To really know if your marketing is effective, you need to know whether or not your customers interacted with your marketing at any point during their journey through your sales process. To determine that, your marketing influenced customer percentage can be a crucial data point.
With this metric, we’re looking to find out the percentage of overall customers who were influenced by marketing at any point in the sales process. The marketing influenced percentage figure helps to determine your marketing performance and spending impact on your overall Customer Aqcuistion Cost (CAC).
To determine a marketing influence percentage, take the number of new customers your company accrued in any given time period, and divide this total number of customers by the number of customers who were influenced by marketing within the same time period.
As an example: if you had 1000 new customers in a month, and 700 of them interacted with your marketing in some way, your marketing influenced customers percentage would be 70%.
In order for this percentage to be meaningful, you need to ensure that your business actually has mechanisms in place to track and record your customer interaction with your marketing. Regular campaign monitoring and reporting, matched with customer surveys or feedback where applicable, helps to build marketing intereaction data. Tracking and understanding data helps keep marketing activity relevant and thus provide better bottom line impact.
As marketers, we track so many different factors that we can lose focus on the most important ones. Remember that no metric is the final answer in terms of marketing success. It’s always important to view the big picture when making big decisions. But knowing which metrics best translate into business language and reporting can help you break down the most relevant and impactful marketing metrics.