Section 11/14

Metrics & Measurement

KPIs, Tracking & Reporting Framework

Primary Objective & Metrics

Primary Objective

Goal: CAC ↓ + LTV ↑ + REVENUE ↑

Timeline: April-September 2026 (6 months)

Focus: Optimize the metrics, not chase revenue numbers

Success Metrics: LTV:CAC ratio ≥ 3:1, Repeat purchase rate ≥ 40%

Customer Acquisition Cost (CAC)

Formula: Total Marketing Spend / New Customers

Target: $30-50 per customer

Frequency: Weekly tracking

Why: Indicates marketing efficiency

Lifetime Value (LTV)

Formula: Average Order Value × Repeat Purchase Rate × Customer Lifespan

Target: $300-500 per customer

Frequency: Monthly tracking

Why: Indicates customer profitability

LTV:CAC Ratio

Formula: LTV / CAC

Target: 3:1 or higher

Frequency: Monthly tracking

Why: Indicates business health and sustainability

Conversion Rate

Formula: Conversions / Visitors × 100

Target: 2-4% (varies by channel)

Frequency: Daily tracking

Why: Indicates landing page and funnel effectiveness

Secondary Metrics by Channel

Instagram & Social Media

Engagement Rate: (Likes + Comments + Shares) / Followers × 100

Reach: Total unique users who saw the post

Impressions: Total times the post was displayed

Click-Through Rate (CTR): Clicks to link / Impressions

Follower Growth: Net new followers per month

Email & SMS

Open Rate: Emails opened / Emails sent

Click Rate: Clicks / Emails opened

Conversion Rate: Purchases / Emails sent

Unsubscribe Rate: Unsubscribes / Emails sent

Revenue per Email: Total revenue / Emails sent

Landing Pages

Conversion Rate: Conversions / Visitors

Average Order Value (AOV): Total revenue / Orders

Bounce Rate: Single-page sessions / Total sessions

Time on Page: Average seconds spent on page

Cost per Conversion: Ad spend / Conversions

Influencer Partnerships

Engagement Rate: (Likes + Comments) / Followers

Reach: Total unique users who saw the post

Clicks to Link: Traffic from influencer post to landing page

Conversions Attributed: Sales from influencer traffic

Cost per Acquisition (CPA): Influencer fee / Conversions

Retention & Repeat

Repeat Purchase Rate: Customers who bought 2+ times / Total customers

Churn Rate: Customers who didn't return / Total customers

Average Order Frequency: Total orders / Total customers

Customer Retention Rate: (Customers at end - New customers) / Customers at start

Net Promoter Score (NPS): Customer satisfaction and likelihood to recommend

Reporting Schedule

Daily

• Conversion rate (all channels)

• Traffic (organic + paid)

• Revenue

• CAC (rolling)

Weekly

• Channel performance breakdown

• Social media engagement

• Email/SMS performance

• Influencer post performance

Monthly

• LTV:CAC ratio

• Repeat purchase rate

• Churn rate

• A/B test results

Quarterly

• Strategy review

• Budget reallocation

• Channel optimization

• Goal adjustment

A/B Testing Framework

Testing Methodology

What to Test

Landing pages (headlines, CTAs, images), Email subject lines, Ad copy, Pricing, Offers, Post timing, Content format

Test Duration

Minimum 1 week, or until 100+ conversions (whichever is longer)

Success Criteria

Statistically significant difference (95% confidence), Positive impact on primary metric (CAC or LTV)

Frequency

2-3 tests per month per channel, Continuous optimization

Connection to Strategy

✓ Metrics directly measure progress toward CAC and LTV goals

✓ Weekly reporting enables rapid optimization and course correction

✓ A/B testing ensures data-driven decision making

✓ Channel-specific metrics guide budget allocation

✓ LTV:CAC ratio indicates overall business health and sustainability