Key Performance indicators (KPIs) measure aspects of your digital marketing campaigns. Data from analytics can be synced to instantly show how your campaigns are performing.
Digital marketing KPIs are values used to measure and track the performance of an organisation’s marketing campaigns. Tracking these results can often be time consuming and difficult. This is where creating specific digital marketing KPIs makes it easier to determine your targets and goals. You are then able to measure your company’s performance based on those values set.
There are also a few tools that you can use to help you to determine your ROI in this space. Take a look.
Measuring the success of your Digital Marketing efforts
Getting the most from analytics
Embarking on a digital marketing campaign is an ideal strategy for any new business. This is because marketing technology and analytics offer fantastic opportunities to grow your business. However, with thousands of competing vendors online, it can be difficult for a new business to know which digital marketing solutions are best suited to their needs.
To help a new business find its way in the world of digital, and to help simplify decisions about the ‘right fit’ marketing technology, a range of KPIs are essential for a new business embarking on marketing in the online space.
How important are digital marketing KPIs?
A top goal for any new business is to get increasing numbers of prospects to embrace your brand. Any digital marketing online presence distinguishes you from your competitors. Using analytics to track your digital marketing campaign gives you valuable insights in to how well your campaign is doing.
Which traffic sources are driving visitors to your website?
Analysing website traffic measures which traffic sources are driving visitors to your site. It provides a comparison of each of those sources. The three main traffic sources are direct, referral and search.
A website may also get traffic through digital marketing campaigns such as banner ads or paid search. These offer reliable insights into traffic analytics.
Are you measuring digital marketing performance the right way?
KPIs help you see the big picture and evaluate your digital marketing strategies.
The top 5 digital marketing KPIs are:
Customer acquisition cost
This is the total spend required to convert a potential customer into an actual customer.
Landing page conversion rates
As a standalone page on a website, this page has a single objective: to make worthwhile conversions easy as well as to get the user to take the action you want.
Mobile traffic conversion rates
Users are now accessing more websites from their mobile devices than desktops. If your site isn’t optimised for mobile traffic, you’re missing a key demographic.
Social media reach/influence
There are many important metrics to be tracked here, such as leads generated. Valuable analytics created from your social media data will help you understand the status of your digital marketing campaign at a glance.
Customer lifetime value
This metric is used to predict the profit that can be generated from your relationship with your market. This is linked to the customer acquisition cost. Customer lifetime value is sometimes overlooked but can help you determine the buying history of your customers.
It’s worthwhile to note that data from KPIs are much easier to understand in a visual format than in a spreadsheet format. This makes data generated on platforms – such as Google Analytics – so powerful as you can monitor your website performance at a glance.
Setting the right KPIs in place for your digital marketing campaign is a sure way to start building insightful data that can ultimately help you get more return on investment on your digital marketing spend. The Digital School of Marketing’s Digital Marketing Course will teach you exactly how to do this. Read more here.
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