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Organizations

should begin to
standardize
marketing
measurements
across their:
- sales channels
- business units
- media
With standardized measurement, you can get
closer to the more complex process of tracking:

- Corporate Brand Equity


- Market Share
- Marketing ROI
- Product & Customer Profitability
Cost to Generate Traffic
Multichannel marketers are
tracking the costs to generate
traffic to their sites from all
possible sources.

These often include the costs


to complete the transaction,
which can include a call center
or the technical support of the
site itself.
Marketing Spending Metrics
Marketing Spending
Metrics are often looked at
to try to establish the ROI
value of incremental
spending.
Some of the measurements
in this area include cost per
impression, reach,
frequency, share of voice.
Visitor Acquisition KPIs
Visitor Acquisition KPIs are used to understand the
health of the sales funnel. 

Types of things you’d need to define first:


• What is a visit?
• What is the source of the visitor?
• What is a return visitor?
• What is a unique visitor?   

Tracking sources often requires the integration of


multiple reporting tools.
Site Effectiveness Measurements

Look at the conversion


effectiveness of the site or
channel. 

The sales funnel is critical


here.

How efficiently can a visitor


be turned into a customer?
Conversion Metrics
Definitions are critical
in conversion metrics – especially if
the conversions of one channel are
to be compared to others.

What does a conversion mean?

The problem of properly attributing conversions to


their sources is common and must be consistent across
each channel.
Buyer Metrics
Buyer Metrics includes the frequency
of purchases, or the retention rates
of customers that can be rolled up to
overall market share, brand equity
and/or customer lifetime value.
The most quoted Buyer Metric is
typically the Average Order Value, or
the AOV, which is used to understand
and compare different groups of
buyers.
Revenue
Multichannel and e-commerce
marketers track revenue carefully
to compare the margin generated
from each channel, to determine
the value of incremental sales, and
to guide pricing and promotion
decisions.
Customer Loyalty & Profitability
Companies use these metrics to understand the
value of their individual customers, regardless of
which sales outlet they have chosen.
Again, this is an area where definitions are critical
from one channel to the next.
The methodology for the measurement of loyalty
and customer-level profitability can vary
considerably from company to company, depending
upon the purchase dynamics of the product.
Profitability and ROI
Categories of Metrics can include:
- Channel margin from each channel selling
different products.
- Performance compared to sales target
- Net Profit
- Return on Sales
- Return on Investment
- Net Present Value
- Return on Marketing Investment
And so…

Any one of these 9


key marketing
metrics can be
challenging to reach
without integrated
databases and mark
eting technology.
Creating clear definitions across departments
and channels is critical.
As data and tools begin to converge,

more and more marketers are


building their ability to measure these
key performance indicators and use
them to make smarter decisions
across the marketing organization.

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