Performance Measurement & KPIs Flashcards
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Read the first 7 Performance Measurement & KPIs flashcards as text
A marketing officer is designing a KPI dashboard. Which principle ensures each KPI is evaluated against a defined target?
Answer: Setting SMART goals for each KPI
SMART goals (Specific, Measurable, Achievable, Relevant, Time-bound) ensure each KPI has a clear, evaluable benchmark.
A brand's customer satisfaction score (CSAT) is 85%. A competitor scores 92%. Which action is most appropriate for the marketing officer?
Answer: Investigate drivers of the satisfaction gap and prioritize improvement
Investigating the root causes of the satisfaction gap enables targeted improvement initiatives to close the competitive deficit.
Which marketing KPI measures the average number of times a target audience member is exposed to an ad?
Answer: Frequency
Frequency measures average exposures per unique audience member, helping assess whether messaging is underexposed or causing fatigue.
A firm uses multi-touch attribution. Which of the following is the primary advantage over single-touch models?
Answer: It credits all touchpoints in the customer journey
Multi-touch attribution distributes conversion credit across multiple touchpoints, providing a more complete view of the customer journey.
A marketing officer notices the 'pipeline velocity' KPI is declining. This metric measures:
Answer: How quickly qualified leads move through the sales funnel to close
Pipeline velocity measures how quickly deals progress through the sales funnel, combining deal count, win rate, deal size, and sales cycle length.
If a company's Customer Acquisition Cost (CAC) exceeds its Customer Lifetime Value (CLV), what does this indicate?
Answer: The business model is financially unsustainable
When CAC > CLV, the company spends more to acquire customers than those customers generate in value, making the model unsustainable.
A marketing team measures 'earned media value (EMV).' This KPI primarily quantifies:
Answer: The estimated value of unpaid brand mentions and coverage
EMV estimates the monetary equivalent of organic brand coverage (press mentions, social shares, reviews) by comparing it to equivalent paid media costs.