Today, nearly every brand is investing their efforts, time, and resources towards creating a stellar marketing strategy to increase brand awareness and boost conversions. But how do you know your branding efforts, content, and marketing collateral are working well? What strategy is working best and making your marketing efforts successful? How is your company achieving its marketing and sales goals?
For every business, understanding what strategy is working and what is not is important to track your marketing investment. You need to understand where your time, energy, and resources are going and what you are making out of them.
Being a business owner, measuring your marketing Key Performance Indicator (KPI) is crucial to keeping your business on the right track. KPIs are basically the measurable values that businesses track in order to monitor their performance. These values enable you to keep your business strategy on track and help you achieve the desired business results.
There are certain marketing benchmarks that you should track and pay attention to, in order to achieve your overall goals and objectives. It is important to invest your time to understand your business’s marketing KPIs in order to improve your marketing strategy and ensure success.
Here are some helpful marketing KPIs that marketers should track and measure to determine the overall effectiveness of their marketing and sales efforts.
The effectiveness of every marketing campaign is measured by its growth in sales revenue. In fact, it is a key indicator that helps marketers strategically plan their business strategy. Measuring your sales growth is indispensable to retaining the long-term health of your company. Share your sales goals with your digital marketing team as it instills a level of ownership in your team. It also makes sure that everyone is on the same page and working to achieve the same end goals.
It’s no secret that leads play a key role in the sales and marketing department as the more leads your website gets the more chances of sales growth there are. It is important to keep track of the number of visitors who turn into verified leads and become actual paying customers. This metric tells you whether your marketing campaigns actually bring in results.
It is the most important marketing KPI that helps you understand how much it costs to acquire a lead? Cost per lead (CPL) or Customer Acquisition Cost (CAC) helps you determine how much you are investing in order to acquire new leads. For instance, the technology and software investments, the cost of creating a marketing video, advertising, distribution, sales, and other marketing efforts. How many leads are generated by each one of your marketing efforts, and what is the value of those leads? It will help you stay abreast of how your marketing is performing and measure the leads generated through it.
This marketing KPI is helpful to measure how many people visit your website and how many of them convert and become leads. In short, it helps you determine the quality of your website traffic and the conversion rate of your website. Knowing this ratio can allow marketers to come up with strategies to improve the website conversion rate and make changes to your existing strategy to earn more meaningful conversions.
Believe it or not, social media strategy is a crucial part of your inbound marketing efforts that allows you to share your content to a wider audience and interact with your current and prospective customers. When you have a clear idea about the number of customers you are acquiring with Instagram, Facebook, Twitter, and Snapchat, you can better understand which channel works best for your agency. In addition, you can come up with a more refined and result-oriented social media strategy that will eventually increase your brand reach.
It is another important marketing KPI that allows marketers to improve the quality and design of the lead form. Visitors usually convert by filling the sign-up form which provides users with amazing offers in exchange for contact information. When you are not getting the desired results, chances are that the offer is not interesting, you are asking for too much information or not conveying the offer through a viable landing page or form.
To make your lead form more effective, you can run the A/B test to see what performs best or make some design changes to make it aesthetically pleasing. You can also optimize your landing pages, the position of CTA buttons, and content placement to improve your website conversion rate.
If you are getting new subscribers at a steady rate, it clearly indicates that people appreciate your offers. A boost in your email subscribers can lead to higher sales. There are different tools such as MailChimp, Aweber, or Drip, that you can use to easily keep tabs on your number of subscribers.
It is one of the most important marketing KPIs that marketers need to measure in order to prove that their marketing efforts are creating a positive impact on the overall growth of the company. In fact, it is a smart way to check what you need to spend on your marketing budget.
There is no denying the fact that acquiring new customers is more difficult and less effective than retaining existing ones. Repeat purchases are a positive sign that your customers are satisfied with the quality of your products or services. Retaining customers can help you achieve a greater customer lifetime value.
How many people visit your website or read your blog is the best measure of your marketing activities. It gives you the opportunity to provide visitors with valuable information about your company, capture their interest, and create offers aligning with their needs and interests.
Every business needs to measure these key performance indicators to come up with an awesome marketing strategy that will eventually help them achieve their sales goals.