KPI in Marketing – Everything You Need To Know

one of the great achievements of digital
marketing over traditional marketing is
its ability to quantify and measure all
of the actions performed online what do
we mean exactly you probably heard the
term of kpi or key performance indicator
they are the indicators that you define
as necessary to assess the effectiveness
of your marketing actions they are not
the same as metrics which are the
different data points that help you to
assess if you are achieving your
campaign's goals with this in mind let's
see how to use kpis and your marketing
strategies
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what role do key performance indicators
play in marketing strategies the main
one is that they help you measure the
success of the different parts of your
strategy and allow you to see what's
working and what isn't so you can modify
your marketing plan accordingly do you
want to know more about kpis let's see
which are the most common ones that can
help you determine the success of your
marketing strategy so you can better
understand what we are talking about roi
or return on investment this is a
popular profitability metric used to
evaluate how well an investment has
performed to calculate roi the benefit
or return of an investment is divided by
the cost of the investment
the result is expressed as a percentage
or as a ratio
increase sales look how much your sales
increase during a certain period of time
and take notes to compare in the future
have they improved since you launched a
campaign this will help you prove if
your efforts have been worth it traffic
sources which sources of traffic
generate the most visitors to your page
compare your sources to see which one
gave you more traffic so you can improve
the ones that didn't help you to get
more visitors funnel the sales funnel is
important in native advertising since it
helps you understand the process of how
to get customers conversion rate
conversion rates are an effective way of
comparing and contrasting the
performance of multiple advertising
channels to calculate the conversion
rate you have to take the number of
conversions and divide that by the
number of total ad interactions that can
be tracked to a conversion during the
same time period keywords keywords are
essential to get more traffic so spend
time improving your seo and searching
for good keywords mobile devices take
care of the views you get from the
mobile devices is your website optimized
for mobile devices cpl or cost per lead
this is an online advertising pricing
model where the advertiser pays for a
lead interested in the advertiser's
offer it is also commonly called online
lead generation engagement rates in your
email marketing campaigns do your
subscribers interact with your email
marketing campaigns estimate your
engagement by monitoring the metrics
like ctr unsubscribe rate and more clv
your customer lifetime value this is the
key marketing metric used to measure how
valuable a customer is to your company
this enables you to make better informed
marketing and sales decision and
understand the long-term profitability
of your business visitors how many
people visit your website how many
should be do research with some of your
competition and compare that data with
your website followers look at the
numbers you have on your social
platforms and try to improve the ones
that you don't have many followers or
you could erase those ones and spend
more time on the ones where you have
more followers so how should you create
your marketing plan and define your kpis
follow this three-step plan let's take a
look one set goals the first step is to
define the objectives of your campaign
knowing where you're going and what you
want to achieve is essential however it
is important to categorize your goals by
what you want to achieve in the short
term the medium term and then the long
term this is the key to obtaining
realistic results two design your
marketing strategy based on the goals
you have set for yourself create your
marketing strategy and decide which
digital channels you will prioritize how
you will get to your message to the
public and how you want to position your
brand in the market three define the
kpis finally when you have completed the
previous two steps you should choose
your key performance indicators these
will need to be defined to quantify and
assess whether the actions you've taken
are generating the results you want or
not discard any metrics that although
they might add information won't be
useful in helping you understand the
effectiveness of your marketing actions
when the kpi analysis starts to provide
data you can then identify which
processes are moving you towards your
goals and what needs to be modified
changed or even eliminated these
performance indicators will give you a
good idea of how your brand is doing but
these are not the only ones and this is
not a special recipe to get more viewers
and have a perfect website if you want
to improve your ecommerce site you'll
have to spend some time analyzing your
seo to understand your strengths and
weaknesses if you want to know how to do
so more effectively you could take a
look at this video where we explain how
to start and set up in e-commerce don't
forget to like and subscribe if you
enjoyed this video
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you