The 15 Metrics Jeff Bezos Tells His Managers to Track
Jeff Bezos has religiously forced his managers to read Mark Jeffery's 'Data-Driven Marketing'. Here is a good understanding of your potential 'metric-mix'...
Here are the 15 metrics you should think about putting into play or having a good idea on what to add into predictive modelling.
The 5 Nonfinancial Metrics
1. Brand Awareness
Brand equity is sometimes estimated by subtracting all tangible assets from a business.
Test drives are more commonly called demonstrations in the past, or a trial in your modern subcription business. How many are in the trial phase?
Who has completely left the business or perhaps just the product if you want to be more granular.
This is usually commonly known as 'The Loyalty Metric'.
4. Customer Satisfaction
Commonly referred to as the NPS (Net Promoter Score), it is the most common one being used at the moment. It's a good gauge to manage. But it feels more art than science. Some customers feel differently to a product company to say an accounting firm. Just very product centric metric to be wary of in my opinion.
5. Take Rate
This metric measures internal effectiveness of a campaign and can be linked to campaign cost.
In other words this is the essential marketing performance metric.
The 4 Essential Financial Metrics
The essential marketing finance metric.
7. Net Present Value
This and the next two are considered the finance for marketing metrics.
Net present value is Present Value minus the Cost.
8. Internal Rate of Return
Rate that money is compounding internally to the campaign or program.
The time for the cash benefit to equal the cost.
All Customers Arent Created Equal Metric - CLV
10. Customer Lifetime Value (CLV)
The essential customer value metric. Known as CLTV or CLV.
From Click to Conversion Metrics
11. Cost per click - CPC
The essential search marketing metric.
12. Transaction Conversion Rate - TCR
The percentage of customers who purchase after clicking through to the website.
13. Return on Ad Dollars Spent - ROAS
The essential return on Ad Spend metric.
14. Bounce Rate
The essential metric to show how good your website is.
Usually tracked by % of users who stay on your site longer than 5 seconds.
15. Word of Mouth - WOM
The essential metric for measuring word of mouth.
Number of clicks plus number of clicks from recommendations then divide by number of direct clicks.
Peronally it's a bit vague because it should technically be an intangible. Going from real world to digital and all.