Before investing in a great marketing strategy, the first thing you should do is to set your goals and objectives. The next important thing is to monitor your performance to see whether your marketing efforts are working or not. The most popular method to measure your company’s performance is by using key performance indicators. Don’t know much about KPIs?
In this article, we will discuss what is KPIs and what goals you should set for your digital marketing agency.
Defining KPIs for Digital Marketing
Key performance indicators or KPIs are quantitative data that help you in evaluating your business performance and marketing activities. In other words, KPIs are metrics related to your employee performance and other activities of the business. KPIs can be evaluated through social media platforms such as LinkedIn, Facebook, etc. PPC tools and Google Analytics are also used for indicating KPIs.
KPIs show the success of digital marketing activities such as
- Brand awareness
- Website reach and engagement
- Sales
- Customer retention
- Employee engagement
What Exactly should you be Measuring?
Before you go on measuring key performance indicators, ask yourself whether this information Will help improve your performance or not.
The basic purpose of a digital marketing campaign is to attract new customers and retain old ones. So, your goal should be to evaluate or measure those activities which help in bringing new customers.
What You shouldn’t be an Evaluating
If you decide to track your digital marketing performance indicators through e-commerce metrics or via organic search then the consequences might not always be in your favor because mostly it leads to wasting valuable time and focus. For instance, if your current marketing campaign doesn’t revolve around getting social media likes or followers, and you still track your likes and followers then it is not an effective KPI. In short, your goals will determine which KPIs you should be measuring.
The Top Ten most Important KPIs for a Digital Marketing Campaign
If you are running a digital marketing campaign for your business then you must have key performance indicators to measure your progress continuously.
Following are some of the important KPIs that you should monitor.
Profitability of the Bottom Line as A Percentage
Today digital marketers can monitor the profits of their clients by using different tools, all thanks to modern technology. To measure the percentage of bottom-line profitability you must know clients’ total revenue and net income. Then divide net income by hey total revenue and multiply by 100 to find out the profitability percentage.
Acquisition Costs as A Percentage of Total Revenue
To determine that if you are generating enough profit for your client, you must monitor your cost per acquisition percentage. How to find acquisition percentage? Divide the total amount you have spent on acquiring new customers by the number of new customers. The resulting answer will tell you how much you are spending to acquire a new customer.
Lead Sources
For the long-term success of your business, you must find out your source of sales. Start by creating a chart that shows your percentage of total sales. For instance, if all your sales are through an online platform, and your server goes down then it could damage your business badly.
Lead Conversion in the Sales Process
If you are not efficient in converting your leads into actual sales then there must be an issue with how you attempt to close a sale. So, it is crucial to determine how efficiently you are in converting leads into sales to save your business from loss.
To find out your lead conversion percentage divide the number of Leeds converted to sales by the total number of leads and multiply it by 100.
The Relationship between Time Invested and Returns
Keeping track of the time you have invested in marketing will help you in determining the profit generated per hour. If for some reason, you are not making enough profit then you must reconsider your marketing strategies.
Participation in Social Media
Learn how to create engaging content and find out if people are participating in the content you post. To find out the percentage of the audience engaging with their content generate a report stating your likes shares and comments for a particular time then divide by the total number of followers and multiply by 100. The higher figure you obtain after dividing, the better you are doing with your social media engagement
Inbound linking
You must constantly work on increasing your inbound links from other websites because inbound links help in driving traffic to your website. To find inbound links to your website, you can use various tools.
Achievement of Objectives
Start by setting smart, measurable, realistic, and relevant goals and monitor those goals from time to time to check your progress. If you’re not making enough progress then you need to change your marketing strategy.
Customer value over a Long Period
Retaining customers is a key to a successful business. To find your customer value find your churn rate And if your turn rate is lower than your average customers will do business with you for a longer time.
The Cost Per Lead on An Average Basis
The cost per lead gives you the idea that how much a lead is costing your client. It may vary from business to business
To find the cost per lead divides the total money spent on a campaign by leads generated.
Are you struggling with measuring your key performance indicators? Don’t worry as Digital Dot agency is a reliable SEO company, to cater to all your needs.
Let’s Take a Look at five SEO and How they might Benefit your Digital Marketing Agency
Following are the benefits of SEO.
Increase Organic Traffic to Your Website
The main purpose of search engine optimization is to increase visibility in search engine result pages to drive organic traffic to your website.
SEO is all about using relevant and optimized keywords in your content and title tags which helps in attracting the target audience. Make sure that your articles are informative, interesting, and hold value for your target audience. If you give people a reason to stay then your bounce rate will be decreased.
Inbound Marketing and Direct Marketing are the Primary Goals of SEO
If you are looking to generate leads from your website then conversion rate optimization is the best solution. It helps in increasing targeted traffic to your website.
Make the right impact on your customers by providing short forms to fill in the first interaction. Staying in touch with your customers is also important and you should invest in see item software to do so.
Increase in E-commerce Sales
If you want to beat your customers and generate higher sales, using the right SEO strategies will be beneficial in long term. SEO helps in getting your brand acknowledged among people and this ultimately helps in increasing your sales.
Reputation Management
Planning on how to maintain your reputation is important because even a single mistake will cost your business badly. Use press releases, social media platforms such as Facebook, Instagram, LinkedIn, etc., to build public relations. If you receive an online complaint, be active in answering that query. Because unanswered queries or comments are considered offensive and unprofessional.
Branding
When it comes to running marketing campaigns, branding is usually overlooked.
SEO helps in creating a positive image of the brand and helps in creating brand awareness by interacting with your target audience. SEO also ensures that your website gets high-quality backlinks that are valuable to Google and show the legitimacy of your brand.
Digital dot agency is a one-stop solution for SEO services. Contact us now if you need any help with the ranking of your website.
