Recently, we had the pleasure of hosting a fascinating conversation with Matan Hazanov, Managing Partner at Enigma Venture Partners, during Mavuus’ “CMOs Tell All” session. The focus of our discussion was marketing KPIs but with a unique twist—viewed through the lens of a venture capitalist. 

Hazanov, an investor who has assessed numerous early-stage companies, offered invaluable insights into how marketing metrics are evaluated from a growth and efficiency standpoint. His perspective, shaped by years of helping companies scale, provided a fresh take on how CMOs should approach KPIs, not just as numbers to report but as tools to drive strategic decisions and long-term success.

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The Metrics CMOs Need to Master

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One of the recurring themes throughout the conversation was that marketing attribution and ROI are among the most challenging areas for marketing leaders. Hazanov emphasized that lacking clear KPIs is often a stumbling block for CMOs, particularly when engaging with CFOs or boards. Too often, CMOs struggle to define their metrics clearly, leading to inefficiencies or, worse, early exits from leadership roles.

For CMOs looking to strengthen their approach, Hazanov suggested focusing on efficiency metrics like retention and burn multiples alongside growth rates. These metrics, along with growth rates, help paint a more complete story of performance that resonates with finance teams and boards. They move beyond just showing results—they show sustainability.

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Benchmarking KPIs: What Healthy Looks Like

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When assessing marketing performance, Matan emphasized the importance of understanding your benchmarks. Rather than relying solely on broad reports or generic data, CMOs should focus on what’s relevant to their specific business stage and industry. One key metric is the LTV (lifetime value) to CAC (customer acquisition cost) ratio.

In B2B software, a 3:1 ratio is considered healthy, meaning that for every dollar spent on acquiring a customer, you should expect to generate $3 over the customer’s lifetime. However, this ratio can vary depending on the industry and business model. For instance, in enterprise software, a lower ratio may still be acceptable due to the stability and longevity of customers.

But how do you know if your KPIs are in a “healthy range”? Hazanov recommended starting with industry benchmarks from trusted resources like HubSpot or Shopify (for eCommerce) or investing in premium services like Databox for a more tailored, detailed analysis. He also stressed that KPIs should always be aligned with your company’s specific stage and goals rather than purely relying on generic benchmarks.

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Overlooked Marketing KPIs

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During the session, Matan also pointed out that many marketing leaders focus on high-level metrics like revenue growth but miss critical, underlying KPIs that can make or break their performance. He emphasized that success in marketing isn't just about how fast you’re growing but how efficiently you're achieving that growth.

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Two metrics in particular often get overlooked:

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1. Pipeline Development: CMOs often fixate on revenue targets without digging deeper into the quality and health of their sales pipeline. According to Hazanov, understanding every stage of your pipeline—and how well each part is converting—is essential for long-term success. Tracking your pipeline over time with tools like cohort analysis can highlight inefficiencies and reveal opportunities to optimize your strategy.

2. Return on Ad Spend (ROAS): Many leaders know their overall revenue, but few track how effectively each marketing dollar is spent. It’s easy to fall into the trap of spending heavily on brand-building activities like conferences. Still, you might be wasting valuable resources if you’re not measuring how those investments impact your bottom line.

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How to Navigate CMO Interviews

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When interviewing for a CMO role, it's crucial to ask the right questions to assess the company's health and ensure you're stepping into a position where you can make a meaningful impact. Hazanov recommended focusing on three essential KPIs that will give you deeper insight into how well the company is really performing:

1. Burn Multiple: This metric shows how efficiently the company uses its cash. High growth might seem impressive, but if it's costing too much to achieve, that’s a red flag. Understanding the burn multiple will tell you if the company is growing sustainably or simply burning through cash without lasting results.
2. NPS (Net Promoter Score): Don’t just look at revenue—ask about customer satisfaction. A high NPS indicates that customers are happy with the product and likely to stick around. In B2B, a strong NPS is a sign of long-term, reliable relationships with clients, which directly impacts retention and growth.
3. Sales Funnel Trends: Look beyond the surface-level revenue numbers and ask about the company’s sales funnel. How are conversion rates trending over time? Are they improving, or are there points in the funnel where leads are dropping off? Tracking these trends helps identify whether the marketing and sales teams are working efficiently and whether there's room for optimization.

These questions help you understand not only the company's current health but also its growth potential—and whether marketing will play a key role in that journey.

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Ready to Elevate Your Marketing Strategy?

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Our conversation with Hazanov highlighted how critical KPIs are for tracking performance and driving strategic decisions that fuel growth. By focusing on efficiency metrics, pipeline development, and truly understanding your return on marketing spend, CMOs can better align with their executive teams and demonstrate real impact.

If you’re interested in diving deeper into these conversations and learning from marketing leaders like Matan Hazanov, join our Mavuus Community. Here, marketers gather to share insights, benchmark KPIs, and strategize about growth.

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