What are the Best B2B Marketing Metrics and KPIs?
When it comes to managing your digital marketing campaign, it is vital to track marketing metrics with an understanding of which of these measurements are effective KPIs. The hardest part of choosing or assigning KPIs is deciding what to measure, so we’re sharing a list of KPIs that we routinely use to track the success of B2B marketing campaigns.
An opportunity is defined as any marketing-generated prospect that is accepted by your sales team. The criteria for an opportunity can vary, but the most important thing is that opportunities carry with them a genuine prospect of purchasing your product or service. Opportunities can come from inbound web traffic, PPC advertising and a range of other marketing sources. Once an opportunity is created, it should be passed on to your sales department and entered into the CRM. A total number of opportunities generated can act as a leading indicator for sales and revenue generation.
If you’re not treating customer retention as a core aspect of your marketing campaigns, you’re missing out on three of the largest potential sources of revenue: customer retention, up-sells, and referrals. Customer cash is a measurement of changes in your existing portfolio that result from customer retention activities and churn and can help you ensure that you are effectively marketing to your existing customers. You may choose to measure:
- How much monthly cash flow your business loses each month from subscribers leaving
- How much monthly cash flow you generate from referrals and up-selling to your existing customers
Customer Lifelong Value (CLV)
If your business is mature enough, you may be able to measure average subscription length by a customer or average spend to determine customer lifelong value. CLV is a useful metric because it helps you evaluate whether a marketing campaign is profitable based on its measured customer acquisition cost.
Without robust sales CRM, it can be difficult for your business to effectively measure opportunities. In that case, you should focus on measuring conversions. A conversion happens whenever a prospective customer accepts a marketing offer, like submitting their name and e-mail to download a white paper on your website, chats with you through your website or phones your sales department to inquire. Once you establish a relationship or contact with the prospect, they enter the CRM and become an opportunity.
The cost-per-acquisition KPI measures how much money must be spent to acquire a conversion or an opportunity. Measuring cost-per-acquisition can help organizations determine which marketing channels are driving the most opportunities for the lowest cost. These feed directly into marketing campaign management, informing budget and resource allocation to drive campaign ROI.
Use Directive Consulting’s Expertise in Event Tracking to Measure KPIs
Directive Consulting has developed capabilities and expertise in event tracking, enabling us to stay on top of the most important marketing KPIs and allocate resources efficiently to drive campaign success.