Inbound Marketing performance indicators

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A fundamental step in an Inbound Marketing campaign is the analysis stage. The State of Inbound 2015, an annual report developed by HubSpot, showed that companies that measure and track their ROI (return on investment) showed a 20% greater trend in revenue growth. This analysis effort is essential to ensure the success of your company's marketing strategy, which will certainly please your CEO and CFO.

As every CEO and CFO knows, it is through measuring and analyzing everything that was done in the planning, implementation and execution stages of the marketing strategy that a company will know if it is reaping the expected results, and if the future trend shows the planned path. That is, the top management of the marketing, sales and finance areas, through the analysis of these results, will be able to assess whether the effort made is really contributing to increased sales, effective qualification of leads, efficiency of sales and marketing costs, among others. From this analysis, these professionals will also know what worked and what still needs to be improved, ensuring that the company's Inbound campaign is more effective and assertive at all times.

To measure these metrics and analyze the results of a campaign, there are some indicators that you need to know and apply. Check out the 6 main Inbound Marketing performance indicators that your CEO and CFO want to know so they can conclude whether your inbound strategy is generating the expected results:

6 Inbound Marketing performance indicators that will please your CEO and CFO

Customer Acquisition Cost (CAC)
To acquire a new customer for the company there will always be a cost, because for a customer to make a purchase from your brand, a strategy was developed that led to the sale being completed and, like almost Email Data everything, this includes a certain cost. This expense brings together both the marketing and sales team, and includes travel, telephone and communication costs, advertising, among others, which represents efforts in an attempt to acquire a new consumer.

Thus, we are talking here about the salaries of the marketing team and the sales team, sales commissions, advertising expenses and other forms of marketing, among others. These values, in turn, for a good measurement, must be thought of in relation to a certain period and divided by the number of new customers acquired within that stipulated time (which could be a month, a semester, a year - the choice depends on the speed of your company's sales cycle and how your market operates). This means that we have your company's CAC: a fundamental index to know how much each customer is worth to your company and, later on, whether this value really contributed satisfactorily to your results.



Here we can also delve deeper into the work and monitor the Marketing Cost index in proportion to CAC. With this measurement we are able to analyze the proportion of Marketing costs specifically as a function of  all Sales + Marketing costs combined. This index, being measured over time, allows us to analyze the trend and understand how we are evolving with our marketing/sales efforts. For example, the result may indicate that: a) marketing investments are very high in proportion to CAC, or that b) sales investments were low simply because sales did not reach their expected targets, or c) that marketing investment increased to try to compensate for the lower performance of its sales team, aiming to attract a better quality of leads.


Relationship between customer lifetime value and CAC (LTV:CAC)
This metric is important for companies that Customer Lifetime Value (CLV)deal with recurring revenue from the same customers or revenue that is repeated, as it allows you to estimate the current value of a customer and compare it with the amount spent in the effort to acquire that same customer.

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