“Reporting on your business impact doesn’t mean you should no longer pay attention to site traffic, social shares, and conversion rates. It simply means that when reporting your results to your executives, it’s crucial to convey your performance in a way that your C-suite can get excited about.”
- Mark Parent
In order for marketing to be considered effective – it has to grab customers and compel them to act in some way. Better yet, it should create long-term impacts and change or influence customer behavior during their entire buying lifecycle.
“As marketers, we track so many different data points to better understand what’s working and what’s not that it can become easy to lose sight of what’s important.”
- Mark Parent
But, how do we measure such things – and how do we report them to our bosses in ways that will get them jazzed about the work we’ve done on their behalf? Read on for two suggestions from the informative new Ebook, “The 6 Marketing Metrics Your Boss Actually Cares About” by SugarBush President and Marketing Expert, Mark Parent.
This metric illustrates the impact that your marketing team’s lead generation efforts have on acquiring new customers. This percentage is based on your sales and marketing relationship and structure, so your ideal ratio will vary depending on your business model. A company with an outside sales team and inside sales support may be looking at 20-40% Margin Originated Customer %, whereas a company with an inside sales team and lead focused marketing team might be at 40-80%.
How To Calculate Your Marketing Originated Customer %: To calculate Marketing Originated Customer %, take all of the new customers from a period, and tease out what percentage of them started with a lead generated by your marketing team.
The Formula: New Customers Started As A Marketing Lead ÷ New Customers In A Month = Marketing Originated Customer %.
The Marketing Originated Customer % is 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.
This metric takes into account the impact marketing has on a lead during their entire buying lifecycle. It can indicate how effective marketing is at generating new leads, nurturing existing ones, and helping sales close the deal. It gives your CEO or CFO a big-picture look into the overall impact that marketing has on the entire sales process.
How To Calculate Your Marketing Originated Customer %: To determine overall influence, take all of the new customers your company accrued in a given period, and find out what % of them had any interaction with marketing while they were a lead.
The Formula: Total new customers that interacted with marketing ÷ Total new customers = Marketing Influenced Customer %.
The Marketing Influenced Customer % takes into account all of the new customers that marketing interacted with while they were leads, anytime during the sales process.
“When you can present marketing metrics that resonate with your decision-makers, you’ll be in a much better position to make the case for budgets and strategies that will benefit your marketing team now and in the future.”
- Mark Parent
To learn more: Download THE 6 MARKETING METRICS YOUR BOSS ACTUALLY CARES ABOUT.
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