Knowledge base · Strategy & growth

KPI

A KPI is a Key Performance Indicator: a yardstick used to judge whether a goal is being met.

A KPI only becomes useful when tied to a goal. Reach, revenue and bookings can all be KPIs, but not at once. Five real KPIs steer better than thirty charts.

Choose one main KPI per goal and a few supporting numbers. The main KPI decides whether it works, the supporting ones tell you why.

Do not let your dashboard be decoration. If a number changes no decision when it drops, it is not a KPI but wallpaper.

How we do it

We fix a small set of KPIs per project and build the reporting around them.

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Related terms

MER

MER stands for Marketing Efficiency Ratio: your total revenue divided by your total marketing spend.

CAC

CAC stands for Customer Acquisition Cost: all marketing and sales costs to win one new customer.

Conversion

A conversion is the action you want from a visitor: an order, booking, enquiry or sign-up.

Attribution

Attribution is assigning a conversion to the channels and touchpoints that contributed to it.

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