Business Metrics & Key Performance Indicators

To ensure that your business is using the correct Business Metrics and KPI’s it is important that the KPI’s match your business strategy. To get you started on the correct route we have listed just some of the KPI’s we use in our Data Discovery Portals.

Finance

Total Revenue

Total Revenue = Price of goods or services x Quantity sold

Net Profit

Net Profit = Total Revenue – Total Expenses (including operating expenses, financing costs and taxes)

Net Profit Margin

Net Profit Margin = (Net Profit / Revenues) x 100

Gross Profit Margin

Gross Profit Margin = ((Revenue – Cost of Goods Sold) / Revenues) x 100

Net Income

Net Income = Total Income – Total Expenses (including operating expenses, financing costs and taxes)

Sales

Total Sales = Price of goods or services x Quantity sold

EBIT

EBIT = Revenue – Operating Expenses

EBITDA

EBITDA = Revenue – Expenses (excluding interest, tax, depreciation and amortization)

ROI – Return On Investment

ROI = (gain from Investment – cost of investment) / cost of investment

Sales & Marketing

Cost Per Lead

Average cost per lead = total money spent on marketing campaign/ total leads generated

Conversion Rate

Conversion Rate = (Number of Goal Achievements / Visitors) x 100

Revenue Per User

RPU = Total Revenue / Total Users (Customers)

Quotation Conversion Rate

Quotation Conversion Rate = (Number of Successful Quotes / Number of Quotes submitted) x 100

Note: Definitions are obtained from the full list of KPI’s provided by the Advanced Performance Institute.