If you’re running a business, then you know that generating leads is key to your success.

But how do you know if your lead generation efforts are working?

And how can you track and improve your performance?

In this blog post, we’ll discuss 17 of the best lead generation KPIs (Key performance indicators) and metrics you need to track for your business.

By monitoring these indicators, you’ll be able to fine-tune your lead gen strategy and improve your results!

But wait!

It’s important to have the right lead generation strategy before you start tracking your lead gen metrics.

If you don’t have an effective lead gen strategy, it doesn’t matter which lead generation metrics you track… Any changes you make will not improve your results.

So before you track your lead generation metrics, make sure you have the right strategy!

What is the best lead generation strategy?

There are hundreds of marketing strategies to choose from.

But if your goal is to get more high-quality qualified leads (instead of a large amount of low-quality leads), then check out this free training video.

This video will go through how to get 10, 15, 30 or more high-quality appointments each month with your ideal clients.

Finished watching the training?

Great!

Now that you have the right strategy in place, here are the best lead generation metrics to track in your digital marketing.

1. Cost per acquisition (CPA)

Cost per acquisition

The most important metric in any digital marketing strategy is the cost per acquisition or CPA.

This is the total cost of your marketing campaign divided by the number of new customers acquired.

For example, if you spend $5,000 on a marketing campaign and you acquire 5 new customers, then your CPA is $1,000.

If you sell a product or service for a lot more than $1,000, then you’ll be profitable (also known as your Return on Investment or ROI).

The lower your CPA, the more profitable your lead generation campaigns will be.

To lower your CPA, you need to focus on generating high-quality leads that are more likely to convert into paying customers.

It’s all about quality over quantity!

2. Customer Lifetime Value (CLTV)

Customer lifetime value

Your customer lifetime value or CLTV is the total amount of revenue that a customer will generate over the course of their relationship with your business.

To calculate your CLTV, you need to know two things:

  • The average length of time a customer remains active with your business (customer retention rate)
  • The average amount of money each customer spends each month (average monthly spend)

For example, if the average customer stays active for 12 months and spends $100 per month, then their CLTV would be $1200.

CLTV is important because it allows you to understand how much money you can afford to spend on acquiring new customers.

If your CPA is less than your CLTV, then you’re making a profit on each new customer!

If your CPA is higher than your CLTV, then you’re losing money on each new customer.

You need to make sure that your CPA is lower than your CLTV in order to be profitable in the long run.

3. Return on ad spend (ROAS)

Return on ad spend (ROAS)

Your return on ad spend or ROAS is a metric that measures how much revenue you generate for every dollar you spend on advertising.

For example, if you spend $1,000 on ads and you generate $3,000 in revenue, then your ROAS would be 300%.

ROAS is important because it allows you to understand how effective your ad campaigns are at generating revenue.

If your ROAS is high, then your ads are very effective and you should continue running them.

If your ROAS is low, then your ads are not effective and you should either make changes to them or stop running them altogether.

4. Cost per lead (CPL)

Cost per lead (CPL)

Your cost per lead or CPL is the total cost of your marketing campaign divided by the number of new leads acquired.

For example, if you spend $1,000 on a marketing campaign and you acquire 100 new leads, then your cost per lead is $1,000/100 = $10 per lead.

CPL is important because it allows you to understand how much it costs you to generate each new lead.

The lower your CPL, the more profitable your lead generation campaigns will be.

If you’re running paid advertising, your cost per lead is likely to be more expensive.

If you’re generating leads for free using Google SEO, your cost per lead is likely to be much lower (or sometimes even free!).

5. Cost per appointment

Speaking on sales call

Your cost per appointment is the total cost of your marketing campaign divided by the number of new appointments scheduled.

For example, if you spend $1,000 on a marketing campaign and you schedule 10 new appointments, then your cost per appointment is $1,000/10 = $100 per appointment.

Your cost per appointment is important because it allows you to understand how much it costs you to generate each new appointment.

The lower your cost per appointment, the more profitable your lead generation campaigns will be.

To lower your cost per appointment, you need to focus on generating high-quality leads that are more likely to convert into paying customers.

