When you’re actively trying to generate new leads for your recruitment business, it’s important to measure the success of your efforts so that you know what works – and what doesn’t.
Knowing which KPIs and metrics to track can help you to get more valuable leads, boost the lifetime value of the customers you invest in, and increase your monthly revenue.
Here are 12 of the most important lead generation KPIs and metrics that you should be tracking, if you prefer to skip ahead, feel free:
The 12 KPIs…
1. Website traffic
Web traffic is a KPI that helps you to assess how well your marketing campaigns are attracting visitors to your site. You can track the number of sessions or users to your site, once you’ve chosen the metric, stick with it for consistency.
Tools like Google Analytics track website traffic to monitor how much traffic your site gets and where visitors are coming from. This can help you to identify what your target customers want and how to deliver this to them.
2. Engagement rate
Tracking customer engagement lets you know how engaging your content is. You can track engagement on social media channels and blogs by recording the number of likes, comments, and shares your content gets.
High engagement means that customers are actually reading and enjoying your content, while poor post engagement indicates you need to adjust your content strategy and make sure you’re posting content of value across all of your marketing channels.
3. Bounce rate
The bounce rate of your landing pages tell you how often users visit your site and leave straight away, viewing only one page. If you have a high bounce rate, this tells you that people aren’t finding what they need on your site.
Tracking your bounce rate helps you to understand how well-targeted your current marketing content is and how optimised your landing page is for conversions.
4. Conversion rate
Your conversion rate measures the number of leads who actually go on to convert through one of your contact forms. A low conversion rate indicates that your marketing campaigns aren’t actually resulting in more leads, which is a red flag.
Always track your conversion rate and investigate unexpected drops in conversion for broken links, poor content, or a lack of targeting. You can also track your conversion rates for different campaigns and use this figure to tweak and optimise future marketing campaigns to maximise conversions in the future.
5. Inbound response time
Inbound lead generation is about letting new leads to come to you. Measuring how long it takes for recruiters to respond to inbound leads can help you learn how efficient your process is and whether inbound leads are receiving the level of service they expect.
Keeping your response time to inbound messages to a minimum is really important, especially if you’re operating a live chat function. Some firms have their leads qualified by the marketing team first before passing them to the sales or recruitment teams.
6. Cost per acquisition (CPA)
The cost per acquisition, or CPA, is how much money you spend generating each lead that you acquire. You can calculate your CPA by dividing your total campaign marketing spend by the number of new customers who came from that campaign.
Keeping your CPA as low as possible shows that your marketing campaigns are cost-effective and worthwhile.
7. Meetings booked and attended
If new clients are booking and attending meetings with your recruiters, this is a sign that you’re doing something right. Recording how many new leads actually go on to book and attend meetings can help you to understand what percentage of new leads finally convert.
A high number here indicates that you’re chasing after high-quality leads and may help you to predict your sales qualified opportunities (SQOs) too.
8. Lead value and quality
Calculating the lifetime value of a customer requires that you first work out how much value a lead brings to your business.
This KPI helps you to understand how much revenue each lead brings in. Calculate it by dividing the total sales value by the total leads within a given set or category; for example, you may calculate the lead value of leads coming from Instagram.
9. Sales qualified opportunities (SQOs)
Sales qualified opportunities, or SQOs, is marketing speak for prospects or leads that where there is a live opportunity. The criteria for each lead term varies from firm to firm, but often an SQO is where a proposal has been sent and the sales process is in full swing.
Measuring how many SQOs your lead generation tactics result in is a good indication of how good your conversion rates are and how much value you’re getting from each of the customers that you acquire.
10. Customer lifetime value (CLV)
The lifetime value of a customer is the value of the lead multiplied by the average customer lifespan. Customers with a higher CLV are worth more, over time, to your business, so they’re worth investing more time and resources into.
Knowing the CLV of your customers can help you to determine where to allocate your marketing budget to maximise long-term value.
11. Average deal size
Your average deal size is the total revenue you achieve in a set period of time divided by the number of won opportunities during the same period. This measures the size and value of the deals you’re making and helps marketers to assess whether they’re targeting the right type of clients or not.
12. Revenue and ROI
Revenue and return on investment (ROI) are key indicators of success in any campaign or project. Revenue is how much money you make from customers, while ROI is how much money you make divided by the amount of money that you spent on acquiring them.
High revenue is obviously positive, but if you’re spending a lot of money to reach that figure, it isn’t always good for your business. Calculating your ROI is the best way to assess whether the investment you’re making in marketing is actually paying off, and how much.
Do you need help tracking your KPIs and metrics to maximise the effectiveness of your lead generation strategies? We can take care of all this for you. Contact us or follow theLEAP and Nicola Gomme on LinkedIn for more marketing advice for recruitment firms.
