15 Key Marketing Metrics

Consumer insights on the 15 key marketing metrics

Thanks to Mark Jeffery of the Kellog School of Management, Agile Insights and the author of Data-Driven Marketing: The 15 Metrics Everyone in Marketing Should Know.

Mark surveyed 250 Fortune 1000 firms with combined marketing budgets of $53 billion to help determine the best practices for driving performance with marketing.

His findings were that high performing companies spent 20% more than average and low performers spent 4.4% less than average.

He also noted that where they invested their marketing dollars varied between high performers and low performers as follows:

  • Demand generation = 48% for high, 58% for low
  • Branding = 13% versus 7.5%
  • Infrastructure and capabilities = 16% versus 10%
  • Customer equity = 14% versus 11%
  • Shaping markets = 9% versus 14%

Mark’s conclusions:

  • Firms that optimize marketing campaign management have better sales growth, brand equity, ROI and long-term shareholder value compared to competitors.
  • Leaders capture/measure the value and user feedback to learn and refine their campaigns in real time.

Here are Mark’s 10 “essential classical marketing metrics:”

  1. Brand awareness
  2. Test drive
  3. Churn
  4. Customer satisfaction
  5. Take rate
  6. Profitability
  7. Net present value
  8. Internal rate of return
  9. Payback
  10. Customer lifetime value

Mark considers 1 – 4 to be “essential non-financial metrics,” 5 to be an “essential operations metric,” 6 – 9 to be “essential financial metrics” and 10 to be the “essential value-based marketing metric.”

His five “new age marketing metrics” are:

  1. Cost per click
  2. Transaction conversion rate
  3. Return on ad dollars spent
  4. Bounce rate (% of customers that leave your site in five second or less)
  5. Word of mouth

He considers 1-3 to be “essential search engine metrics,” 4 to be the “essential web site performance metric” and 5 to be the “essential social media metric” that you measure with a sentiment and sharing index.

How many of these marketing metrics are you using to measure, and improve, the effectiveness of your marketing efforts?

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About Insights From Analytics

Integrated marketing professional who generates insights from analytics to increase revenue. Daily blog now resides at www.insightsfromanalytics.com/blog.
This entry was posted in Consumer Insights and tagged , , , . Bookmark the permalink.

One Response to 15 Key Marketing Metrics

  1. Tom Murdoch says:

    Good info on this website; thanks.

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