6. Sales call conversion rate

Discussing sales call conversion rates

Your sales call conversion rate is the percentage of sales calls that result in a sale.

For example, if you make 100 sales calls and you close 20 of them, then your sales call conversion rate is 20%.

Sales call conversion rates are important to track because it allows you to understand how effective your sales team is at converting leads into clients.

The higher your sales call conversion rates are, the more revenue your business will generate.

To improve your sales call conversion rate, you need to make sure that your sales team is properly trained and that they’re using a script that has been proven to convert leads into clients.

If you’re not getting enough people attending the appointments in the first place, then that means your sales call attendance rate is low. Here are some strategies to increase your sales call show up rate.

7. Organic Traffic

SEO: Search Engine Optimization

Organic traffic is a crucial lead generation KPI because it tells you the number of visitors who come to your website from search engines such as Google, Yahoo, and Bing.

Organic traffic is great because it allows you to generate leads and sales without having to spend any money on advertising.

The leads generated from organic traffic (SEO) are also higher quality since these people are actively searching for a solution right now.

To rank higher on Google, you need to make sure that your website is optimized for search engines and that you’re regularly creating new content that your potential clients are searching for on Google.

You can track your organic traffic using Google Analytics and the Google Search Console.

8. Landing Page Conversion Rate

Landing page mock up

Your landing page conversion rate is the percentage of visitors who take the desired action on your landing page.

For example, if your landing page has a form that visitors need to fill out in order to download a free guide, and 100 people visit your landing page but only 20 of them fill out the form, then your landing page conversion rate would be 20%.

Landing page conversion rate is an important lead generation KPI because it allows you to understand how effective your landing pages are at converting visitors into leads.

The higher the number of conversions you get on your landing pages, the more leads you’ll generate from your website.

To improve your landing page conversion rate, you need to make sure that your forms are short and easy to fill out, and that your offer is something that your target audience wants.

You can track your landing page conversion rate using Google Analytics or your funnel landing page software, such as Kartra.

9. Email marketing stats

Email marketing stats

The email marketing stats to track are your open rates, click-through rates, and unsubscribe rates.

Email open rates

Your open rate is the percentage of people who open your emails.

For example, if you send 100 emails and 20 people open them, then your open rate would be 20%.

Open rates are important because they allow you to understand how effective your subject lines are and whether or not people are actually interested in the content of your emails.

The higher your open rates, the more likely it is that people will read your emails and take action on them.

To improve your email open rates, you need to make sure that your subject lines are clear and concise, and that you’re only sending emails to people who have opted in to receive them.

The average open rates for most email marketing campaigns are 20%. However, this number can differ from industry to industry.

Click through rates (CTR)

Click-through rate is the percentage of people who click on a link in your email.

For example, if you send an email with a link to your landing page and 100 people open the email, but only 5 of them click on the link, then your click-through rate would be 5%.

Click-through rates are important because they allow you to understand how effective your emails are at driving traffic to your website.

To improve your click-through rate, you need to make sure that your emails are well-written and that the links in your emails are clear and enticing.

A good click-through rate (CTR) would be 1-2%.

Unsubscribe rates

Your Unsubscribe rate is the percentage of people who unsubscribe from your email list after receiving one of your emails.

For example, if you send 100 emails and 2 people unsubscribe, then your unsubscribe rate would be 2%.

Unsubscribe rates are important because they allow you to understand how many people are no longer interested in receiving your emails.

The higher your unsubscribe rate, the more likely it is that you’re sending irrelevant or uninteresting emails. Or, it could be that the leads in your email list are not very good qual

To improve your unsubscribe rate, you need to make sure that you’re only sending emails to people who have opted in to receive them, and that the content of your emails is relevant and interesting.

You can track your unsubscribe rate using your email marketing software.

It’s a good idea to aim for an unsubscribe rate of 2% or less for each email you send out.

Why are email marketing KPIs important?

Email marketing stats are important because they allow you to understand how effective your emails are at converting leads into sales.

To improve your email marketing stats, you need to make sure that your subject lines are clear and concise, that you’re only sending emails to people who have opted in to receive them, and that the content of your emails is relevant and interesting.

