ABCs of Acquisition Analysis

At Crutchfield, Michie was hired to help the company re-think the metrics for its customer-acquisition efforts. “We had been relying on numbers with foundations more historical than analytical,” Michie recalls.

His assignment: To figure out if these really were the numbers the company should be following? He says the ultimate question a cataloger’s metrics should answer is: “If we had another $100,000 to spend, where should the money go?”