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30 Simplified KPI Terms for Business

30 Simplified KPI Terms for Business

30 Simplified KPI Terms for Business

 

 

Welcome to our guide on 30 simplified KPI (key performance indicator) terms for business!

In today’s fast-paced and data-driven world, it’s important for businesses to measure their success and track their progress towards goals. That’s where KPIs come in. These metrics help you understand how well your business is performing and identify areas for improvement.

 

 

 

 

  1. KPI (Key Performance Indicator) – A measurable value that demonstrates how effectively a company is achieving its key business objectives.

 

 

  1. Revenue – The total income generated by a company through sales of goods or services.

 

 

  1. Profit – The financial gain made by a company after all expenses and costs are deducted from total revenue.

 

 

  1. ROI (Return on Investment) – A measure of the profitability of an investment, calculated as a percentage of the initial investment.

 



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  1. Sales Growth – The increase in total sales over a specified period of time.

 

 

  1. Customer Retention Rate – The percentage of customers that continue to do business with a company over a given period of time.

 

 

  1. Conversion Rate – The percentage of website visitors who take a desired action, such as making a purchase or filling out a form.

 

 

  1. Customer Lifetime Value (CLV) – The predicted net profit from the entire future relationship with a customer.

 

 

  1. Cost per Lead (CPL) – The total cost of acquiring one lead through marketing and sales efforts.

 

 

  1. Churn Rate – The percentage of customers that stop doing business with a company over a given period of time.

 

 

  1. Customer Acquisition Cost (CAC) – The total cost incurred to acquire one new customer.

 

 



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  1. Gross Margin – The percentage of revenue that is left after deducting the cost of goods sold.

 

 

  1. Net Promoter Score (NPS) – A measure of customer loyalty and satisfaction based on how likely they are to recommend a company to others.

 

 

  1. Return on Advertising Spend (ROAS) – A measure of the effectiveness of an advertising campaign, calculated as a ratio of total revenue to advertising costs.

 

 

  1. Average Order Value (AOV) – The average amount spent by customers per transaction.

 

 

  1. Cost of Goods Sold (COGS) – The direct costs associated with producing goods or services.

 

 

  1. Average Revenue per User (ARPU) – The average amount of revenue generated by each user or customer.

 

 

  1. Website Traffic – The amount of visitors to a website over a given period of time.

 

 

  1. Time on Page – The average amount of time users spend on a specific page on a website.

 

 

  1. Bounce Rate – The percentage of visitors who leave a website after only viewing one page.

 

 

  1. Click-Through Rate (CTR) – The percentage of people who click on a specific link or advertisement.

 

 

  1. Cost per Click (CPC) – The cost incurred for each click on an advertisement or link.

 

 

  1. Organic Traffic – Website visitors that come to the site through unpaid, natural search engine results.

 

 

  1. Cost per Acquisition (CPA) – The cost of acquiring one customer through marketing and sales efforts.

 

 

  1. Email Open Rate – The percentage of people who open an email from a company or brand.

 

 

  1. Social Media Engagement – The level of interaction and involvement that users have with a brand on social media platforms.

 

 

  1. Search Engine Ranking – Where a website or page appears in the results of a search engine query.

 

 

  1. Return on Time Invested (ROTI) – A measure of the productivity and efficiency of time spent on a specific task.

 

 

  1. Customer Satisfaction Score (CSAT) – A measure of how satisfied customers are with a company’s products or services.

 

 

  1. Employee Turnover Rate – The percentage of employees who leave a company over a given period of time.

 

 

 

 

 

 

 

 

So there you have it, 30 simplified KPI terms that you can use to track and measure your business success. We hope this list has helped make understanding and utilizing KPIs a little easier for you.

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