Step 4.2: The Framework / Finding Baseline (Core vs. General KPI's)

The Framework you need to find Baseline.

We need to get to a place where your marketing data is clear and actionable.

I call this beginning phase your Baseline.

I’m going to layout all of the data points I look at it as it relates to our entire marketing funnel outlined in this course. All of the the KPI’s (Key Performance Indicators) that I track for the digital marketing plan we have in place for Heavenly Greens.

The Core KPI (top level) numbers I ultimately focus on to prove success will bubble up as a result of the cumulative general data points below. All of our calls and webforms are tracked and a specific phone# for each marketing channel.

All Ad-outlets (Core KPI's)

Paid Traffic (Google, Bing, Yahoo, Youtube, FB)
Website Traffic
Total Lead Flow
Total Phone Calls
Total Appointments set
Total Appointments ran
Closing percentage
Total Sales

The folks that didn’t set an appointment that came in as a lead, or the folks that did not buy from us, are still in our marketing automation systems and will continue to get our monthly published content. This will continue until they do become customers (which we see happen a lot, sometimes a year or more later) or opt out of our marketing messages altogether.

Finding Baseline (Core vs. General KPI’s)

Typically I will focus on 2-types of KPI groups:

Core KPI’s
General KPI’s

There is a certain feeling of calm that will come over you when you are in command of your marketing data. Once you're in a place where baseline has been established, your marketing budget is easier to plan for as it relates to forecasting on next year's sales.

I tend to use all of those data points that I outlined above to measure out baseline metrics for YoY (year over year), MoM (month over month) or quarterly success metrics.

looking above, notice Leads are not part of my Core KPI list?

I really don’t care about leads. Sure leads are vital, however leads are just a byproduct of marketing. Leads typically stay locked inside marketing automation until they move to the next step in the system and become an appointment, an income generating activity.

Until then leads are not counted as a Core KPI, why? Because I can't make money on a Lead.

Leads are the lifeblood of the Top & Middle of the funnel, where our marketing automation and monthly newsletters are used to stay in contact with these prospects. However, these folks will raise their hand so to speak, when they’re ready for the next step of the Buyer’s Journey; the appointment and sales consultation, or Bottom of the Funnel stage.

In order to make money we need to have appointments being set, actual presentations being made and deals getting closed. Both of these General and Core KPI metrics are well established and predictable for Heavenly Greens because we know our Baseline numbers.

When I refer to baseline, I’m looking to establish a reference point that I/we can measure performance off of. If I don’t know my marketing performance numbers from September last year, how am I going to measure my success or failure for September the next year?

Did I overspend or underspend, or am I just buying leads and hoping for the best?

The first thing you need to do is get your Baseline numbers established and recorded. Start tracking your core KPI’s as soon as you can in order to better understand your seasonality and last year's success metrics. Knowing your Baseline from the prior year will help plan for the next selling season.

Generally speaking you can measure 3-year increments to establish trend lines and forecasting models. Obviously that statement can vary greatly, however generally speaking a 3-year block of data can tell you a lot about the business.

Setting up these systems will provide the framework to establish your Baseline Numbers.

What are your thoughts? Share below in the comments.

Lets go to the next one: Step 4.3: Creating Your Marketing Systems

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