Where effort pays.
WHAT TO MEASURE PER CHANNEL
Enquiries produced Customers produced Cost Cost per customer Margin from those customers
WHY MARGIN RATHER THAN REVENUE
A channel producing high revenue at poor margin may be worth less than a smaller one.
WHAT THAT REQUIRES
Recording how each customer arrived.
WHAT TO COMPARE
Cost per customer against what a customer is worth.
WHAT TO LOOK FOR
Channels producing enquiries that never convert Channels producing few customers of high value Channels you assume work
THAT LAST ONE
Assumptions about channels are frequently wrong, and expensive.
WHAT TO ALLOW FOR
Delay. Some channels produce customers months later.
Measure over a period long enough to capture that.
WHAT TO DO WITH FINDINGS
Shift effort toward what produces profitable customers.
WHAT TO TEST BEFORE ABANDONING A CHANNEL
Whether conversion rather than the channel is the problem.
WHAT TO REVIEW
Quarterly.
