CUnet's Steve Smith, Managing Director of Project Management, presents on the key performance indicators you need to know about. Sure, successful lead buying will ultimately be judged on the cost of each sale that is generated from the campaign, but in many cases determining the cost of each sale may take 15-60 days. During that time you may be wasting thousands of dollars on poor performing lead buying campaigns. This is unacceptable! In this session you will learn about the most important key performance indicators you MUST monitor when buying leads.

1. Reach, Recruit & Enroll
the Right Students
KPI’S YOU CAN’T LIVE WITHOUT
Steve Smith, Managing Director
February 2012

4. Spring Training

5. Marketing KPIs 101 – An Example
Total Leads = 100
Cost per lead = $100
Total Lead cost = $10,000
Accepted leads = -
Leads contacted = -
Leads application = -
Leads enrolled = -
Leads started = -
Cost per enroll = -

6. Marketing KPIs 101 – Scrubbed
Total Leads = 100
Cost per lead = $100
Total Lead cost = $8,000
Accepted leads = 80
Leads contacted = -
Leads application = -
Leads enrolled = -
Leads started = -
Cost per enroll = -

7. Marketing KPIs 101 – End of Week 1
80%
70%
60%
50%
40%
Total Leads = 100 30%
Cost per lead = $100
Total Lead cost = $7,800 20%
Accepted leads = 80
Leads contacted = 24 10%
Leads application = 1
Leads enrolled = 0 0%
Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Week 10
Leads started = 0
Contact Rate App Rate Enroll Rate Start Rate
Cost per enroll = -

8. Marketing KPIs 101 – End of Week 2
80%
70%
60%
50%
40%
Total Leads = 100 30%
Cost per lead = $100
Total Lead cost = $7,800 20%
Accepted leads = 78
Leads contacted = 40 10%
Leads application = 3
Leads enrolled = 2 0%
Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Week 10
Leads started = 0
Contact Rate App Rate Enroll Rate Start Rate
Cost per enroll = $3,900

9. Marketing KPIs 101 – End of Week 4
80%
70%
60%
50%
40%
Total Leads = 100 30%
Cost per lead = $100
Total Lead cost = $7,700 20%
Accepted leads = 77
Leads contacted = 50 10%
Leads application = 9
Leads enrolled = 4 0%
Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Week 10
Leads started = 0
Contact Rate App Rate Enroll Rate Start Rate
Cost per enroll = $1,925

10. Marketing KPIs 101 – End of Week 10
80%
70%
60%
50%
40%
Total Leads = 100 30%
Cost per lead = $100
Total Lead cost = $7,600 20%
Accepted leads = 76
Leads contacted = 52 10%
Leads application = 12
Leads enrolled = 5 0%
Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7 Week 8 Week 9 Week 10
Leads started = 3
Contact Rate App Rate Enroll Rate Start Rate
Cost per enroll = $1,520

11. Rookie Errors

12. Common Measurement Mistakes
1 Not measuring against a static pool
2 Not measuring against accepted leads
3 Not allowing data to season
4 Not assessing true lead cost
5 Using stale data

13. Getting to First
Base:
Must Have KPIs

14. KPI #1: Volume, Cost and Pacing vs. Targets
• Target groupings (e.g. ground nursing programs)
• Volume and pace versus targets and vendor boast
• Cost, pacing versus target budget
• Percentage to target
350
300
250
200
Leads
150
100
50
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29
Day
Provider A - Cumulative Volume Provider A - Target Volume Provider A - Monthly Pace

15. KPI #1: Volume, Cost and Pacing vs. Targets
• Target groupings (e.g. ground nursing programs)
• Volume and pace versus targets and vendor boast
• Cost, pacing versus target budget
• Percentage to target
350
300
250
200
Leads
150
100
50
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29
Day
Provider A - Cumulative Volume Provider A - Target Volume Provider A - Monthly Pace

