You can’t grow what you don’t measure. Key Performance Indicators (KPIs) are the compass of business development, helping you track progress, spot bottlenecks, and make data-driven decisions. In this post, we’ll break down the essential KPIs that every business developer should monitor.
1. Revenue Metrics
- Monthly Recurring Revenue (MRR)
- Customer Lifetime Value (CLV)
- Average Deal Size
2. Acquisition Metrics
- Customer Acquisition Cost (CAC)
- Lead Conversion Rate
- Traffic-to-Lead Ratio
3. Retention & Engagement
- Churn Rate
- Repeat Purchase Rate
- Net Promoter Score (NPS)
4. Operational Efficiency
- Sales Cycle Length
- Time to First Value (TTFV)
- Pipeline Velocity
Real-World Scenario
A B2B SaaS company noticed flat revenue despite rising traffic. By tracking CAC and conversion rates, they discovered their landing page was underperforming. After redesigning it and optimizing CTAs, their conversion rate jumped by 35%, and CAC dropped by 20%
