7 most popular performance metrics

1. CTR - indicator CTR ads (advertisements).

Calculated: number of clicks / number of impressions * 100%.

What affects: the quality of created ads, banners or any other promotional material, the right choice of communication channels, and targeting.

2. CPC - cost of a click.

Calculated: the amount of advertising costs (advertising channel) / number of clicks.

What influences: the efficient allocation of advertising budgets between advertising channels, the quality of promotional materials and price lists of advertising platforms (if bought at the traffic model PPC).

3. CPA - cost targeted action.

Calculated: the amount of advertising costs (advertising channel) / number of targeted actions.

What influences: the cost per visitor, conversion rate (CR), and in particular: the quality of the involved traffic, the choice of the landing page, site usability, product offering and conditions of purchase.

4. CPO - the value of the confirmed order (purchase).

Calculated: the amount of advertising costs (advertising channel) / number of confirmed orders.

What influences: CPA, the quality of the call center or automated systems for order confirmation (sms, e-mail, etc.).

5. CPS - cost of sales.

Calculated: the amount of advertising costs (advertising channel) / Bestselling

What influences: CPO, the quality of the call center, the payment and delivery of goods.

6. ROMI - return on investments in marketing.

Calculate: (come from marketing activity -Expenses marketing) / marketing costs * 100%

What influences it: the average check for the buyer and the cost of marketing activities.

7. LTV - net profit from the client for the whole period of cooperation with the company.

Calculated: profit - all incurred costs (not just marketing).

What influences: margins, average check, the frequency of purchases, the cost of the original and the cost of re-engaging the customer and other expenses.