have a greater chance of buying.
Marketing Qualified Lead (MQL) : A type of prospect that meets certain requirements to get your marketing team's attention. A corresponding KPI would be to know your total website traffic (unique visitors), how many left their details to receive news during the last month, and how much is the difference compared to the previous month?
Sales Qualified Lead (SQL) : Once the MQL has shown a real interest in your product or solution, they become an SQL. A KPI for this would be to know the conversion rate from MQL to SQL over the last month, and the difference compared to the previous month.
Customer Acquisition Cost (CPA)
If you acquire 10 customers in a month, spending a total of $1,000 on marketing, your cost per acquisition is $100. So, this KPI refers to how much money we are spending on average to convince a prospect to finally purchase the product or service I am offering them.
This will lead us to the Customer Lifetime Value (LTV). This is a great way to measure the return on investment (ROI) of your marketing and business actions, and it is a figure that helps to develop strategies for future business objectives. It involves calculating all the purchases your average customer has made over the course of their relationship. How do we measure it? One way might be by considering:
Revenue : Money received by the company in a specific period. It is calculated by multiplying the price at which the goods or services are sold by the number of units sold. Note that this is not the same as profits.
Gross Margin : It is the percentage of total sales revenue that a company obtains as gross profit after subtracting the costs directly related to the production of the goods or services sold, dividing it by total sales. It can also be calculated for each product or service.
So let’s imagine that your B2B company offers IT services to Company ABC, and sells the Backup and Data Protection Services Operation service for $200,000 annually, and the gross margin is 35%. Now, let’s assume that this is a one-time purchase and that the customer is not likely to buy more. So, the LTV of that customer would be:
$200,000 (Revenue) x 35% (Gross margin) = $70,000
However, when cross-purchases or additional purchases are common, this calculation changes. Let's say that in addition to the previous sale to customer ABC, you sell Help Desk services and Security Update Management. Considering the gross margin of each service and that they occur in one year, the lifetime value of that customer would be:
Backup and data protection: $200,000 x 35% = $70,000
Help Desk: $150,000 x 40% = 60,000
Update management: $160,000 x 30% = $48,000
ABC Total LTV = $178,000
These are just some of the KPIs that we must take into consideration every time we implement a B2B marketing action aimed at improving business revenue. As we can see, by measuring we can improve and make decisions that allow us to optimize actions, allocating more budget to those that are generating better conversion or increasing the customer's LTV.