A successful digital marketing campaign can be measured by much more than just leads and sales. Some other insights worth looking after:

  • Organic Traffic
  • Average Session Duration
  • Bounce Rate
  • Social Media Reach
  • Email Marketing CTR

And much more…

In the early days of digital marketing, marketing success was measured by how someone responded or engaged in what you posted. But today modern marketers use a more diversified strategy and modern technologies, such as digital marketing KPIs and metrics.

The goal of marketing KPIs is to offer you the standard for success. You can utilize the right KPIs and indicators to take advantage of new business prospects. You can calculate the success of certain campaigns, identify the area of improvement in the approach, and can also develop data-driven methods for it

What Are Metrics?

The key performance indicators (KPIs) known as digital marketing metrics are used to assess the effectiveness of a company’s digital marketing initiatives. Businesses can measure the tactics used to reach both current and potential clients through targeted campaigns or broad marketing initiatives using the framework provided by digital marketing metrics.

Types of Metrics:

Digital marketing metrics can be divided into two parts:

  1. Vanity metrics: Vanity metrics make the business campaign look good. They look good when on board but do not provide guidance for the next step and do not offer any meaningful business results.

    They help digital marketers learn more about their target audience.

    Examples of vanity metrics are ad views, impressions, number of likes, followers, subscribers, etc.

  2. Actionable metrics: Actionable metrics have a noticeable impact on your business objectives and can measure the success of your marketing strategies.

They can help you to take better business decisions by providing an accurate number so that you can also plan your next steps.

Examples of actionable metrics are website conversion rates, engagement rate, generated lead, customer acquisition cost, etc.

Table of B2B Digital Marketing Matrics

Image source: freshsparks.com

What are KPIs?

KPI stands for Key Performance Indicators which are also known as performance metrics and they are used in digital marketing for measuring the quantitative success of a marketing channel, strategy, campaign, etc.

KPIs can tell you far more than the number of open rates or downloads, and they collect data about your efforts and transform it into numbers you can use to adjust your strategies. They provide information for performance benchmarking for your business and let you know whether and when you will achieve set marketing or commercial objectives.

Types of Digital Marketing KPIS:

Digital marketing KPIs are different for different projects. Thus, they are case specific, but certain general KPIs are used for performance evaluation. You can calculate, monitor, and support the effectiveness of your marketing strategy using a variety of simple key performance indicators (KPIs). They are listed as below:

SEO KPIs

  • Organic Traffic: Increased site traffic indicates that your SEO strategy is working. More people will be able to find your products and services organically. Higher organic traffic means higher leads and conversions.
  • Organic Keyword Ranking: Higher organic ranking means higher organic traffic and higher organic traffic leads to more organic conversions. Identifying the right keywords and optimizing your website accordingly helps to improve your organic keyword ranking.
  • Bounce Rate: It’s an important KPI to track because bounce rate decides if your content is engaging or boring. Search engines consider bounce rate as one of the important ranking factors because a higher bounce rate means your content is not relevant to what users intend to find, which means the search engine will devaluate your content and as a result, your organic ranking suffers.
  • Organic CTR: A simple formula to calculate organic CTR is the number of users clicking on your website from organic results divided by the number of impressions (number of times your website is visible to the user). Lower CTR means your search result title (Meta Title) and description (Meta Description) are not engaging. If you are seeing lower CTR then you really need to work around your Meta Title and Meta Description to increase CTR and apparently, it also improves your organic ranking.

PPC KPIs:

  • Cost Per Acquisition (CPA): It determines the cost of acquiring one paying customer.In order to determine the cost per acquisition, the total cost of conversion must be divided by the number of conversions.

    In terms of Cost Per Acquisition (CPA), a lower CPA indicates that your PPC campaign is performing quite well. Work on your AdRank in order to reduce your CPA. The higher your AdRank, the lower your CPA. AdRank can be improved by developing a strong ad copy and optimizing a landing page for targeted keywords, increasing user experience, bidding effectively, and improving Click Through Rate (CTR).

    The AdRank is recalculated by Google during every auction, which may result in fluctuations in the position of your ads.

  • Click Through Rate: This KPI makes it easier to gauge how engaging your content is and how your audience is responding to your ads.

    A CTR is calculated by dividing the number of clicks your ads received by the number of times your ads were displayed.

    The higher the CTR, the more relevant your ads will be to your users’ search queries. This increases the likelihood that users will click on your ad. You can increase CTR by writing attractive ad copy that includes a clear call to action and also by bidding higher.

  • Return on Ad Spend (ROAS): By using this KPI, one can determine the amount of revenue generated per dollar spent on advertising.

    Higher ROAS means you are earning a handsome amount from your PPC campaign. To improve ROAS create an attractive landing page that encourages users to take action.

