The 7 Most Important Digital Marketing KPI's to Track
1. Engagement on website
Your website is your
face to your customers, what your customers recognize about your product,
service, and values. Your goal is to get increasing numbers of prospects to
embrace your brand/website. These KPIs provide valuable metrics on how your
website is working:
Number of unique site
visitors. How many first-time prospects are discovering your website? Modify
your digital marketing plan to increase brand visibility.
Opt-in registrations. How many are
signing up? Offer a compelling reason for site visitors to give you their
contact information, such as a free e-book, white paper, or newsfeed
subscription.
Return visits to website. How often do your
prospects come back to your site? Increase return visits by providing valuable
information and updating it regularly.
Time spent on website. How long do
prospects stay on your site? Ensure your pages load quickly and make your site
interesting so they’ll stay longer.
Popular pages and navigation
paths. Applications
such as Google Analytics can track visitor traffic patterns and tell you which
site pages are most popular.
2. Traffic Sources
Understand which
traffic sources are driving visitors to your website.
The Traffic Sources
metric measures which traffic sources are driving visitors to your website, and
provides a comparison of each of those sources. The three main traffic sources
are direct, referral, and search, although your website may also have traffic
from campaigns such as banner ads or paid search. In addition to measuring the
number of visitors from each traffic source, consider analyzing the number of
goal completions from each source.
Terms to remember –
Direct traffic: Visitors that
visit your site by typing your URL into their browser, or through an undefined
channel.
Referral traffic: Visitors that
visit your site by clicking on a URL on another website.
Organic traffic: Visitors that
discover your website by entering searching a keyword in a search engine
(Google, Bing, Yahoo) and that click on your listing.
Campaign traffic: Visitors that
visit your website through a dedicated campaign or clicking on a link with
certain tracking parameters.
Bounce Rate : The bounce
rate shows you what percentage of visitors leaves your website before further
exploring your website. For example, if a potential visitor finds your homepage
after searching for you and leaves the page before clicking any other links,
they will be considered to have “bounced.”
Total Conversions.: Total conversions
are one of the most important metrics for measuring the profitability of your
overall marketing efforts. While it’s possible to define a conversion in many
ways (such as filling out a lead form, completing a checkout on an e-commerce
site, etc.)
Success indicators-
- An increase in volume from any traffic source, while
maintaining consistent traffic from other channels.
- A high or improving goal conversion rate related to any traffic source.
3. Online Campaigns – CPM, CPC, CTR, CPA
Measuring the
performance for your online Campaign
CPM (Cost Per Mille) Also called
cost per thousand (CPT) (in Latin mille means thousand), is a common
measurement used across all major forms of advertising including: Radio,
television, newspaper, magazine, out-of-home advertising, and online
advertising. Ad space is purchased on the basis of showing the ad to one
thousand viewers. In online advertising, this view is called an impression.
When buying ad
space on specific popular high quality, high traffic websites CPM is the most
common form of purchase. The number of impressions will be based on the
advertisers’ needs, the campaign time frame and the websites traffic volume.
This is a good option for brand awareness in key ad positions and although it
does not guarantee clicks it can be comparably effective with other buy types.
CPC (Cost Per Click): Or Pay-per-click
(PPC) is a buying model in which advertisers pay the publisher only when the ad
is clicked.
This method is
most popular with search engine advertising (Google, Yahoo & Bing) for
keyword bidding however is also available across other display networks. The
cost paid is either an agreed flat rate or bid based, meaning advertisers
compete against other advertisers for the ad space.
CTR (Click Through Rate) CTR is a way of
measuring the success of an online advertising campaign by analyzing the number
of clicks that an ad received versus the number of impressions that were
delivered.
The higher the click
through rate, likely indicates the more engaging and relevant the ad has been.
The CTR is calculated as follows:
Clicks/Impressions
x100
CPA (Cost Per Acquisition): Also known as
Cost Per Action, Pay Per Action (PPA), or Cost Per Conversion is an online
buying method, where the advertiser pays only for a specified action. This may
be an online purchase or a form submission.
This buy type
is less risky for the advertiser however the environments available to run this
activity are generally less targeted can be of lower quality and costs can be
high.
Cost per Lead:
The number of leads alone does not designate a successful digital campaign. You
want to keep lead acquisition costs low so that you can maintain healthy
margins and see meaningful growth. By measuring cost per lead for different web
sources, you can focus on digital activities that will be the most profitable
for your business and reinvest your marketing dollars accordingly.
How to Measure Cost
Per Lead:(Total Spent on Campaign)/(Total number of Leads)
4. Social Interactions
Measure the
engagement levels of your social media campaigns
You might be
wondering what your social media reach and engagement have to do with your
marketing KPI's. Well, social media is a huge component of your inbound
marketing strategy, allowing you to engage and share content with users. The
Social Interaction KPI measures the effectiveness of your social media
campaigns at fostering positive engagement. Key interactions can play a pivotal
role in a post or story going viral, so it is very important to ensure that you
are nourishing the right types of interactions. As well, a strong social media
measurement strategy will map these interactions to other marketing goals, such
as website conversions or new wins.
Terms to remember-
Interaction: A communication
between an audience member and your brand's social profile. This may take the
form of platform specific interactions such as Mentions on Twitter, Likes on
Facebook, or +1's on Google+.
Success indicators-
- A high level of engagement that corresponds to the completion
of key marketing objectives.
- Viral posts that require little or no nurturing on your
behalf.
- Sustained engagement over a long period of time.
5. Landing Page Conversion Rates
Is your content
generating conversions? A great well to tell if your landing pages are
converting visitors is to see how many people are visiting each landing page
and identifying how many of those visitors are actually completing your lead
capture forms. One reason people might not be converting is your content. Are
you creating remarkable content that will make your visitors convert into
leads? If your conversion rates are hovering around 10% or under, you'll want
to revisit the page and learn how to write more persuasive landing page content
as it relates to your audience.
Another great way to
increase conversions would be to optimize your landing pages and call to
actions by performing A/B tests.
6 . Organic Searches
What percentage of
your traffic is from organic searches?
The traffic to your
site generated by organic searches can be directly correlated with your search
engine optimization strategy. Some great metrics to help you identify where you
organic search traffic is coming from include:
- Number of lead conversions assisted by organic search
- Number of customer conversions assisted by organic search
- Percentage of traffic associated with branded keywords
- Percentage of traffic associated with unbranded keywords
- Those are four really great metrics to help your company gain
a better understanding of your brand awareness, content marketing
effectiveness, as well as the impact of your SEO strategy.
7. Mobile Traffic
You cannot forget
the increasing amount of traffic, leads and customers being produced through
mobile devices like Smartphones and tablets. Is your website effectively
optimized for mobile? One way you can tell if your company is generating
traffic and leads through mobile is to calculate the following metrics:
- Number of lead conversions from mobile devices
- Bounce rates from mobile devices
- Conversion rates from mobile optimized landing pages
- You don't only want to see how many visitors are converting
through mobile but you also want some indication of how effective your
mobile presence is.
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