It really depends on our “goal” and our dataset. Classification Accuracy (or misclassification error) makes sense if our class labels are uniformly distributed. Even better, we can compute the ROC area under the curve (even for multi-class sytems), e.g., have a look at the niceICML’04...
Customer lifetime value is another important metric for informing your marketing and sales efforts. It tells you how much you can expect to earn, on average, over the lifetime of every engagement with a new customer. CLV helps you to look at the total value of your company from a long-t...
Brand recall and recognition is a pivotal brand measurement metric that delves into the ability of consumers not only to remember but also instantly recognize your brand’s distinctive elements. The more effortlessly consumers can recall and identify these elements, the more likely they are to connec...
Another basic business metric is the gross profit margin. It is the cost of goods sold divided by the revenue of the goods. It shows what percentage of the money you earn is from the sale of the goods and services you provide. For example, if you sell a product for $100 and the cos...
Good metrics measure performance in a way that is meaningful for the goals of the a small business. For example, if the goal is to increase profit by cutting costs, measuring telephone costs is not meaningful unless you combine the measurement with a metric that indicates how much business the...
Capacity is another metric related to team availability. This metric is calculated by multiplying the total number of Scrum team members by the total number of working days. Incorporate retrospective insights into planning During the planning phase, be sure to touch base on your most recently comple...
Here’s the eCPM meaning in simpler terms: eCPM is a metric that is crucial for understanding the performance of advertising campaigns and identifying opportunities to increase revenue. Whether you’re a digital marketer, advertiser, or publisher, understanding eCPM is essential to making informed dec...
A KPI is a type of metric, but specifically a metric that can measure performance and has been deemed important. So, the number of people in your team with blue eyes is a metric, but it doesn’t measure performance and it’s not important. ...
When it comes to ensuring the work you do meets that ultimate goal, there is one metric that you must hold above all others:Return on Ad Spend (ROAS). In this post, you’ll learn the basics of ROAS, the benefits and challenges of using ROAS as your primary KPI, and tips for increas...
What Is a Measure of Efficiency in an Investments? An investment's measure of efficiency is its return on investment. This is the way investors and financial professionals measure how efficiently an investment makes a profit. This metric can also be used to compare one investment to another or...