How to Identify the Most Impactful SaaS Marketing Metrics to Take to the Board

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Long past are the days when market was just the team that “made things look pretty.” SaaS purveyors today are expected to deliver–and document–real business value for their efforts. And nowhere is effectively reporting on marketing performance more important than in the board meeting!

The board meeting is no time for frivolity metrics–you know that. So rather than talking about Facebook likes and shares, what market metrics will you focus on? Here are a few ideas to get you started.

1. Pipeline and Acquisition Metrics

For most SaaS firms, income is heavily dependent not just on brand-new purchasers but also on cross-selling and upselling to the existing customer base. That necessitates SaaS marketers will want to report on impact and cost-effectiveness across the part patron lifecycle.

Transition Frequencies at Each Stage

The board wants to see that you have an efficient marketing machine that are actually converts at every stage. Focus on proving shift charges from each stage to the next, and be prepared with industry marks. This effort will also help you recognize divergences and areas for betterment( and then showcase those improvements and how they translate into more customers and revenue !).

Pipeline and Acquisition Metrics

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Marketing-Generated Pipeline

At my previous SaaS company, commerce was responsible for generating more than a third of the company’s new pipeline. So one of the largest part metrics for us to report on to the board was the percentage of the pipeline generated by marketing( no prior sales participation) and our progress toward that overall pipe goal.

If these targets have not been established at your fellowship, consider improving sales and sell adjustment with clear apprehensions( and crowds) viewing who’s responsible for deliver what.

What does the board want to know?

Is marketing do its part in generating a significant portion of the sales pipeline? And, maybe even more importantly, are we on target to reach our pipeline purposes, which ultimately will determine if we reach our sales and revenue aims?

2. Cost per Lead

To determine your overhead per precede( CPL ), part your market devote by the number of leads to see what your marketing struggles are expenditure you. Better hitherto, calculate your rate per induce per path so you can not only benchmark( and work to improve) your CPL but also identify your most cost-effective directs and divert your effort and budget there.

What does the board want to know?

How much are you spending to “ve brought” results, and what channels are getting us the “best bash for our buck”?

For example, you may be able to demonstrate that digital directs such as your website and inbound sell extradite a much lower cost per lead than more traditional( and expensive) channels such as trade testifies. Use this data to shape the action for funneling more dollars to the channels that work best!

3. Cost of Customer Acquisition

Take CPL a gradation further with cost of customer acquisition( CoCA ). For SaaS companionships, it may take times for recurring receipt to begin to outweigh the cost of acquisition, so it’s important to monitor and work to decrease these costs.

What does the board want to know?

Simple: What is our CoCA, and is it improving?

The board wants to know not only what it costs to get a pas, but likewise the combined auctions and market expenses required to close a new deal compared to the expected income. Add the sales and sell costs and then divide by the number of new customers to reach this number.

Additionally, consider using revenue attribution reporting to determine and share the directs or even specific patches of content that are delivering the most revenue for the business. This is a great spot to highlight marketing prevails!

4. Average Monthly Recurring Revenue

Monthly recurring revenue( MRR) refers to the earnings per month for all active patrons. For SaaS companies controlling on a subscription representation, this recurring income is even more important than the initial sale.

To make the most of this metric, you’ll want to break MRR down by revenue root or type of customer. For pattern, what type of subscription or commodity does the customer have? This can help you identify pockets of opportunity, such as a chance to upsell a certain add-on to your existing clients.

What does the board want to know?

What is our MRR, and what generators and each type of customers are delivering the most revenue? This will help identify where there’s the greatest opportunity to accelerate that revenue stream or ramp up an alternative stream that is not delivering.

5. Customer Revenue and Retention Metrics

As we’ve discussed, the part customer lifecycle, both pre- and post-purchase, is important to valuing marketing act. You’ll want to consider a number of key metrics that represent the average amount of revenue each patron can be expected to provide, as well as the current status and likelihood of customer retention or churn.

Client Lifetime Value

Customer lifetime value( LTV) represents the total amount of incomes a company can expect to generate from a single purchaser account.

Customer Engagement Score

The customer engagement score is used to measure how employed your purchasers are based on the benefits that your product or service is providing to them.

Customer Health Score

The customer health score is used to measure how quenched your purchasers are. Health ratings can differ per busines and can include a variety of factors, from ” activities and patron feedback to billing history. Ratings can also be segmented by patron type.


The LTV: CAC ratio will help your company determine how much you need to be spending to acquire a purchaser. The standard fraction is around 3-to-1.

Customer Revenue and Retention Metrics

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What does the board want to know?

How are we doing and what can we expect in the future when it comes to revenue, buy costs and customer health? What’s our action plan to stay on track or improve?

6. Churn Metrics

Customer retention and pleasure are core to a SaaS company’s repeat income simulation, which intends keeping purchaser churn low-spirited is key as well. Fewer clients convey less recurring revenue and fewer people to sell additional services to.

What does the board want to know?

Keep the board updated on the proportion of contractual purchasers or customers who leave during a given time period. In addition, you’ll want to share that same metric in areas of lost revenue and include the amount of hour it will take to recover. Marketing can play an important part in customer engagement, and these metrics will help you tell that story.

Customer and revenue churn metrics

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Don’t forget to include next steps with every key marketing metric! Data can help you tell a story and then follow up with concrete steps your squad can take to improve each of these metrics.

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