{"id":446,"date":"2021-05-03T17:24:00","date_gmt":"2021-05-03T17:24:00","guid":{"rendered":"http:\/\/321-growth-academy-2023.local\/growth-snacks-metrics-101-recap\/"},"modified":"2023-11-02T21:12:04","modified_gmt":"2023-11-02T21:12:04","slug":"growth-snacks-metrics-101-recap","status":"publish","type":"post","link":"https:\/\/321growthacademy.com\/growth-snacks-metrics-101-recap\/","title":{"rendered":"Growth Snacks: Metrics 101 (Recap)"},"content":{"rendered":"\n<p>Metrics matter.<\/p>\n\n\n\n<p>Sometimes you have to track metrics for no other reason than your investors want you to track them. In that case, you\u2019d better do it!<\/p>\n\n\n\n<p>However, tracking metrics also affords entrepreneurs the opportunity to measure the efficacy of their practices. Everything from sales, to marketing to performance can \u2013 and should \u2013 be tracked.<\/p>\n\n\n\n<p>But where to start? Which metrics should you track, and how do you know that the metrics you\u2019re tracking are worth the trouble?<\/p>\n\n\n\n<p>That\u2019s a great question and the answer to all great questions&nbsp;<em>is:<strong>&nbsp;it depends!<\/strong><\/em><\/p>\n\n\n\n<p>We know tracking and utilizing metrics can be a tall order for a lot of founders, which is why we sought out to give the 321 community a primer on the wide world of metrics at our most recent Growth Snack.<\/p>\n\n\n\n<p>Lets dive in.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Unit economics: What are they and how do you calculate them?<\/h2>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"http:\/\/321growthacademy.com\/wp-content\/uploads\/2023\/10\/zoom_0.mp4.png\" alt=\"\" class=\"wp-image-27292\"\/><\/figure>\n\n\n\n<p>Unit economics measures whether you are making money off a customer or user, in a typical deal. Think of it as a \u201cper customer ROI\u201d metric. It\u2019s margin math. Unit economics basically asks, \u201cwith every new customer you add, are you making money?\u201d.<\/p>\n\n\n\n<p>Without a firm grasp on unit economics, it becomes very hard to:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Protect your cash and working capital<\/strong><\/li>\n\n\n\n<li><strong>Scale your customer acquisition<\/strong><\/li>\n\n\n\n<li><strong>Set meaningful KPIs or other metrics<\/strong><\/li>\n\n\n\n<li><strong>Know if your business model or company is sustainable<\/strong><\/li>\n\n\n\n<li><strong>Set \u201cgood\u201d pricing<\/strong><\/li>\n<\/ul>\n\n\n\n<p>and so much more! If you\u2019re just starting to put together your unit economics, we\u2019d encourage you to check out this&nbsp;<a href=\"https:\/\/medium.com\/@markhazlett\/basic-of-unit-economics-79f1d6cae085\">blog from Medium<\/a>, which will serve as a great jumping off point. If you\u2019ve already had some experience calculating your unit economics, but need some ideas on how to hone yours in, check out this&nbsp;<a href=\"https:\/\/financetrainingcourse.com\/education\/2019\/11\/unit-economics-for-startups\/\">blog here<\/a>.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Growth metrics (sales &amp; marketing)<\/h2>\n\n\n\n<p>Sales metrics are crucial in creating, managing, and optimizing repeatable sales processes. Without them, you run the risk of deluding yourself about your outcomes, and it becomes far more difficult to identify kinks in your sales chain.<\/p>\n\n\n\n<p>We suggest that you track a combination of efficiency and effectiveness metrics for maximum effect.<\/p>\n\n\n\n<p>By measuring your&nbsp;<strong><em>efficiency<\/em><\/strong>, you are tracking how to get the most out of your ongoing sales activity, things like raw counting totals on&nbsp;<strong>total calls, follow-ups and proposals<\/strong>&nbsp;fall under this category, as well as weekly time spent on outbound prospecting.<\/p>\n\n\n\n<p>Measuring&nbsp;<strong><em>effectiveness<\/em><\/strong>&nbsp;is all about outcomes. Ask yourself \u201cis our sales activity leading to the outcomes we were hoping to achieve?\u201d. Be sure to measure conversion percentage at each stage of your sales cycle&nbsp;<strong>(i.e&nbsp; % of first calls, % of follow-ups, % of demos, etc.)<\/strong>&nbsp;&nbsp;to identify any inefficiencies<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"http:\/\/321growthacademy.com\/wp-content\/uploads\/2023\/10\/zoom_0.mp4-2.png\" alt=\"\" class=\"wp-image-27293\"\/><\/figure>\n\n\n\n<p><strong>Marketing metrics<\/strong>&nbsp;are a different side of the same coin. You are still measuring for effectiveness and efficiency; it just looks a little different.