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KPI for Measuring of CRM costs as a % of Total Operational Costs posted in category CRM

WinningKPI - CRM - KPI for Measuring of CRM costs as a % of Total Operational Costs posted in category CRM Oana Boteanu This indicator is for measuring the total CRM costs as a % of the total operational costs of the company. This is calculated by dividing the total CRM costs by the total operations costs.
This KPI is used as an indicator of the budget value of CRM efforts as a % of all operational costs. Based on this KPI a company has the necessary information to amend the budget (and understand impact on other budgets), measure budget against performance etc.
It can be used in conjunction with other CRM KPIs such as Total CRM Cost, Total CRM cost per employee, Sales Productivity Growth, Net Profit Increase etc.

Formula:
Total CRM Costs / Total Operational Costs x 100

KPI Unit: %

KPI Time Frame: update annually

Posted by Oana Boteanu | Help to protect community: Flag for moderation

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KPI Expert CRM is a very important cost, which should be considered fundamental of operations expenditure.

Let’s assume the following example:

Company A spends $100m on operationtional costs annually

CRM costs annually: 9m

CRM costs % of Total Operational Costs:
9/100 x 100 = 9 %

Hence, CRM cost take up to 9% of the Total Operations Expenditure.

Oana Boteanu | + | October 1, 2012 at 5:19 pm

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