Making data-driven decisions is essential to your confidence and to your success. Data guides your day-to-day decisions and your overall strategy.
Not only does data keep you focused, but gives you an competitive edge. Top performing organizations are 5x more likely to invest in and use data than lower performers.
“To be a successful entrepreneur, you have to understand your numbers.”
Vince Dilley, CEO of Platinum Dental Group
In our newest ebook, Crucial KPIs for Your Growing Company, we cover seven principles and 35 KPIs that will help you develop your KPI strategy and choose which key metrics your company needs to focus on.
As we cover a few KPIs from the ebook to help you get started, keep in mind that your data and strategy go hand-in-hand. The KPIs you choose to focus on need to be aligned with your business strategy and overall goals.
Here are a few KPIs to help you get started:
New Leads per Month: The more leads you bring in, the larger pool you have to find customers. If your conversion rate stays constant, the more leads you bring in, the more sales you make.
Conversion Rate: How effective are you at turning leads into customers? Measuring conversion rate compared to new leads per month will help you answer that question.
Highest Performing Acquisition Channel: Which platforms are you seeing the most number of leads from?
This metric is essential to consider as you develop your sales strategy. Your sales and marketing teams should be monitoring this metric daily. For example at Grow, one of our channels converts leads at a 10x rate compared to another channel.
Referral Rate: Your referral rate is the best test for your top-line growth and customer loyalty. The best predictor of top-line growth can usually be captured in a single survey question: Would you recommend this company to a friend? NPS scores can capture some of this information.
Daily Average Use/Monthly Average Use: Daily Average Use and Monthly Average Use are metrics that indicate how frequently your customers use your app, product or service and how loyal they are to it in comparison to competitors’ offerings in the same category (assuming they exist). From the beginning, Facebook has been focused on active users. While other internet properties were reporting total users, Mark always reported on active users.
Customer Retention & Satisfaction: The goal is to create lifetime customers.
Customer satisfaction is not merely qualitative—the customer retention metric can help you quantify your customer’s happiness with your product.
Brian Halligan, CEO of Hubspot, understands the value of customer satisfaction, and how to quantify it: He asks, “Am I truly delighting my customers such that they are helping lower my cost to acquire new ones with word of mouth and increasing their own monetary value to me?”
Website Visitors: Unique website visitors refers to the number of distinct individuals requesting pages from the website during a given period, regardless of how often they visit. (“Visits” refers to the number of times a site is visited, no matter how many unique visitors make up those sessions.)
The purpose of tracking unique visitors is to help marketers understand website user behavior. Because a visitor can make multiple visits in a specified period, the number of visits will be greater than the number of visitors. A visitor is sometimes referred to as a unique visitor or a unique user to clearly convey the idea that each visitor is only counted once.
“If you can’t measure something, you have no idea whether it’s working or not.”
Neil Patel, CEO of Quicksprout