Why the right metrics make a difference

To boost your business, marketers need to measure a little. But not everyone measures the correct data.

Simply know the visits to your page, click-through rates and the participation statistics are no longer enough. Many of these isolated data points cannot give you a clear idea of ​​whether you are getting a good ROI from your marketing spend..

Don't get us wrong: Marketing KPIs can significantly help steer your marketing in the right direction. Even so, marketing functions have fallen short when it comes to developing a set of marketing metrics that matter.

After all, sellers are constantly on a rotating flow cycle. And with the increasing number of marketing strategies and options, companies must stay ahead of their competition. To help design an effective strategy, you must refine these critical metrics and their formulas.

You need metrics that tell the story of your company and give you a more detailed snapshot of your marketing efforts. The reality is, you can't be a successful salesperson if you don't know your numbers..

And you can't know your numbers if you don't understand your customer's lifetime value, because it reports all your marketing strategy and how much you can pay per channel in acquisitions.

Average purchase value (APV)

APV refers to the average sales value of each sales transaction processed. Shows you the average amount your customers are currently spending on one of your products or services in an individual transaction.

You can calculate this number by dividing your company's total revenue within a given period of time by the number of orders placed during that same period of time..


Depending on the length of your average contract or your business model, can calculate APV for one day, one week, One month or one year.


Because it is important


First, This metric gives you essential information on the average first-time order from one of your new customers, meaning you can measure whether and when this metric increased, Y, Thus, identify which offer convinced them to buy from you.

further, whether you sell a product or service, must take into account the expected pressures associated with competitive pricing. Inevitably, your product will have to compete with others in the market based largely on price.

The APV will let you see if this pressure helps or hinders your business. That will allow you to predict and plot your pricing scheme.

With this metric, you and your team can forecast the future of your company's sales and also make revenue predictions.

A thorough analysis of the APV will reveal the buying behavior of your consumers. You can use that information to inform your ad spend strategy and determine exactly what product or service you should market in the future, as well as how much should I spend on it.


Average purchase rate frequency (APF)

The APF formula is simple: take the number of purchases from a unique customer group within a given time period and divide it by the number of customers you have.


Once you perform this function, you can start collecting data to find out if your shoppers can complete their purchases at a certain time and when the most profitable shopping activities take place.

Why is APF important?

Knowing your APF is extremely helpful, especially when it comes to timing your outreach efforts.

Not only does it offer invaluable insight into the value your most profitable customers expect for their money, Instead, you can break down your findings to a number by looking at the data and determining if they are above or below your expected profit..

For example, if your average customer makes three or four purchases within a six-month period, you can verify that you need to increase that number to five or ten to increase sales.

From there, can work to improve your purchase rate, as well as target potential customers that are more likely to exceed average purchase rates.

Then, You can use these figures to launch compelling marketing campaigns and refine your outreach strategies.. By integrating this key metric, you can improve your business performance without investing too much money, time or effort.

Why is it important CV?

Why is it important CV?

A business that is out of balance in terms of customer value produces very little margin and ultimately ends up operating at a loss..

With the CV, you can take a look at how well your company is doing and what your expectations are for the future. This metric allows you to evaluate the success of your business based on the long-term results of your marketing and advertising strategies..

Finding your CV is crucial to understanding if there needs to be more value in your marketing channels. In other words, if your CV is higher in a specific marketing channel, recommend investing more in retaining customers, assuming you have a positive ROI.

Average customer lifetime (ACL)

Like one of the last pieces of the puzzle, the ACL tells you the average amount of time an individual remains a customer. This is a somewhat complicated concept to understand, since it depends on the type of activities you occupy.

To find the ACL, just add up all the customer lifetime numbers and divide by the total number of customers you have.


As usual, the LCA ranges from one to three years. Nevertheless, this metric will change according to your business model.

If your ACL is five months old, try set a new benchmark and learn how to extend it to seven months. If it's two years, extend it to three years.

SEO Services

Why is ACL important?

It is vital for marketers to understand the relationship between the duration of the company-customer relationship and the specific actions that can improve retention rates and profitability..

If you look at these indicators as a marketer, you will be able to determine if the pulse of the business is moving in the right direction.

Customer lifetime value (CLV)

This data is perhaps the most important metric for many marketers.

CLV measures how valuable a customer is to your business throughout its life, instead of just your first purchase. To discover the CLV, just multiply the CV by the ACL.


By taking costs and subtracting from that customer's value, can understand what the level of net income is within any individual business model. This is the money that comes out of the top in relation to any customer within the particular business model that you are running..

The reason for this is that there are advertising and marketing costs, overhead and various other types of expenses associated with running a business. But you cannot understand the gross revenue of the ad campaign if you are assigning it an arbitrary number. If you can put a real figure on this, it will become much easier to project and plan your future growth.

Another important measure to consider when determining the CLV is the return on advertising investment. (ROAS).

In its simplest definitions, ROAS describes the benefit obtained through advertising. Measures dollars earned versus dollars spent on an ad campaign. Marketing specialists solve the ROAS equation dividing the ad-driven earnings by the dollar amount spent on that ad.

Why is it important CLV?

Why is it important CLV?

A study of 2018 revealed that only the 24% of marketers thought their company monitored CLV effectively.

CLV is key to understanding and making crucial business decisions. With this metric, you will be able to determine the overall value of your company's customers throughout your relationship, as well as having a better idea of ​​your cost per acquisition.

When defining CLV, can identify how to retain existing customers and allocate funds more effectively, since you won't have to spend more on marketing and advertising trying to acquire new customers.

Accurate CLV calculations can provide key targeting information, long-term customer profiles, advertising performance and future growth potential for your business.

By better understanding CLV, you can also get an accurate estimate of what each customer costs to purchase and how to maximize the value of your existing customers.

High CLV also increases brand loyalty throughout the life of your business.



Metrics make the marketing world go round, and there are seemingly endless analytical measurements to look at outside of the ones we listed above.

While it is useful to learn by example, remember that no two companies are the same. You need to adjust your marketing strategy around the metrics that are most important to you and answer questions that are essential to your business..

Since today's customers want their interactions with brands to feel one-on-one, it's hard to tell if you're meeting those expectations if you're not measuring the right metrics.

Having said that, APV, APF, CV, ACL, CLVs are tried and true data points, but often overlooked, that will certainly benefit your business. They can help make your goals real and concrete and make your efforts to achieve them visible and measurable.

With these metrics in your marketing toolbox, you're ready to refine your systems, grow your business and take on even the most ambitious digital marketing goals.


You need a website, Or do you want to know more?, contact us and we'll help you recover if website.


Marketing strategies

Social media marketing strategies🚀🔥

A successful social media marketing strategy means having a well thought out plan to guide you through everything., from attracting users to attracting fans and followers, with the ultimate goal of converting your followers into paying customers.

Read more "
More information and advice

Easier than ever!

You are one step away from having the website of your dreams.