<\/p>\n\n\n\n<p>Metrics like&nbsp;<strong>cost per lead (CPL), cost per opportunity (CPO) and annual contract value (ACV)&nbsp;<\/strong>can give you a good idea on the effectiveness of your marketing campaigns, while analyzing trends in your unit economics as well as metrics like your&nbsp;<strong>churn rate<\/strong>&nbsp;can give you an idea of your marketing efficiency.<\/p>\n\n\n\n<p>There is no shortage of marketing metrics to track but if your head is spinning from all these metrics and you don\u2019t know where to start, we recommend looking at this blog from HubSpot called&nbsp;<a href=\"https:\/\/blog.hubspot.com\/blog\/tabid\/6307\/bid\/34054\/the-6-marketing-metrics-your-ceo-actually-cares-about-cheat-sheet.aspx?__hstc=178397947.45d2f8db7f35ff0b981b2836fc4d7e20.1613588742437.1621654463784.1621680194771.60&amp;__hssc=178397947.12.1621680194771&amp;__hsfp=673345471\">\u201cThe 6 Marketing Metrics Your CEO Actually Cares About\u201d.<\/a><\/p>\n\n\n\n<p>The most important thing when tracking metrics \u2013 whether it be sales, marketing or otherwise \u2013 is to ensure that what you are tracking is aligned with your goals.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">What\u2019s next at 321<\/h2>\n\n\n\n<p>We have a bunch of great events coming down the pipeline this spring, starting off with our May&nbsp;<a href=\"https:\/\/us02web.zoom.us\/meeting\/register\/tZModeitpz4uEtY6TL4NpRQQPZQakZeE0d1h\">community meetup<\/a>, featuring two sales leaders, eager to share with you their experiences in scaling effective sales processes! There will then be an opportunity for those in attendance to have their sales questions answered at a corresponding Q&amp;A!<\/p>\n\n\n\n<p>Next up, we have the latest edition of&nbsp;<a href=\"https:\/\/www.eventbrite.ca\/e\/growth-snack-copywriting-getting-your-message-across-registration-149922262523\">Growth Snacks<\/a>, this time focusing on the craft of copywriting, where we will be editing some community submitted sales emails in real time!<\/p>\n\n\n\n<p>Be sure to attend one or both to see how they \u201cmeasure\u201d up.<\/p>\n\n\n\n<h1 class=\"wp-block-heading\">Let\u2019s connect<\/h1>\n\n\n\n<p>Don\u2019t be a stranger! Connect with us on&nbsp;<a href=\"https:\/\/www.linkedin.com\/company\/17963644\/admin\/\">LinkedIn<\/a>,&nbsp;<a href=\"https:\/\/twitter.com\/321Growth\">Twitter<\/a>&nbsp;or&nbsp;<a href=\"https:\/\/instagram.com\/321growth?igshid=1rwfjqw0fil1x\">Instagram<\/a>&nbsp;(or all three!) and be sure to check out our&nbsp;<a href=\"https:\/\/321growthacademy.com\/\">website<\/a>&nbsp;for more information on all things 321<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Metrics matter. Sometimes you have to track metrics for no other reason than your investors want you to track them. In that case, you\u2019d better do it! However, tracking metrics also affords entrepreneurs the opportunity to measure the efficacy of their practices. Everything from sales, to marketing to performance can \u2013 and should \u2013 be&hellip;<\/p>\n","protected":false},"author":2,"featured_media":454,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[6,8,7],"tags":[17,13,18,19,20],"class_list":["post-446","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-events","category-marketing","category-sales","tag-321-growth-academy","tag-growth-marketing","tag-growth-snacks","tag-metrics","tag-sales"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v24.3 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Growth Snacks: Metrics 101 recap - 321 Growth Academy<\/title>\n<meta name=\"description\" content=\"Tracking metrics is integral to making sound business decisions for your startup. Read our blog to learn about how you can get started.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/321growthacademy.com\/growth-snacks-metrics-101-recap\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Growth Snacks: Metrics 101 recap - 321 Growth Academy\" \/>\n<meta property=\"og:description\" content=\"Tracking metrics is integral to making sound business decisions for your startup. 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