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KPI Tree and Business Metrics

Objective

Link platform metrics to business health so optimization priorities stay aligned.

KPI Tree Example

  • Business Outcome: Revenue growth
    • Media Efficiency: ROAS, CPA, cost per qualified lead
      • Driver Metrics: CTR, CVR, CPC, impression share

Required Metric Set

  • Volume metric: leads or orders
  • Quality metric: qualified lead rate or high-margin order share
  • Efficiency metric: CPA or ROAS
  • Outcome metric: revenue or pipeline value

Reporting Rule

Never present CTR or CPC improvements without showing impact on qualified outcomes.

Next Step

Return to the module overview and continue with the next lesson in sequence.