CRM and marketing automation tools provide you with a lot of valuable data. But sometimes it can be hard to determine what’s useful, and what to ignore.
Every piece of data represents an aspect of your business, but not all of them will be critical to your overall success.
It’s one thing to have lots of data. But it’s another thing to know the metrics that matter as far as measuring your performance are concerned.
Dangers of tracking the wrong metrics
Having a ton of data to process can lead to relying on all the wrong metrics. This leads to:
- Missed opportunities: When you focus on the wrong metrics, chances are you’ll miss growth opportunities.
- Poor decision-making: Tracking the wrong metrics can lead to poor decision-making. Ultimately this will lead to investing time and resources on ventures that are not beneficial to your business.
The 6 CRM metrics that actually matter
At the core of all successful businesses and marketing strategies are people that understand what metrics to watch closely so they can make informed decisions that drive growth and improve performance. Here are six CRM and marketing automation metrics that actually matter:
1. Funnel conversion rate
After setting up a sales funnel, you want to know whether your marketing efforts are producing results. The funnel conversion rate helps you monitor the effectiveness of your funnels in converting leads.
The conversion rate is defined as the number of people who start a funnel compared to the number of people who complete a funnel via a conversion event over a given period of time.
It will be really helpful for you to see how this metric fluctuates over time for each of your funnels so you can identify patterns, make adjustments, and optimize for the highest conversion rate possible.
This may seem obvious, but many funnel providers make determining this metric quite difficult, and it may require manual calculations form some users.
In Groundhogg, you can see at a glance which funnels are performing well, and which need to be optimized.
View a detailed breakdown of each of your funnels to see where your customers are dropping off and what you can streamline for a better customer experience.
2. Email click-through rate (Not open rate!)
Many marketers focus on the all-important open rate. But due to recent privacy changes many email clients feed email providers bogus information, resulting in over-inflated open rates and not a true indication of how your subscribers consume your email.
Your email click-through rate in most cases shows you how many of your subscribers are actually interacting with your emails. It represents the total percentage of people who clicked on a link, call to action, or image contained in an email.
Your email click-through rate measures the success of your campaign. Fewer clicks to your links will result in less traffic and fewer sales.
Through your email click-through rate, you can assess how effective your email is in sparking subscriber interest and leading them towards conversion (this could be a purchase or any other specified action).
If your email click-through rate is not satisfactory, you can make adjustments to your emails. In this case, you can choose to split-test elements of your emails like:
- Content- copy and visuals.
- Placement of links.
In Groundhogg, we make accessing your email marketing metrics dead simple, and we even tell you which ones you need to work on right away so you don’t have to search for them.
If an email has a poor click-through rate, we’ll display it in our “needs improvement report” so you can quickly identify where to spend time optimizing. If an email is performing really well, we will place it in our “performing well” report so you can duplicate your results in other areas.
See a detailed breakdown of each email to see what people are clicking on so you can optimize for your desired intent.
3. Active vs. Inactive subscribers
It feels great to have active subscribers who engage with your content. This group of people is great for driving sales and conversions. They are your champions!
Then there are the inactive subscribers who rarely or never engage. they may have joined your list for a specific reason, then their interest fades and they no longer wish to pursue a relationship. This can become a problem that affects your campaign to the extent of affecting your deliverability.
If you regularly send an email that is not consumed, ESPs like Gmail & Outlook will not prioritize it in the inbox, or even send it right to the junk folder, affecting your overall deliverability with that ESP.
CRM and marketing automation tools provide you with the metrics you need to segment your subscriber list. Through segmentation, you can develop customized campaigns for managing each category.
Your inactive subscribers fall into three categories:
- Long-term inactive subscribers: These are people who were once active but have not interacted with your emails in a long while.
- Never-active subscribers: This set of users are those who have been inactive since they signed up.
- Passive subscribers: People who may be active in other parts of your business but do not consume your marketing or regular broadcasts.
For your long-term inactive subscribers, you can come up with re-engagement campaigns. The goal will be to deliver streamlined messages to get them active again. Focus on high-quality content, webinars, and blog posts to remind them of the reason they engaged with you in the first place. Stay away from pushy sales tactics and discounts, as that will most likely backfire.
When it comes to passive subscribers, there is really no need to try and engage them as they are active elsewhere, or have already spent money with you. At most, send them a bi-monthly check-in to see if they need anything from you. Otherwise, stay out of their way.
In most cases, never-active subscribers are a lost cause. Take them off your list as they will only drag you down. What you CAN do with them is export them and upload them to Facebook Ads for remarketing purposes or to create a look-alike audience.
Sending a “do you want to stay on the list?” once in a while is always a good option when determining whether someone is worth trying to re-engage, you may be surprised how often that email can attract attention.
In Groundhogg, identifying your active vs. inactive subscribers is easy! In the Contacts report, you can see who was active and inactive within the given time range of the report. Use this to identify people on your list that need a nudge in the right direction.
4. NPS (Net promoter score)
Net Promoter Score (NPS) is a metric used to measure customer satisfaction and loyalty.
How well are your products or services meeting your customer’s needs?
How likely are they to recommend your brand to others?
These are some of the questions your Net Promoter Score will answer.
Why is your Net Promoter Score important?
Your net promoter score gives you insight into your brand perception by your customers. It serves as an indicator that shows your impact and influence on them.
A high NPS indicates that your customers have a healthy perception of your brand. A happy customer is more likely to put in a good word to others about your brand.
On the other hand, a low NPS signifies a need for improvement on your part. It could be an improvement of your products or overall customer experience.
In Groundhogg, you can set up a simple funnel to collect NPS data. In fact, you can take this free course on how to build your own NPS funnel.
5. Lead score
The average consumer goes through a buying cycle. Each stage of this cycle ultimately impacts their buying decision.
Lead score is a metric that ranks your leads into various stages to determine their readiness to make a purchase. And it depends on the level of interest they show in your business based on elements like:
- Email engagement
- Page visits on the website
- Time spent on page
- Website interaction— includes actions like filling out a form, opting into a lead magnet, etc.
- General demographic data like age, job title, and location.
Depending on the products and services you offer, the data for calculating your lead score may vary.
Groundhogg has one of the most effective lead scoring tools available on the market. Use it to identify potential customers who are ready to invest.
Once configured, head to the dashboard and see what stages your list is in.
6. Revenue per Funnel/Email
One of the most annoying things about most CRMs is the lack of ability to correlate revenue to a specific funnel or email that you sent.
This can be a huge drawback because you want to know where a sale came from, and what copy, messaging, or call to action caused them to buy. If you know those things, you can duplicate the results in other areas.
With Groundhogg using our WooCommerce or Easy Digital Downloads integrations, revenue earned is related back to the email or funnel that the customer came from, enabling you to see which funnels and emails are producing the most revenue.
No more guesswork!
Knowing the right CRM and marketing automation metrics to measure eliminates a lot of guesswork from your marketing. Tracking the right metrics takes you one step closer to making informed decisions that affect your business for the better.
Groundhogg makes it easy to see all of these important metrics so that you can focus on optimization, instead of searching for the data and generating reports through spreadsheets.
To get started with Groundhogg you can:
Have questions? Don’t hesitate to shoot us a message!