Establishing your Digital Marketing Goals and KPIs
Digital Marketing KPIs or Key Performance Indicators are quantifiable goals that help you to track and measure success. In a changing marketing landscape, such as today in the era of digital disruption, it's more important ever to plan your short-term and long-term KPIs.
KPIs are a useful way for Digital Marketers to set expectations and prove that their work is having a positive impact. To outsiders, the success of digital marketing activities can be regarded as tough to measure but this actually isn’t the case. In fact, a digital campaign's progress is typically easier to track than an offline one.
Having a business mentality while being aware of marketing's peculiar successes are the keys to selecting the appropriate marketing goals and KPIs.
Even while they may appear to be a complete disaster on paper, certain campaigns end up being the most enduring and visible for a business.
Additionally, you cannot teach marketers to regularly create viral content.
There is no traditional training that guarantees marketing success. The production of captivating, memorable information is somewhat more difficult and irregular.
You will nevertheless need to submit those marketing reports each month and demonstrate which strategies are likely to be successful and which aren't.
As a result, even if you're a hopeless creative at heart, marketing goals and KPIs are significant.
Facts, Figures, and Conversion should be the Focus of KPIs
Adding insult to injury, rewarding marketers only for their originality is frequently ineffective – at least from a financial standpoint.
KPIs must be founded on verifiable data, typically conversion-related data.
Getting customers to make a decision and take action is conversion. It comes at the end of a successful sales funnel. A conversion could be the act of a client completing a purchase, joining your mailing list, submitting an enquiry, or doing anything else that shows your prospects are turning into your friends.
You're performing well in a particular area, according to some measurements that emphasise numbers. They shouldn't, however, take centre stage in KPIs.
Marketing objectives should always be manageable. Social follower increase that doesn't directly result in conversion is an illustration of a weak KPI.
Despite our best attempts to create and publish valuable content, we can't completely control the number of followers we have. Algorithms on platforms, visibility concerns, and social changes can all be factors.
As a result, even while it serves as an excellent gauge of social media success, you shouldn't use social follower count as a metric of measurement for your social media marketing team.
Instead, you might monitor how many people click over to your website or how many people interact with your articles.
You have some influence over these measures, and they have the biggest effects on conversion.
ou must adopt a goal-first mentality to avoid choosing the marketing KPIs equivalent of social follower growth.
When setting goals, marketers frequently make the error of focusing on the content rather than its purpose, considering:
Blog Content > No. of Visitors > Bounce Rate > Conversion
We know. As a marketer, you are constantly producing content with the hope that it will draw large numbers of visitors, maintain a low bounce rate, and produce some kind of conversion.
But when it comes to setting goals, we must go backward:
Conversion > Bounce Rate > No. of Visitors > Blog Content
Marketers who employ the first method may get to the conclusion that a KPI for measuring blog post performance is the number of visitors to a page.
The proportion of bounces or the number of conversions, however, is more crucial because they show whether the content is effective.
This does not imply that when we produce material, we seek low visitation. However, if only 1% of your sizable audience bothers to convert or keeps browsing your website as a result, your CEO or line manager won't be overly impressed.
Try to relate the KPIs for each sub-team to where it is in the entire sales funnel.
As opposed to, say, the blog team, which produces content to be hosted on-site, a social media team works further away from the point of conversion. As a result, it makes sense for social media users to use site visits as a KPI. To demonstrate they are contributing equally to the process, blog writers will need to concentrate on something more local, like the bounce rate or conversions.
In keeping with this, consider the following conversion-focused KPIs (but remember to first put them into context):
Price Per Lead
Number of repeat guests
Rate of Conversion
Rate of Clicks
Client Lifetime Value
Rate of Email Clicks
The ratio of Traffic to Leads
Make Marketing KPIs Achievable - Be Firm but Fair
Our team prefers to use a percentage system, so meeting a KPI doesn't have to be an all-or-nothing endeavour.
A team member's potential bonus amount is based in part on multiple KPIs that are pertinent to their job description.
With many KPIs, marketers have a chance to miss some KPIs without completely lucking out.
Additionally, it's critical to keep in mind that marketing work is frequently uncertain because algorithm changes, new technology, and other technical teams determine much of our success and failure.
Make marketing KPIs fair for employees to attain and senior managers to value, is what we're saying.
Others in the marketing industry liken it to a traffic light system, where they accept numbers between -5% and -10% and use a green, amber, and red system to indicate how near a marketer is to reach the desired target.
Additionally, you should utilise common sense to consider seasonal variations and be a little more forgiving if a Google update hits a specific industry just months before a KPI session.
This, we assume, is the distinction between an economist and an accountant.
Accountants are known for being fussy with numbers. When analysing data, economists frequently search for trends and patterns to provide context. Put your economist hat on when selecting marketing goals and KPIs; it will improve your ability to forecast. Additionally, it will boost your standing among your team.
To learn more about setting up your business’ KPIs, consider DigitalxMarketing to help you reach your marketing goals and see your business grow.
DigitalxMarketing Ltd has its head office in Wellington NZ with its support and resource centre based in the Philippines. DigitalxMarketing implements the latest digital strategies, tactics, tools, platforms and technologies to deliver integrated digital marketing services so your digital footprint can be found online.
Contact DigitalxMarketing today!