Are your marketing efforts working? How can you tell? If you don’t know how you’re doing, how will you improve? WordStream succinctly defines marketing analytics as “the practice of measuring, managing and analyzing marketing performance to maximize its effectiveness and optimize return on investment (ROI).” Understanding what marketing analytics is and how to use it helps marketers become more efficient – maximizing budget and reducing wasted spend.
These days there are ample resources online that can take the guesswork out of your job and make your life easier. For example, Google AdWords is one of the many available platforms that can show you how many people have seen your ad, clicked through to your website, or called you. Through their tracking tools, you can tie your ads back to your bottom line – sales, new clients, or whatever moves the needle for your business.
With this in mind, what are most important metrics to track? There are many to choose from, but here are the top five key performance indicators (KPIs) you should already be tracking.
If generating sales is one of your goals, you need to make sure your sales exceed your expenses in your campaigns. At the end of the day, sales revenue is the metric that will resonate most with your client or whomever you report back to.
2. Conversion Rates
Is your content marketing effective? Is your landing page traffic making it through the sales/acquisition funnel? Content marketing should never remain static. You should constantly be looking for ways to optimize and improve your content placement and landing pages.
3. Cost Per Conversion (CPC)
There are a few questions you should ask yourself when considering your cost per conversion. How much is each conversion costing you? How many conversions are your efforts generating? Of these leads, how many actually have value?
Here, reporting is key. Being able to report and scrutinize website activity and sources of traffic is crucial to online success. Being able to analyze this data will help you in optimizing traffic sources, which will in turn generate more lead traffic and increase your conversion rate.
5. Social Media Reach
How many leads can be attributed to your social platforms? You should know which social platforms are best suited for your business. The more targeted an approach to social media you take, the more valuable your generated leads will be.
We all want to get the most bang for our buck. Fortifying your marketing strategy with these metrics will ensure you’re able to back up your efforts with solid data and adjust where needed.