Key performance indicators (KPIs) are important to any print catalog or digital marketing business. Knowing how often and which KPI to track can make a huge difference to your profit and loss (P&L) statement. You need to separate the “nice to know” from the “need to know” information. Tracking nonessential KPIs might make you feel good, but are they measurable and will they make a difference in your business?
First of all, KPIs need to be quantifiable. They need to be actionable, too. Tracking something that cannot be measured or improved upon isn’t important. Ask yourself what you’re going to do with the KPIs you track. For example, can changes be made to a particular KPI that will improve performance?
Over the years, I’ve seen companies go into time-consuming detail to track results and data that would give them a headache. I’ve seen pretty graphs and KPIs that weren’t important. This month, I want to share with you the universal KPIs that I feel are important to track and watch on a regular basis. What’s important is not any particular week or month, but rather the trend over a given period of time. Here are the catalog KPIs that I feel are important to track at least on a monthly basis.
The gross dollars per catalog, especially as it relates to the catalog breakeven (on a per book basis), is most important. Break-even points have always varied by mailer due to different factors. A common range of break-even points was $1.00 to $1.25 per book. Based on…