In order to optimize your marketing budget, you have to start optimizing the marketing channels you use. Read more about what you have to keep in mind when analyzing the source of customers.
KPI name: Source of customers
Definition: No matter what the business is, knowing what or who directs your customers to your business is the most powerfull tool. Even if it is very simple, people intend to ignore the power of this information by generalizing the sources (from the street, from the internet, etc.).
Variation and related KPI’s:
Sales values on product classes advertised
Sales values associated to communication expenses (in store decoration, tv, radio, flyers, etc)
Sales value associated with Internet communication channels
Sales value associated with other customers
Focus and targets: suitable for almost all business. Also can be calculated in % but always be aware that % do lie sometimes if not associated with values. The most important argument to monitor this KPI is the fact that it gives you the answer to this important marketing question:
“Is my communication budget well spent?”
Stay tuned for the next Marketing KPI Stories.