There are a lot of marketing acronyms thrown around these days, and it can be hard to keep track of them all. KIPS (key performance indicators) are important metrics that you should be measuring in order to gauge the success of your marketing campaigns.
In this blog post, we will discuss 8 of the most important marketing KIPS that you should be measuring. Read on!
Table of Content
Customer Acquisition Cost (CAC)
This is the total amount of money that you spend on acquiring new customers. This includes advertising, marketing, sales, and any other customer acquisition costs. To calculate your CAC, simply divide your total customer acquisition costs by the number of new customers acquired.
Customer Lifetime Value (CLV)
This metric measures the average amount of money that a customer spends with your company over the course of their lifetime. To calculate your CLV, you will need to track data points such as customer purchase history, churn rate, and customer lifetime.
Your churn rate is the percentage of customers who stop doing business with you over a given period of time. A high churn rate can indicate that your products or services are not meeting customer needs. To calculate your churn rate, divide the number of customers who churned by the total number of customers at the beginning of the period.
Customer Retention Rate
This metric measures the percentage of customers who continue to do business with you over a given period of time. A high retention rate indicates that your customers are satisfied with your products or services. To calculate your customer retention rate, divide the number of customers who remain at the end of the period by the total number of customers at the beginning of the period.
Revenue Per Customer
This metric measures the average amount of money that each customer spends with your company over a given period of time. To calculate your revenue per customer, divide your total revenue by the number of customers you have.
Customer Satisfaction Score (CSAT)
According to research, 80% of businesses use customer satisfaction scores to understand their customer experiences and improve them. You shouldn’t be left behind if you want to gain a competitive edge.
This metric measures how satisfied your customers are with your products or services. To calculate your CSAT score, ask your customers to rate their satisfaction on a scale of 0-100.
Whether you are using WA Business, email marketing, or any other marketing channels, CSAT should be one of your key performance indicators. Marketing automation tools such as WhatsApp Marketing chrome extension can help you automate your customer surveys and collect CSAT scores.
If you find out that your customers are not satisfied with your products or services, you can take steps to improve the situation.
Net Promoter Score (NPS)
This metric measures how likely your customers are to recommend your products or services to their friends or family. To calculate your NPS score, request clients to rate their likelihood on a scale of 0-100.
A high NPS score indicates that your customers are happy with your products or services and are likely to recommend them to others. On the other hand, a low NPS score indicates that your customers are not satisfied with your products or services and are not likely to recommend them to others.
Marketing Qualified Leads (MQLs)
This metric measures the number of leads who have been contacted by your sales team and found to be a good fit for your products or services. To calculate your MQLs, divide the number of leads who were contacted by the total number of leads.
By measuring these KPIs, you can gauge the effectiveness of your lead generation efforts. You will also make adjustments that will not only help boost your local SEO ranking but also increase the number of sales in no time. Good luck!