What metrics are essential in Marketing Analytics and why?

• A. ROI/ROAS, CAC, CLV, conversion rate, and engagement metrics
• B. Revenue only
• C. Impressions and clicks only
• D. Cost of goods sold only

Answer: (A)

Measuring marketing success relies on a balanced mix of metrics that connect spend to outcomes and long‑term value. ROI or ROAS links what you spend to what you gain in revenue or profit, showing profitability of marketing efforts. CAC (cost to acquire a customer) reveals the efficiency of spending in acquiring new customers, while CLV (customer lifetime value) estimates how valuable those customers will be over time. Conversion rate tells you how well campaigns turn interest into actual actions, and engagement metrics indicate ongoing audience interest and potential for future conversions. Together these metrics provide profitability, efficiency, value, and performance across the funnel. Relying on revenue alone misses costs and acquisition efficiency; impressions and clicks only reflect exposure without proving value or profitability; and cost of goods sold focuses on product cost, not the effectiveness of marketing.