The plan outlined focuses on key metrics to improve the success of an investment group, such as Return on Investment (ROI) and Net Promoter Score (NPS). By diversifying investment portfolios and enhancing customer retention, a higher ROI can be achieved. Meanwhile, improving customer service and product features can lead to a better NPS, indicating greater customer loyalty.
Timely product development is crucial, with a benchmark of 80-90% of projects completed on time. Effective resource allocation and clear deadlines are advised. Furthermore, increasing market share by 1-2% annually can be achieved by exploring new segments and enhancing marketing strategies, showcasing growth within the industry.
Tracking Customer Acquisition Cost (CAC) is vital to understanding how efficiently new customers are acquired, with a recommended target of $300-$500 per customer. Optimizing marketing spend and improving conversion rates are strategic ways to minimize CAC.
Top 5 metrics for Investment Group Success
1. Return on Investment (ROI)
Measures the profitability of an investment relative to its cost, calculated as net profit divided by the cost of investment.
What good looks like for this metric: 10-15% annual ROI
How to improve this metric:- Diversify investment portfolio
- Reduce operational costs
- Increase sales through marketing
- Optimise product pricing
- Enhance customer retention
2. Product Development Timeliness
Tracks whether the development projects are completed within the projected timelines.
What good looks like for this metric: 80-90% projects on time
How to improve this metric:- Implement project management software
- Set clear deadlines
- Enhance cross-department communication
- Allocate resources effectively
- Conduct regular progress reviews
3. Market Share Growth
Indicates the increase or decrease in the company's product market share within the industry.
What good looks like for this metric: 1-2% annual growth
How to improve this metric:- Explore new market segments
- Enhance marketing strategies
- Improve product quality
- Strengthen brand loyalty
- Collaborate with strategic partners
4. Customer Acquisition Cost (CAC)
The cost associated with acquiring a new customer, calculated by dividing total acquisition expenses by the number of new customers.
What good looks like for this metric: $300-$500 per customer
How to improve this metric:- Optimise marketing spend
- Utilise lower-cost marketing channels
- Improve conversion rates
- Leverage customer referrals
- Enhance customer targeting
5. Net Promoter Score (NPS)
Measures customer loyalty by asking how likely they are to recommend the product to others.
What good looks like for this metric: 50-70 NPS score
How to improve this metric:- Improve customer service
- Gather customer feedback
- Enhance product features
- Provide customer incentives
- Develop customer engagement strategies
How to track Investment Group Success metrics
It's one thing to have a plan, it's another to stick to it. We hope that the examples above will help you get started with your own strategy, but we also know that it's easy to get lost in the day-to-day effort.
That's why we built Tability: to help you track your progress, keep your team aligned, and make sure you're always moving in the right direction.
Give it a try and see how it can help you bring accountability to your metrics.
