10 Financial and Non-Financial KPIs to Track for Your AI Business

At a glance: 

• The main takeaway: It’s important for AI businesses to track both financial and non-financial KPIs as they grow. 
• Impact on your AI business: Measuring revenue growth, profit margins, CAC, CLV, and ROI, as well as customer and employee satisfaction can help you improve your financial and brand health.
• Next steps: Connect with Aprio to learn how our advisors can help you reduce risk and use AI responsibly. Learn more about our ISO 42001 certification process and other services for AI companies. 

Schedule a consultation with Aprio’s Information Assurance Services and Risk Management Team today.

The full story:

In the rapidly evolving landscape of artificial intelligence, tracking the right key performance indicators (KPIs) is crucial for the growth and success of your AI business. Here are ten essential financial and non-financial KPIs that can provide valuable insights into your company’s performance.

Financial KPIs AI Businesses Should Track

1. Revenue Growth: This KPI measures the increase in your company’s income over time, indicating market acceptance and business expansion.
2. Profit Margins: Understanding your profit margins helps you gauge the financial health of your business and its sustainability.
3. Cost of Customer Acquisition (CAC): CAC is critical for evaluating the efficiency of your marketing efforts and the value of your customers over time.
4. Customer Lifetime Value (CLV): CLV predicts the net profit attributed to the entire future relationship with a customer, helping you understand the long-term value of your customer base.
5. Return on Investment (ROI): ROI measures the profitability of the investments made in your AI business, whether it’s in technology, talent, or marketing.

Non-Financial KPIs AI Companies Can’t Ignore

6. Customer Satisfaction: This metric can be assessed through surveys and feedback, reflecting the quality of your AI solutions and customer service.
7. Employee Satisfaction: Happy employees often lead to happy customers. Track this through regular surveys and assessments.
8. Algorithm Accuracy: For AI businesses, the accuracy of your algorithms is a non-negotiable performance metric.
9. Innovation Rate: The frequency of updates, upgrades, and new features released can indicate your company’s commitment to innovation.
10. Brand Equity: Measured through brand recognition surveys and social media engagement, this KPI reflects the strength of your brand in the AI market.

The bottom line

By monitoring critical financial and non-financial KPIs, you can gain a comprehensive view of your AI business’s performance, make informed decisions, and steer your company towards long-term success.

Related Resources/Assets/Aprio.com articles/pages

ISO 42001: The Importance of Responsible AI Management

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