Marketing Metrics You Need To Know

Like any discipline, one needs a baseline or barometer for measuring success. Marketing is no different, and there are many important metrics that should be tracked and measured for any business. The actual “goal” for the metric that you should aim for will depend on the industry or sector you are in, but here is a list of important metrics that should be tracked. We recommend that you look to see what standards exist for your industry and compare how you stack up.


· ROI: The return on investment metric is how you measure what you “get out” of marketing dollars put in. This can be measured in terms of revenue generated from a given marketing spend.

· Customer Acquisition Cost: The hard dollar cost for acquiring a new customer. This number can be found by averaging the customers generated based on the number of dollars spent on marketing or advertising efforts. If you ever plan on going on Shark Tank, make sure you know this number as Kevin O’Leary will inevitably ask it!

· Life Time Value (LTV): This value represents the total “value” of a customer. For example, if your average customer signs up for 12 months of services at $10/month then your LTV would be $120.

· CAC vs LTV: We coined this the golden formula of marketing at the beginning of the book, but this metric compares the cost of acquiring a customer to the value that customer creates over time. The larger the spread between these two numbers, the more optimally your business will run.

· Customer Attrition Rate: This is the rate at which you lose customers over time.

· Sales Cycle: The process of going from a cold lead to a customer.

· Response Rate: This metric measures the number of responses you get from a given communication effort, often associated with email marketing strategies.

· Funnel Conversion Rate: This metric measures the number of people that convert at each stage of your funnel. I would also track the conversation ratio between the number of people who hit your funnel compared to the number of customers you convert.

· Customer Satisfaction: A metric that simply measures how happy a customer is with your product or service. This metric is super important.

· Cost Per Lead: This number represents the cost it takes to get a lead.

· Lead to Customer: Not every lead will become a customer, but this number tracks the ratio of leads who become customers.


· Newsletter Signup Conversion: Email marketing campaigns are highly effective and measuring the number of newsletter signup conversions is important if your call to action is for a prospect to join your mailing list.

· Click through rate: A click through rate measures the percentage of people that actually open an offer or letter you send to them.

· Opt-Outs: This metric is the percentage of people who opt-out or unsubscribe from your mailing list.

Online Metrics (Web, SEO, Social etc.):

· Total Visits: The total number of visits you receive to a website, landing page etc.

· Unique Visitors: A metric often associated with websites, this metric simply measures the percentage of new views you have.

· Bounce Rate: Another metric associated with websites, this number measures what percentage of viewers leave your site prior to viewing other pages aside from the home one.

· Click Through Rate (general): A conversion percentage for a particular call to action on your website or landing page.

· Sessions by Device Type: Tools like Google Analytics can show you the type of device a user is on when viewing your website.

· Keyword performance: This measures the effectiveness of your search keywords. Google provides tools to do this, which we will discuss later in the book.

· Keyword Ranking: Related to the keyword performance, you can measure the ranking of words to optimize your SEO strategy.

· Organic Traffic: This metric represents the number of users who find your website or content through search without you directly advertising or marketing to them. Organic search plays an important role in your level of discoverability and ultimately minimizes the cost needed for acquiring customers

· Cost per Click (CPC): If you are familiar with Google AdWords, this metric may be familiar to you. CPC is the cost you incur every time someone clicks on your advertisement. This metric is used on a range of advertising products, not just AdWords.

· Post Engagement: When you post on social media platforms, you can track engagement in a few different areas. They include likes, comments, shares and followers.

· Sentiment Analysis: When posting on social platforms, you can track the sentiment (good vs. bad) that you receive for posts. This helps you measure how content resonates with your audience.

Here at Tier3 Agency, we utilize these metrics and more to track success with our clients. Let us start tracking these metrics for your business today!Book a discovery call with our team today to learn more!

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