Join Dayna Rothman for an in-depth discussion in this video Marketing attribution reporting, part of Advanced Lead Generation.
- [Instructor] So now I'm going to go through various important reports that you should have on your marketing team that show different levels of marketing attribution. So one of the first and most fundamental types of reports that you want to take a look at is the Demand Waterfall. So the Demand Waterfall shows where everything is in your funnel and how things move from stage to stage. So this is a particular report from the company, BrightFunnel, that shows where everything is coming in and then how it moves to each stage.
So as you can see at the top we have the Inquiry stage where there's, 11,000 leads, and then you see how it goes down to MQL, SAL, SQL, and onwards. And between each of these stages there is generally a conversion metric, so a percentage of conversion. Sow many inquiries turned into MQLs? How many MQLs turned into SALs? So this is a very important metric because it shows the health of your funnel and it shows how things move through it.
So executives will often want to see this because they will want to have a full picture of the sales funnel. And it's also really critical for the marketing team to take a look at because it does pinpoint potential problems in your funnel. So for instance if I'm looking at this and I see that there is a fairly lower conversion rate from Inquiry which is an open lead to an MQL. So I'm looking at 25%. So this might be okay if I'm in a very large company and I want to get very targeted, however if I'm in a smaller company, I might be wanting to see a higher conversion.
And this can be toggled up and down based on your own lead scoring and your internal processes. But the important part is that you are looking at these on a consistent basis. So if you do not have a tool like BrightFunnel you can actually also create this report. So the other things that I've done in the past before I've used BrightFunnel has been, you can go in Salesforce, you can pull the reports for each of these stages, and you can just do the math. You don't have like a pretty little funnel here and you do have to do the math yourself, however it can certainly be done.
So your Demand Waterfall shows what marketing is generating each quarter, so showing your executives and the board how many leads are coming in. How leads move through your funnel, so how leads are moving through, what the conversion rate is. The lead quality, again, if you do see that lower conversion rate between stages, so that might indicate that you need to toggle scoring or it might indicate that your inbounds, lead-generated leads, are not of high quality. So it also shows sales and marketing alignment, so how are things being handed off, is there an area of the funnel where leads are dropping out.
So it does show deal close rates and overall funnel health, so you can see from open opportunity to close what percentage of those opps are actually closing. By looking at those metrics you can really identify how your account executives and your sales team are performing. So next let's take a look at marketing impact. So these are the first touch, multi-touch, types of metrics that I spoke about in a couple slides prior. So the Marketing Impact of Sourced shows what percentage of deals and pipelines is sourced by marketing.
So generally you'll have deals that are sourced by marketing and then you will also have deals that are sourced by an AE, or an SDR, which could be part of sales. And so many sales organizations, they also have goals for outbounding, making their own connections with folks. Ideally you want to see a good percentage of deals sourced by marketing, a very healthy number would be between anywhere from 50% and up. This is Marketing Revenue Impact by Quarter First Touch, so the blue here is just overall revenue, and then the orange is the amount of revenue that marketing has touched.
So now let's look at a second report, marketing impact. So this is that multi-touch attribution, marketing influence. So what percentage of deals in pipeline is influenced by marketing? So this could be any type of marketing programs. When you're looking at a deal lifecycle of an account, there should be multiple marketing touches along the way. Whether it's emails, social, it could be events, it could be direct mail, any of these touches will count as having multi-touch influence for revenue and pipeline.
So this chart is kind of again similar, you will see blue here is overall revenue, and the orange is the multi-touch. So one thing I do want to say about multi-touch is that there are a couple different models that marketers will often choose. So there is an evenly weighted model and then there's a 40-20-40 model. A 40-20-40 model will assign 40% of the deal influence to the first touch, 40% to the last touch, and then 20% of all the touches in the middle.
So for me I don't love that type of model, I do feel like in today's buyer journey there are just so many different touches that I don't necessarily believe the first or the last touch has that much more of an impact than everything in between. And so an evenly weighted model will assign deal influence percentage to every single touch in that pipeline. So for influence you do want to see a very high number. Obviously the goal is to have 100% of deals in pipeline influenced by marketing.
If you're not seeing that, that means that marketing actually isn't touching some of the deals that are closing and you want to find out why. So when you're looking at Channel Metrics you want to look at the revenue percentage by channel. So even from a single touch or a multi-touch perspective, what channels are sourcing, or influencing, the most leads, MQLs, and specific opps, sourced by these channels. You can also see in track, deals touch, so what type of channels are actually touching deals in the opportunity stage.
What's the velocity from lead to opp and lead to deal, so many of these channels will have different velocities. So what I mean by that is the time in which it takes for a lead coming from one of these channels to turn to an opportunity, or from a lead to turn into something like a deal. So you might find, for instance, just anecdotally, that an inbound website lead will take longer to turn into a deal than something like a lead coming from a trade show. Then you also want to look at return on investment for all of these channels.
So now let's think through another measurement which is the Path to Sale. So how many marketing activities are required to win a deal and does that differ per channel? First let's take a look at the graph on the left-hand side. This graph is going to be showing average velocity for days and touches for all marketing leads. And so you can see here the average lead to opportunity timeframe is 302 days from an inbound channel, and then lead to opportunity is 139 days.
So this is definitely, these amount of days, you do want to see a little bit less days, especially if you're selling into smaller businesses. If you're selling into something like enterprise, this might be an appropriate amount of days for a lead to move through your funnel. So then you can also take a look at the average amount of touches that you're seeing in these different stages. In this particular example, you're seeing about 10 marketing touches in that lead to opp time and then another 11 touches in the opportunity to deal timeline.
And these are important things to take a look at because overall you want to see these number of days go down and maybe you want to see the amount of marketing touches go up. So we have to take a look also at the channels and how that affects Path to Sale. Can I see a difference in different channels? Are there certain channels that have a much lower amount of days between lead to deal? So I'm looking here on the bottom and I'm looking at content. So for content, lead to opportunity average count is 71 days, and then opportunity to closed deal is 82 days.
And so that's much shorter than some of the other ones that I see up here like webinar or telemarketing. And so I like that, so that means that I do want to create more content, I do want to find out what content, by a programmatic level, has less time associated with it, because this is the ideal type of timeframe that I want to see. So what gets me concerned are some of the ones up here, like email having the average lead to opportunity time of 357 days, and then opp to deal of 395 days, like that's a huge amount of time and something that I don't want to see.
And so that means that there's either something going on in the systems or in the reporting or this isn't really a great channel for velocity. So sometimes what you can do with the channels that aren't great for velocity is make sure that you're mixing in there channels that do have a very solid amount of velocity, like content or a trade show. So through metrics not only are you able to show your value to the organization, but you are also able to continue to improve the success of marketing, your team, and yourself, over time.
There's lots of different metrics that you can be measuring. I definitely recommend getting as deep into metrics as you can and training your team to be very metrics driven. Overall, measurement will only provide you information, and will only help you bubble up your successes. So measurement should be a critical part of any lead generation program in order for it to be successful.
- Identifying funnel stages
- Defining key goals and metrics
- Deciding on an approach
- Building a lead generation plan and a team
- Aligning with stakeholders
- Choosing a lead generation technology
- Building attractive content
- Generating leads with blogs and social media
- Creating an SEO strategy
- Tracking ad performance
- Increasing visibility through events
- Using paid ads and direct mail
- Qualifying leads
- Measuring campaign effectiveness