Successful marketing is defined by the effectiveness of marketing campaigns that help increase traffic, drive sales, gain leads, improve ROI. Every business sets up goals and monitor metrics regarding its goals and business nature. Marketing campaign analysis involves lots of metrics and their number is growing thanks to technology gains. Effective marketing strategy depends on selecting right metrics that can draw a picture, drive true insights and not to miss important trends.
The term KPI (Key Performance Indicator) is a self explanatory abbreviation. The question here is what measurements/metrics to consider key ones in the ocean of data and numbers. In other words, it is important not only to collect the data but derive certain metrics that allow to boost results and show correct ways of ongoing strategy. Some of these metrics are on the surface and some require deeper data mining. Let’s consider some KPIs that may help change your view on some numbers.
Revenue – it may be the most measurable indicator. Comparative analysis of revenue coming from different channels, sources, departments, etc not only tells about the health of your business but allows to redirect the efforts and learn about strong and weak parts. Revenue tracking on the ongoing basis helps to build predictive models and show overall trends.
CLV (Customer Lifetime Value) – it is a very important metric that shows a true value of each of your customers based on recency, frequency and overall spendings. This metric requires essential analytical work but it is worth of the efforts since it helps better understand customers. The marketers are enabled to build a more refined, smart, productive campaigns backed by knowledge and not by instincts.
CPL (Cost Per Lead) – it is not just an indicator of cost. Often deeper data mining reveals that an expensive cost per lead drive more in revenue in the end. Always correlate CPL with a follow up and ROI.
Website traffic and lead conversions – unique visitors, page views are important but initial metrics to look at. Don’t forget to dive deeper and reveal where the visitors are coming from, how long they stay on site, what pages they spend the most time, how many of visitors became leads and where the conversions came from, etc. Try to learn as much as possible looking conversions. Be creative and thoroughly read through all traffic numbers to make correct takeaways.
Landing page conversion rates – landing page is the first page viewers see when they come to your site. The conversion shows the effectiveness of the landing page and help you improve the page graphics, content, evaluate effectiveness of changes, etc.
Lead to customer conversion rate – it is crucial to understand how many leads are gained and how many leads become customers. It allows to reveal the volume and quality of the leads and may be assist the sales team with content enhancement.
Time spend – sounds like a simple measurement though it can tell a lot not only about the website performance but show if the visitor got idle or truly explored your site. It shows you the ways for further page improvement and its effectiveness.
Email unsubscribers – many marketers pay close attention to number of visitors who click on unsubscribe button. It may be a good idea to check subscribers’ engagement as well and save money on not sending the Email to completely idle customers.
Social Media involvement – Followers are important and posts on your site are even more precious. Posts can help you better understand who are people who make posts, thus, giving you a chance to improve your marketing strategy.
Applying right metrics let you better understand your customers, gain valuable insights, refine and change marketing strategy to improve ROI and drive sales.