Essential Awareness Metric

Brand Awareness = Ability to recall a product or services

Awareness —> Evaluation —> Trial —> Awareness

Evaluation Marketing

• Designed to drive customer purchase intent.
• It enables customers to compare products and prices.
• There is a time delay between evaluation and purchase.
• It is hard to link it back to the customer’s purchase
• A metric is a good predictor of future sales

Loyalty Marketing

Churn = % of existing customers who stop purchasing your product or services. Often measured in a year timeline

Customer Satisfaction

It is measured by asking “ Would you recommend this product or service to a friend or colleague”

The golden metric that bridges loyalty and brand awareness

Marketing Operating Metric

Take Rate = % of Customers accepting a marketing offer.

It applies to any activity that has a call to action

Demand Marketing

• Profit = Revenue - Cost
• NPV = Net present value
• IRR = Internal Rate of Return
• Payback = The period for a marketing investment to pay back the cost of the initiative

Estimate the 4 metrics prior to and after undertaking a marketing activity

Essential Customer Value Metric

CLTV = Future Value of a Customer

Classification

Strategic - Future Looking Metric

Measures Include:

• Brand Awareness
• CAST
• CLTV
• Test Drive

Tactical - Backward Looking Metric

• Tactic effectiveness
• Sales
• Lead Conversion

Operational - Inward Looking Metric

• Execution efficiency
• Take Rate
• Budget Spent

Score Card

The goal of a scorecard needs to be

• It needs to be different for different customer segments The key focus is to help executive-level people make proper decisions
• It needs a clearly defined vision

Key Insight

It is of key importance to define success metrics for a campaign. It needs to define a metric that enables everyone to its effectiveness

For a more detailed understanding refer to my note on marketing strategy