This post is an excerpt from our 2016 Sales Performance Index. Click here to download your free copy.

One of the quintessentials barriers between sales and marketing goes to the core of this eBook: the inability to appropriately measure marketing’s contribution to sales. 

This article is here to help. Here's how elite organizations are measuring marketing performance in 2016.

The 2 Types of Marketing KPIs

In every organization, there are typically three types of performance metrics: Activity metrics, Objective metrics and Moneyball metrics.

Activity metrics are daily “hustle” metrics (calls, emails, conversations) proven to drive longer-term Objective metrics (revenue, contracts signed). Moneyball metrics (or Advanced metrics) bridge the gap between Activity and Objective metrics, showing how efficiently your team is operating.

When it comes to marketing, Activity Metrics are very difficult to pin down and often useless. Which is why most sales organizations avoid tracking them altogether - as will we in this chapter.

Marketing Objective Metrics, on the other hand, provide a great deal of utility. In many industries, marketing has also gotten increasingly ahead of the game in terms of employing Moneyball Metrics to get advanced insights on effectiveness.

Let’s break down the most pivotal Marketing KPIs in 2016.  

Marketing Objective Metrics

1. MQLs

​Some industries (mine included) measure daily marketing qualified leads. These are prospects who inbound to your company.

2. Blog Subscribers

If your company is blogging, be sure to be tracking how many blog subscribers you’re acquiring. For help with improving subscription numbers, check out great tools like SumoMe and HelloBar.

3. Content Conversions

Total leads acquired via content downloads, such as case studies, eBooks and white papers. Again, if you need help improving these numbers, check out SumoMe and HelloBar.

4. Webinar & Event Signups

Hosting a webinar/event or participating in one as a sponsor/exhibitor? Keep track of signups and attendees, if you’re hosting and total leads acquired if you’re participating.

In the latter case, distinguish between true leads acquired (visited the booth, got a demo) versus leads acquired by lead sharing, et cetera.

5. Sales Information Requests

Pricing requests, demo requests and general inquiries for further information from a prospective buyer.

6. Total Site Conversions

How many leads you’re bringing in via the website?

7. Site Visitation

Step 1 of digital marketing is tracking how many people you’re getting on your site. Drill further from here into new sessions, page visits, et cetera.

8. Ad inbounds

If you use Google AdWords or other PPC advertising, how many total MQLs are originating from those ads?

9. Organic Inbounds

Calculate total inbounds, excluding paid Ads and Events, includes salaries, marketing technology, etc.

10. Event inbounds

Paying to sponsor a trade, conference or webinar? Track the total inbounds acquired from each?

Moneyball Marketing Metrics

1. Site Conversion Rate

What percentage of site visitors eventually turn into leads?

2. Marketing Email Click-Thru-Rate

There’s a ton of data you can glean as to marketing email performance, but look at click-through-rate as your control for monitoring each email’s performance.

3. MQL Conversion Rate 

What percentage of marketing qualified leads turn into deals?

Calculate: Total Inbounded/eventually closed.

4. MQL Revenue Rate 

How much revenue are your MQLs bringing in terms of closed deals?

Calculate: Total inbounded/Total revenue from closed inbounds.

5. Inbound/Outbound Conversion Rate 

What percentage of all deals closed originate from inbound versus outbound?

Calculate: Inbound deals/Outbound deals.

6. Ads Inbound Rate 

What’s your ad spend for each inbound?

Calculate: Dollars spent/inbounds.

7. Ads Conversion Rate 

What’s your ROI on paid ads from closed deals that originate from that source?

Calculate: Dollars spent/revenue from closes.

8. Organic Inbound Rate

How much is your organic digital marketing driving inbound?

Calculate: Total cost of organic digital marketing - exclude Ads and Events; Include salaries, marketing technology, et cetera. Divide by total MQLs originating from organic digital marketing initiatives.

9. Organic Conversion Rate

Same as paid conversion rate - what’s your ROI on organic digital advertising?

Calculate: Dollars spent/revenue from closes.

10. Event Inbound Rate

The cost of acquisition for each event inbound.

Calculate: Dollars spent/inbounds.

11. Event Conversion Rate 

Calculate the ROI on event inbounds that turn into closed deals.

Calculate: Dollars spent/inbounds.

12. Assisted Conversions 

Think you’re not getting much value from social media, referrals and so forth? Double check by adding assisted conversions to your Google Analytics.

Many leads may be finding out about you via those sources, but your Google Analytics and Marketing Automation platform may not start tracking them until their 4th or 5th visit, making it look like they found out about you via SEO.

Examples: Referrals, Linkbacks, SEO, Video, Twitter.

Get the 2016 Sales Performance Index

The 2016 Sales Performance Index is the most comprehensive guide to finding, measuring and optimizing performance across your entire sales organization.

To get over 40 pages of free insight and analysis, visit the Ambition Academy and download your free copy of the eBook. 

Sales KPIs

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