Example output
Marketing KPIs for HVAC Company Formulas to Track Industry Benchmarks % Goals
Lead Conversion Rate Leads Converted / Total Leads 25% 30%
Customer Acquisition Cost (CAC) Total Marketing Costs / Number of Customers Acquired $300-$500 $250-$350
Cost per Ran Lead Total Marketing Costs / Number of Leads Ran $500 $450
Cancelation Rate Number of Canceled Calls / Total Booked Calls 5-10% < 5%
To create a pricing strategy that will hit the revenue goal of $2.5 million with a 28% profit margin, the following steps should be taken:
Determine the average revenue per job: Look at historical data to determine the average revenue per job for the HVAC company. Let's say it is $1,500.
Calculate the target number of jobs: Divide the revenue goal of $2.5 million by the average revenue per job ($1,500). This gives us a target of 1,667 jobs for the year.
Calculate the gross revenue needed: Multiply the target number of jobs (1,667) by the average revenue per job ($1,500). This gives us a gross revenue target of $2.5 million.
Calculate the cost of goods sold (COGS): Based on the table above, we can estimate the COGS to be around 50% of the revenue. Therefore, the total COGS for the year will be $1.25 million.