How channel efficiency is calculated

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When selecting profitable paths, marketers calculate the value of the client - they sum up his purchases during the loyalty period and look at what profit he brought to the company. At the same time, they calculate how much it cost to attract one buyer (this is not difficult if the work is carried out on the Internet). The obtained data on clients from different channels are compared. The choice is made in favor of the promotion method where the cost of the lead did not exceed 10% of the buyer's value.

Also taken into account:

launch speed — how quickly the channel will reach its maximum capacity. For comparison, opening finland email list a sales department takes at least a month, while contextual advertising can be easily set up in 1 day;
channel capacity - how long will it be able to collect clients, is there a risk of rapid “burnout”;
seasonality - the effectiveness of some methods is not the same in different periods (usually this is outdoor advertising, radio).
In addition, they look at indicators in metrics, including ROI - a financial ratio that reflects the level of profitability of a business through the amount of investments made.