This is a very useful KPI, especially when used to determine if a marketing campaign or sales promotion has been successful. For instance, a company may have invested in a new marketing campaign and set as KPI that in the next quarter the campaign will bring a 20% of new customers.
Although businesses can put in place strategies and campaigns to attract new customers, sometimes it can be hard to measure it, as it is rather impossible to know how many customers were gained due to the campaign.
For example, a restaurant that advertised on the radio cannot be exactly sure how many new customers they gained because of the radio advert, or because of other reasons (word of mouth, simply walking past the business, better weather conditions etc.)
However, certain campaigns are easier to monitor, when they are done via specific measurable channels.
If the restaurant joined Groupon (online discount website) with a 2 for 1 deal for a specific month, they will be able to measure the exact new customers that came with the Groupon ticket (assuming that only new customers use the offer, and not existing customers).
% of New customers:
Total customers that month: 1000
New customers with Groupon Tickets: 80
80/1000 x 100 = 8%
Hence the Groupon campaign brought a total of 8% new customers in that month
Oana Boteanu | + | September 6, 2012 at 8:15 am
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