By Brent Adamson, Co-Founder of Qoos
Setting effective KPIs (key performance indicators) is both an art and a science. At first glance, it might seem straightforward: identify a goal, define a metric, and assign a target. But if you’ve ever been part of a KPI conversation, you know it’s rarely that simple—especially when working with customers.
At Qoos.ai, we view KPIs, metrics, and targets as essential tools for aligning sales and customer success teams with what truly matters to their customers. But it’s not just about numbers—it’s about driving real outcomes. When done right, setting KPIs becomes a collaborative process that strengthens trust, demonstrates value, and builds a roadmap for success. Here’s how you can elevate your KPI game and ensure both you and your customers are set up to win.
Step 1: Define Specific, Actionable KPIs
One of the biggest mistakes in setting KPIs is keeping them too vague. Goals like “achieve growth” or “improve engagement” sound good on paper but lack the precision needed to measure success. Even adding a target, like “increase growth by 3%,” doesn’t eliminate the ambiguity.
Why? Because broad metrics like “growth” often lead to debates about causality. Did your efforts contribute to the outcome, or was it due to unrelated factors? To avoid this, work with your customer to dig deeper into the drivers of their desired outcomes.
For example:
• If the goal is growth, ask, What specific factors drive that growth?
• Is it better lead generation? Higher conversion rates? Increased customer retention?
By breaking broad metrics into actionable drivers, you create clarity around what you can influence—and how.
Step 2: Root Cause the Drivers
Once you’ve identified the drivers, go deeper. Think of this as building a map of cause-and-effect relationships. For each driver, ask:
• What actions or changes will influence this driver?
• How can we measure success at this level?
For example, if “higher conversion rates” is a driver of growth, the next question is:
• What influences conversion rates? Is it better sales conversations? More qualified leads? Faster response times?
Drilling down to this level not only makes KPIs more actionable but also helps link your efforts directly to outcomes, reducing the risk of attribution debates later.
Step 3: Prioritize with the Penny Exercise
Not all drivers are created equal, so how do you know where to focus? Enter the penny exercise.
Here’s how it works:
• Give your customer 100 “pennies” to distribute across the identified drivers based on their importance.
• Ask, If you could only focus on a few areas, where would you place your bets?
This simple yet powerful exercise helps customers prioritize their efforts while giving you clear guidance on where to focus your energy.
Step 4: Align the Buying Group
When working with a group of decision-makers, misalignment can derail even the best-laid plans. Use the KPI-setting process as an opportunity to align the buying group around shared priorities.
Whether through a live discussion or an asynchronous review, ensure all stakeholders agree on:
• The drivers of success.
• The most critical areas of focus.
Alignment at this stage prevents misunderstandings later and ensures everyone is working toward the same goals.
Step 5: Benchmark for Context
Finally, help your customers measure progress by providing benchmarks. How are similar companies performing on these specific metrics? How does their current performance compare to industry norms?
Benchmarking adds context to your KPIs, giving customers a clear view of where they stand—and where they can go.
How Qoos.ai Makes It Easier
At Qoos.ai, we help sales teams and customer success professionals master the art of setting and achieving KPIs. Here’s how:
• AI-Guided Insights: Our platform analyzes customer data to identify key drivers of success, helping you create more actionable KPIs.
• Collaborative Roadmapping: Work with your customers to map outcomes, prioritize drivers, and align stakeholders—all in one intuitive platform.
• Microlearning for Continuous Improvement: With bite-sized lessons on KPI-setting and related skills, your team can stay sharp without stepping away from their work.
• Customer Verification Tools: Track progress on agreed-upon KPIs in real-time, ensuring both you and your customers stay on the same page.
The Bottom Line
KPIs aren’t just numbers—they’re a tool for building trust, aligning efforts, and driving meaningful outcomes. By collaborating with your customers to set specific, actionable KPIs, you not only demonstrate your value but also help them achieve theirs.
At Qoos.ai, we’re here to help you take this process to the next level, combining advanced tools with proven techniques to transform how you sell, serve, and succeed. Ready to redefine what’s possible? Let’s get started.