MO Performance Measurement & KPIs 3

Question 1

A SaaS company's monthly churn rate is 5%. What is the approximate average customer lifespan?

Accepted Answer

20 months

Answer

Average customer lifespan = 1 / churn rate = 1 / 0.05 = 20 months.

Question 2

Which metric measures the percentage of a target audience reached by a marketing campaign at least once?

Accepted Answer

Reach

Answer

Reach is the percentage of the target audience exposed to a campaign at least once during a given period.

Question 3

A paid search campaign generates $50,000 revenue from $10,000 in ad spend. What is the Return on Ad Spend (ROAS)?

Accepted Answer

5x

Answer

ROAS = revenue / ad spend = $50,000 / $10,000 = 5x, meaning $5 generated per $1 spent.

Question 4

A content marketing team measures 'time on page' as a KPI. A sudden drop in this metric most likely indicates what?

Accepted Answer

Reduced content relevance or quality

Answer

A drop in time on page typically signals that visitors are not finding the content engaging or relevant to their needs.

Question 5

Which attribution model gives 100% of conversion credit to the last marketing touchpoint before purchase?

Accepted Answer

Last-click attribution

Answer

Last-click attribution assigns all conversion credit to the final touchpoint, ignoring all earlier interactions in the customer journey.

(MO) Marketing Officer Certification Practice Test