One of the biggest challenges for any digital marketer is simply getting your manager, or your director, or whoever controls the budget, on board with your idea. Marketers work hard to make an impact on so many different metrics. Website visits, conversion rates, generated leads per channel, blog post shares, engagement on social media platforms, email click-through rates, etc, all of them are important marketing metrics.
But, 73% of marketing directors don’t believe that marketers are focused enough on results to truly drive incremental customer demand. In this regard, Splitpixel produced this guide will walk you through the six critical marketing metrics your marketing directors actually wants to know and to prove the ROI of your marketing efforts.
The Six Marketing Metrics to Prove the ROI of Your Marketing Efforts:
- The Customer Acquisition Cost (CAC):
A metric used to determine the total average cost your company spends to acquire a new customer.
- Marketing % of Customer Acquisition Cost (M%-CAC):
The marketing portion of your total CAC, calculated as a percentage of the overall CAC.
- The Ratio of Customer Lifetime Value (LTV) to CAC (LTV:CAC):
It’s a way to estimate the total value that your company derives from each customer, compared with what you spend to acquire that new customer.
- The Time to Payback CAC:
A measurement to show you the number of months it takes for your company to earn back the CAC it spent acquiring new customers.
- Marketing Originated Customer %:
It’s a ratio that shows what new business is driven by marketing, by determining which portion of your total customer acquisitions directly originated from marketing efforts.
- Marketing Influenced Customer %:
This metric takes into account all of the new customers that marketing interacted with while they were leads, any time during the sales process.
A Formula Explains How to Calculate the Marketing % of Customer Acquisition Cost (M%-CAC)
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