16. KPI #1: Volume, Cost and Pacing vs. Targets
• Target groupings (e.g. ground nursing programs)
• Volume and pace versus targets and vendor boast
• Cost, pacing versus target budget
• Percentage to target
350
300
250
200
Leads
150
100
50
0
1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29
Day
Provider A - Cumulative Volume Provider A - Target Volume Provider A - Monthly Pace

17. KPI #2: Bad Lead Rates and Reason
Scoring & DNC
Verification 3%
4%
Validation
16%
Overcap
4% Q & T Call
Centers
34%
Other
4%
Duplicates
29%
Geography
6%
Average breakdown of bad inquiries by reason (Q3 2010-Q2 2011)

18. KPI #3: Conversion Rates
• Based on static pool of accepted leads
• Early and late stage conversion metrics
• E.g. Contact, Transfer, Visited, Application, Enrolled
(Closed), Started (Funded), Graduated
Representative EDU Metrics
Ground
Online

19. KPI #4: Acquisition Costs
Cost spent on a pool of leads divided by the number of
conversions
Cost per closed loan, enrollment, start
Representative EDU Metrics
Ground
Online

20. KPI #5: Operational Metrics
Speed to delivery
Cycle times
Volume vs. historical

21. Hitting a Double:
Segmentation

22. Hitting a Double: Segmentation
Lead source, sub affiliate
Target groups, program, campus, geography, market, level of education, degree
type, team, other verticals - credit, LTV
Comparison of offline, aggregator, paid media channels
TV $1733
Channel Type
3rd Party
$1325
Internet Leads
Paid Search –
$436
Branded
Paid Search -
$1899
Unbranded
Example Cost / Enrollment

23. Hitting a Triple:
Optimization

24. Hitting a Triple: Optimization
Multidimensional analysis
“Heat maps” to identify sweet spots and poor areas
Training for lower-performing teams
Reallocation of budget
Premium pricing strategies
Akron 81.0%
Alexandria 73.7%
Campus
Allentown 55.6%
Anne Arundel 53.3%
Arlington 90.0%
Augusta 60.0%
Contact Rate

25. The World
Series:
Marketing
Measurements+

26. The World Series
Advanced volume pacing & conversion forecasting
The ever-elusive ROI number
%Enrollments
1 4 7 10 13 16 19 22 25
Age in Weeks

27. Next Season:
The Future of
Data-Driven
Marketing

28. Constraint-Based Optimization
Vendor A 118 23.9% 90 $ 74.73 $ 1,660.67 4 4.5% $ 6,711.40 90
Vendor B 2,189 34.2% 1,441 $ 32.82 $ 863.68 55 3.8% $ 47,289.80 1,580
Vendor C 225 17.6% 185 $ 117.27 $ 1,047.05 21 11.2% $ 21,738.06 200
Vendor D 305 30.3% 213 $ 96.58 $ 1,085.17 19 8.9% $ 20,544.30 230
TOTAL 2,837 26.5% 1,929 $ 49.92 $ 977.62 98 7.1% $ 96,283.57
Vendor A -74% 23 $ 1,718.79 1 30 $ 1,660.67 Good Lead Volume 62 3%
Vendor B 10% 1,580 $ 51,855.60 60 2,400 $ 863.68 Total Lead Volume 108 4%
Vendor C 3% 191 $ 22,398.57 21 232 $1,047.05 Monthly Cost -$ 1,284.35 -1%
Vendor D -8% 197 $ 19,026.26 18 282 $1,085.17 Monthly Enrolls 2 2%
TOTAL 3% 1,991 $ 94,999.22 100 2,945 $949.99 Cost/Enroll -$ 27.62 -3%

29. Takeaways
•Measure what matters and measure it right
•Segment and optimize for Moneyball results
•The investment will pay off
•You can do it even with a smaller budget
For additional questions:
Steve Smith
steve.smith@cunet.com
416-323-1366 ext. 41224