The Must-Know Marketing Metrics for Every Salesperson


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Sales and marketing each have distinct metrics that apply to their respective departments. While sales does not necessarily need to know the ins and outs of every marketing metric, there are a few that are particularly beneficial. Understanding four key metrics will help bridge the gap between marketing and sales and keep the two departments aligned.

Keeping sales apprised of the following four marketing metrics will ensure both departments are on the same page with their team goals.

Conversion rate represents the rate at which prospects become customers. Conversion rates reveal the health of your leads coming in at the top of the funnel and the success of your marketing strategies. They can also indicate how smooth the lead handoff is from marketing to sales. Any conversion rates from Marketing Qualified Leads (MQL) to Sales Accepted Leads (SAL) to Meeting to Opportunity are critical metrics for sales because they ultimately drive their pipeline. These statistics are important for both sales and marketing teams to follow since marketing is a key driver of the outcome. With both teams monitoring the results, they can work together to find new approaches and tinker with their current methods until they reach their goals.

Customer Acquisition Cost (CAC) is the cost associated with convincing a customer to buy your product or service. CAC is important for sales teams to consider because if the cost to acquire a customer is too high, it could erode any sales margin and ROI in the end of the sales cycle. For a sustainable business model, your CAC should be much lower than your customer lifetime value. Though it can be difficult to track end-to-end and do proper attribution of costs from campaigns and sales efforts, CAC can be used as an indicator of how efficient and effective your marketing and sales efforts are overall.

Reach represents the number of prospects you can reach at the top and middle of your funnel through content or marketing messages. Reach is an important metric to sales because it essentially measures the width at the top of the sales and marketing funnel. This can include prospects from your database, social media following, blog subscribers, and website visitors. Keeping track of these areas are significant because they are the prospects that will ultimately convert into marketing qualified and sales accepted leads.

Velocity represents how quickly qualified opportunities turn into closed deals, which allows sales and marketing to forecast pipeline. It represents how fast or slow a lead travels through the funnel to status Opportunity to status Closed-Won. Pipeline velocity helps sales and marketing teams determine at what time revenue will come in, which leads to more accurate predictions of monthly and quarterly targets. This information gives sales a greater understanding of what exactly they need to do to hit their goals.

Transparency between departments surrounding conversion rates, customer acquisition cost, reach, and velocity metrics will help align your sales and marketing efforts. If each salesperson understands the impact these marketing metrics have on their sales strategy, the company as a whole will benefit from the common thread.

Republished with author's permission from original post.

Orinna Weaver
Orinna is a Content Marketing Specialist at Radius. She helps marketers grow through constructive content and specializes in business-to-business marketing strategies.


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