What marketing metrics exist and why are they needed?

We continue the series of fundamental articles about the digital market. The first two articles are here and here . Today we will figure out what marketing indicators exist.

We believe that indicators are the most important metrics for your business. Why? Everything that is based on numbers has a solid foundation anhui telephone number data and therefore the ability to forecast and plan. Another advantage of indicators is that they work based on the facts. You know exactly what works and what does not. If you know that in your business, for example, LTV and Retention are small, there is no point in working on the service, it makes sense to work on automation, flow, traffic, conversion. Moreover, you will be able to build quite adequate profit forecasts. Finally, form a plan on how to buy yourself what you have long wanted.

This is the ratio of one indicator to another. For example, the ratio of visitors to your site to orders from the site is the site conversion. Conversions occur at all stages of the sales funnel.

Everything is simple here – this is the total number of unique visits for a certain period

CTR is the conversion from views of your ad to clicks on your ad.

This and the next metric are target metrics. What exactly are you paying for? CPM is the cost per thousand impressions. That is google partner premier how much money you spend when you reach the thousand impression mark of your ad

CPC (cost per click) – Cost per click. This indicator shows how much you pay when a potential client clicks on your ad.

CPA (cost per action) — Cost of action. How much do you pay to achieve a specific result. For example business leads how much does one left application cost.

The number of leads is an indicator of how many incoming requests, phone calls, applications, messages you received from the source where your traffic flows

The cost of a client is the price of one signed contract or received payment. Roughly, if the cost of a lead is 100 rubles, the conversion from lead to client is 50%, then the cost of your client is 200 rubles.

The average check is how much you earn on average per transaction.

The deal cycle is an indicator of how long it takes you to completely close a deal, for some businesses it is 1 day, for others it is several months or even years

Margin is how much you pocket. The difference between the price and the cost of a product or service.

ROI (Return on investments) is an indicator illustrating the level of profitability of a business. In marketing, an analogue of ROI is more often used – ROMI (Return on marketing investments). This indicator most often helps with choosing a more effective channel.

LTV is the total profit received from one client over the entire period of working with him.

Knowing all these indicators, you can put together a model from which you can understand what you should work on on the one hand and how much money you need to spend on the other.

Let’s imagine that thanks to the first tests of your advertising campaigns you have