Key performance indicator (KPI)
Key performance indicators (KPIs) are established, measurable values used to track the effectiveness of an organization’s commercial strategies and operations across functions such as sales, marketing, and partnerships. By establishing key performance indicators, businesses are able to evaluate the performance of given initiatives and make data-driven decisions on how to improve commercial outcomes. Typically, sales and marketing KPIs are related, but often each has a standard set.
Sales KPIs: Market Share, Revenue, Sales Cycle Length, Lead Conversion Rate, Average Deal Size (Average Contract Value), Sales Pipeline, Revenue Retention, Net Dollar Retention
Marketing KPIs: Lead Generation, Marketing Qualified Leads, Customer Acquisition Cost, Content Engagement Rates, Return on Marketing Investment (ROMI)