You can track your email marketing stats using your email marketing software.

10. Bounce rate

Bounce rate example page stats

Your bounce rate is an important lead generation KPI to track because it allows you to understand how many people are leaving your website after only viewing one page.

A high bounce rate usually indicates that something is wrong with your website, such as slow loading times, poor design, or irrelevant content.

See also: Best wordpress speed optimization plugin

To improve your bounce rate, you need to make sure that your website is fast and easy to use, and that the content on your website is relevant and interesting.

You can track your bounce rate using Google Analytics.

11. Average time on page/session duration

Average time on page or session duration

Your average time on page and average session duration are important lead generation KPIs to track because it allows you to understand how long people are spending on your website.

A high average time on page/session duration indicates that people are finding your website interesting and are spending a lot of time on it.

To improve your average time on page/session duration, you need to make sure that the content on your website is well-written and relevant.

You can track your average time on page and average session duration using Google Analytics.

12. Pages per session

Pages per session

Your pages per session is an important lead generation KPI to track because it allows you to understand how many pages people are viewing on your website during each visit.

A high pages per session indicates that people are finding your website easy to use and are spending a lot of time on it.

To improve your pages per session, you need to make sure that the navigation on your website is easy to use and that the content on your website is well-written and relevant.

You can track your pages per session using Google Analytics.

13. Source of traffic

Analytics of different website traffic sources

Your source of traffic is a crucial lead generation KPI to track because it allows you to understand where your website traffic is coming from.

For example, a high percentage of organic traffic indicates that you’ve done a great job of optimizing your website for search engines.

You can track your source of traffic using Google Analytics.

14. Lead Conversion Rate

Lead Conversion Rate Stats

Your lead conversion rate are important lead generation metrics to track because it allows you to understand how many people are taking action on your website.

A high lead conversion rate indicates that people are finding your website easy to use and are taking the desired action, such as subscribing to your email list or buying a product.

To improve your lead conversion rate, you need to make sure that the call-to-action on your website is clear and that your website is easy to use.

15. Qualified Leads

A qualified lead is a potential customer who has been vetted and determined to be a good fit for your product or service.

There are different types of qualified leads, including:

Marketing qualified leads: These are leads that have been determined to be a good fit for your product or service based on their behavior, such as subscribing to your email list or visiting your website.

Sales qualified leads: These are leads that have been determined to be a good fit for your product or service based on their needs and budget.

Your sales team can track your marketing and sales qualified leads using a lead tracking system, such as a CRM or spreadsheet.

Other ways to qualify leads include:

  • Fit: Is this lead a good match for what you offer?
  • Budget: Does the lead have the budget to afford your product or service?
  • Authority: Does the lead have the authority to make decisions within their organization?
  • Need: Does the lead have a need for your product or service?
  • Timeline: Is the lead ready to purchase now, or do they need further nurturing?

Once you’ve qualified a lead, you can then start working on converting them into a paying customer. But first, you need to track how many leads you’re generating and qualifying in the first place.

16. Profit per lead

Your profit per lead are important lead generation metrics to track because it allows you to understand how much money you’re making from each lead.

A high profit per lead indicates that you’re generating high-quality leads that are converting into paying customers.

To improve your profit per lead, you need to focus on generating high-quality leads and improving your conversion rate.

17. Overall ROI

Increase your conversion rate ROI

Finally, you need to track your overall ROI from your lead generation efforts. This will allow you to see whether or not your investment is paying off.

There are a number of ways to calculate ROI, but a simple formula is:

ROI = (Revenue – Cost) / Cost

If your ROI is positive, then your lead generation efforts are profitable. If it’s negative, then you’re losing money.

Conclusion

By tracking all of these KPIs, you’ll be able to see what’s working and what isn’t so that you can adjust your strategy accordingly. Lead generation is an important part of any business, so make sure you’re tracking the right KPIs to ensure success.

If you need help with generating high-quality leads in the first place then check out my free training on how to get 10, 15, 30 or more predictable appointments each month with your ideal clients.

FAQs