404 – 10 Marketing & Sales KPIs that Actually Matter for Remodelers & Custom Builders – FLASHBACK
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Calculate your 'all-in' Cost to Acquire a Customer (CAC) by summing all marketing and sales expenses and dividing by the number of new customers acquired.
Compare your CAC to the average gross margin of a project; aim for at least a three-to-one ratio (gross margin to CAC) for sustainable growth.
Track the amount of 'front-end cash' collected from new customers in the first 30 days to determine your time to break even on acquisition costs.
Differentiate leads into 'leads', 'marketing qualified leads' (MQLs), and 'sales qualified leads' (SQLs) to accurately measure funnel effectiveness.
Measure customers acquired from each channel by quantity, project type (e.g., kitchen, bathroom), and project size (dollar volume) to understand channel value.
Monitor 'influencing KPIs' like website traffic (organic/paid) and conversion rates to leads as early indicators of future sales pipeline health.
Regularly review your KPIs, as channel performance can change over time, requiring adjustments to your marketing and sales strategies.
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