Lead Generation Metrics Simplified

See through the noise, and focus on just a few relevant and actionable metrics for your business.

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With all the available tools and the sophisticated technologies that track and gather almost everything that can measured, one can easily get lost with the terminologies and get a serious case of “paralysis by analysis.” Thus with this article we aim to explain the top 10 lead generation metrics in simplified terms:

  1. Marketing % of contribution to sales pipeline

This specifically measures how much percentage of revenue in sales opportunities was a result of marketing activities. As it measures the performance of marketing activities, it is a good gauge of how well your marketing team works.

  • Marketing % of contribution to closed revenue

As the previous metric talked about opportunities, this particular metric talks about how much percentage of revenue in closed sales was a result of marketing activities. It also provides a good metric on how investment in marketing impacts the bottom line.

  • Quantity of Sales qualified leads

This particular figure quantifies the number of prospective customers that are worth following up for based on specific set of criteria by the sales team. These prospects might have requested a demo, or took actions considered at the deeper end of your sales funnel. Criteria may include company size, budget or the position of the lead.

  • Quality of Sales qualified leads

Quality of leads are measured by taking the approved sales leads by total number leads. As we know high quality leads increase revenue with higher purchase values, deal size, need, interest, etc.

  • Cost per Lead

This is the dollar amount spent on acquiring new leads – basically the cost efficiency of a lead generation program. This metric can be used to monitor campaigns, plan campaigns and calculate marketing ROI.

  • Conversion from MQL to SQL

The conversion from MQL to SQL provides the rate at which marketing qualified leads turn into sales qualified leads. MQL is based on the specific criteria set by marketing that identifies which leads are likely to turn into sales. With the MQL to SQL ratio, marketing teams are able to understand the efficiency of different marketing channels.

  • SQL to Opportunity

This ratio provides how fast sales qualified leads convert into pipelines or sales opportunities. If this metric is low, it possible that the criteria for identifying SQLs need to be reevaluated.

  • Opportunity to win

This metric is deep into the funnel towards a conversion (win). This shows how successful your sales team is closing deals. If the ratio is low, it may mean that your sales representatives need more training or you might be targeting the wrong segment or persona.

  • Average Deal Size

This can be a determinant of business health and is also useful in projecting revenue and growth in the next few months to years.

  1. Revenue

This is the company’s lifeblood, as it powers the activities of the business. Without tracking this, one can’t determine the profitability of the company.

While this may still be a long list of metrics to watch out for, what is important is to focus on the most relevant ones and drive action whenever necessary. This helps prevent teams from drowning in data and see through the noise.

Reach Out To POPXOP If you are interested to know more about increasing your leads, reach out to us and we’ll gladly help you out.

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