infographic: four steps to measuring mobile roi

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User Acquisition:How much are you spending per new mobile customer?

Imagine this:Mobile TCO is $10,000 with 2,000 users:Then user acquisition = $5 per user

Why this matters:Now you can compare the costs of your mobile e!orts directlyagainst the e!orts of other channels.

Mobile Influence:Are your mobile apps influencing customers?

Imagine this:Of 50 new leads, 5 customers used your app: Then the mobile influence rate = 10%

Why this matters:Now you know if your apps are actually impacting buyer behavior.

Retention Rate:Is your mobile campaign encouraging return customers?

Imagine this:Of 500 customers retained, 100 downloaded the app. Then your retention rate = 20%

Why this matters:Now you can determine the costs of retaining one customer through mobile.

Lead Acquisition:How many of your leads are the direct result of your mobile campaign?

Imagine this:Of 50 new leads, 10 came from mobile:Then the lead acquisition rate = 20%

Why this matters:Now you can compare the costs of your leads from mobile against the cost of leads from other channels.

Retained Customers÷ Customers who Downloaded Apps

Retention Rate

Total Leads ÷ App Users

Influence Rate

Total Leads ÷ Mobile Leads

Acquisition Rate

TCO ÷ Users

$ Per User

Four Steps to Measuring

Mobile ROI

What is the GOAL of the app?

Evaluate your

CONSUMER INTERACTION

Evaluate your

WORKPLACE EFFICIENCY

Add up your

DEVELOPMENT COSTS

Sales & Marketing:• Is there less paperwork?• Less need for in-o"ce support?• Have sales increased?• More upselling and cross selling?• Have lead conversions increased?• Has face time with customer increased?• Has the annual quote attainment improved?• Are your executives able to meet more customers?

Enterprises who measure mobile have seen up to a 30% gain in sales efficiency.

Supply Chain:• Better at identifying weak points in the supply chain?• Time to market decreased?• Reduction in inventories, holding costs, and material waste?• Increased e"ciencies by integrating with other systems?• Increase in on-time deliveries?• Improved sales due to higher product availability?

Enterprises who measure mobile have seen up to a 30% reduction in parts inventory.

Field Service:• Reduced service response time? • Less travel and paperwork?• Less need for internal resources and support?• First-time fix rate improved? Enterprises who measure mobile have seen up to a 25% gain in service technician productivity.

25%Asset Management:

• Reduced maintenance costs?• Equipment uptime improved?• Improved first-time fix rate?• Resources and inventory consolidation?

Enterprises who measure mobile have seen up to a 40% increase in asset uptime.

40%

30%

LeadAcquisition

MobileInfluence

RetentionRate

UserAcquisition

SupplyChain

FieldService

Asset Management

Sales & Marketing

ImplementationIntegration

Hardware Support

Step 2

Congratulations! By calculating the value and e"ciencies of each app,

you have taken the guesswork out of measuring mobile ROI.

Now that you have given each app a measurable KPI, try asking:

• What is the overall value of the app?• How does this value rank against other marketing initiatives?• Does the value of the app outweigh the development costs?

Learn more at kony.com

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Every mobile campaign can be measured by one of two intended outcomes. Do you want to…

Step 1: Define your objectives

Step 3

Give each app a measurable KPI

$

Assume your app has a lifespan of 5 years.You can then calculate its NPV (net present value):

Business benefits x time (5) - Opportunity cost of capital

NPV (Benefits)

NPV (Benefits) ÷ NPV (Costs) = ROI for your app

One time app development costs+ Annual maintenance costs x time (5)- Opportunity cost of capital

NPV (Costs)

Step 4: One last calculation

Weigh your

KPI MEASUREMENTS AGAINST COSTS

30%