To ensure that prospecting efforts are bearing fruit, it is essential to follow key performance indicators (KPIS). These metrics make it possible to assess the effectiveness of the strategies and to adjust the actions accordingly.
It is necessary to have a rigorous analysis of key performance indicators (KPIS) to measure the results and optimize efforts. Here are the main ones:
Customer acquisition cost (CAC)
The CAC measures how much it costs to attract a new customer. This indicator is essential to assess the profitability of the campaigns. It allows you to know if the cost to acquire a customer is viable in the long term, and if the marketing strategy generates enough value to justify these expenses.
Formula:
Objective : Maintain the CAC at an acceptable level while maximizing the volume of new customers. The lower the CAC compared to the value of a customer, the more efficient the company is in its prospecting efforts.
Conversion rate of prospects to customers
This KPI indicates the effectiveness of the conversion process, from the first interaction to the purchase. A high conversion rate suggests that the sales process is optimized and that prospects are well qualified. This rate identifies the weaknesses of the customer route and highlighting each step, from the first contact for the final sale. It can also help to assess the efficiency of the prospecting channels used, and thus adjust the priorities of the campaigns
Formula:
Objective : Defain the conversion rate to better adapt your communication and choose the networks to conquer the customer.
Back on investment (King)
The king measures the profitability of prospecting campaigns. This is a fundamental indicator to determine whether the marketing investment generates an income greater than its cost, thus guaranteeing the economic viability of prospecting actions.
The objective is to maximize the king by increasing income while mastering costs. A high king indicates that prospecting efforts are effective and that resources are allocated.
Formula:
Example: a campaign that generated € 20,000 in revenues at a cost of € 5,000 displays a king of 300 %.