Social Media KPIs:

  • Engagement rate: Engagement rate is a crucial social media KPI that measures the level of interaction on a social media post. It includes likes, comments, shares, and other forms of engagement. This KPI is important as it helps to determine the level of engagement with the audience and the effectiveness of the content.
  • Reach: Reach measures the number of unique people who have seen a social media post or content. This KPI is important as it helps brands to evaluate the effectiveness of their social media strategy in terms of reach. A high reach indicates that the content is being viewed by a large number of people, which can help increase brand awareness and drive traffic to a website.
  • Impressions: Impressions measure the total number of times a post or content was viewed, including multiple views by the same user. Impressions are different from reach as they count every time the content is displayed on a user's feed, regardless of whether the user interacts with it or not. Impressions are important to track as they help to evaluate the overall visibility of a brand on social media platforms.
  • Click-through rate (CTR): CTR is a social media KPI that measures the number of clicks on a link or call-to-action button divided by the number of impressions. A high CTR indicates that the content is engaging and compelling, and the call-to-action is well-designed.
  • Conversion rate: Conversion rate measures the percentage of users who completed a desired action, such as making a purchase or filling out a form, after clicking through a social media post or ad. This KPI is important as it helps to evaluate the effectiveness of the social media campaign in terms of generating leads and sales.
  • Follower growth rate: Follower growth rate measures the rate of increase in the number of followers on a social media account. This KPI is important as it helps brands to evaluate the effectiveness of their social media strategy in terms of attracting new followers and increasing brand awareness.
  • Share of voice: Share of voice measures the brand's presence and visibility in the overall social media conversation within the industry or topic. This KPI is important as it helps to evaluate the effectiveness of the social media strategy in terms of generating brand awareness and establishing the brand as a thought leader in the industry.
  • Response rate and time: Response rate and time measure how quickly and efficiently the brand responds to customer inquiries or comments on social media platforms. This KPI is important as it helps to evaluate the level of customer service and engagement on social media platforms, which can impact customer loyalty and brand reputation.
  • Sentiment analysis: Sentiment analysis measures the tone and sentiment of social media conversations surrounding the brand or specific topics. This KPI is important as it helps to evaluate the overall perception of the brand and the effectiveness of the social media strategy in terms of managing brand reputation.

Content Marketing KPIs:

  • Website traffic: Website traffic is a crucial content marketing KPI that measures the number of visitors to a website. This KPI is important as it helps to evaluate the effectiveness of the content in driving traffic to the website.
  • Time on page: Time on page measures the amount of time visitors spend on a website page. This KPI is important as it helps to evaluate the effectiveness of the content in engaging the audience and keeping them on the website.
  • Bounce rate: Bounce rate measures the percentage of visitors who leave a website after viewing only one page. A high bounce rate can indicate that the content is not relevant or engaging enough to keep visitors on the website.
  • Lead generation: Lead generation measures the number of leads generated from the content marketing strategy. This KPI is important as it helps to evaluate the effectiveness of the content in generating leads and driving sales.
  • Engagement rate: Engagement rate measures the level of engagement with the audience on social media platforms or other channels. This KPI is important as it helps to evaluate the effectiveness of the content in engaging the audience and building brand awareness.
  • Conversion rate: Conversion rate measures the percentage of visitors who completed a desired action, such as making a purchase or filling out a form, after interacting with the content. This KPI is important as it helps to evaluate the effectiveness of the content in driving conversions and revenue.
  • Brand awareness: Brand awareness measures the level of awareness and recognition of a brand among the target audience. This KPI is important as it helps to evaluate the effectiveness of the content in building brand awareness and establishing the brand as a thought leader in the industry.
  • Subscriber growth rate: Subscriber growth rate measures the rate of increase in the number of subscribers to a blog or email newsletter. This KPI is important as it helps to evaluate the effectiveness of the content in attracting new subscribers and building a loyal audience.
  • Search engine ranking: Search engine ranking measures the position of a website in search engine results for specific keywords. This KPI is important as it helps to evaluate the effectiveness of the content in improving the website's visibility and driving organic traffic.
  • Cost per acquisition (CPA): CPA measures the cost of acquiring a new customer through the content marketing strategy. This KPI is important as it helps to evaluate the effectiveness of the content in driving revenue and profitability.

Email Marketing KPIs:

  • Open rate: Open rate measures the percentage of recipients who opened the email. This KPI is important as it helps to evaluate the effectiveness of the subject line and the overall relevance of the email to the recipient.
  • Click-through rate (CTR): CTR measures the percentage of recipients who clicked on a link in the email. This KPI is important as it helps to evaluate the effectiveness of the email content and the call-to-action.
  • Conversion rate: Conversion rate measures the percentage of recipients who completed a desired action, such as making a purchase or filling out a form, after clicking through the email. This KPI is important as it helps to evaluate the effectiveness of the email in driving revenue and conversions.
  • Unsubscribe rate: Unsubscribe rate measures the percentage of recipients who unsubscribed from the email list after receiving the email. This KPI is important as it helps to evaluate the relevance and effectiveness of the email content and the frequency of emails.
  • Bounce rate: Bounce rate measures the percentage of emails that were not delivered to the recipient's inbox. This KPI is important as it helps to evaluate the quality of the email list and the effectiveness of the email campaign.
  • List growth rate: List growth rate measures the rate of increase in the number of subscribers to the email list. This KPI is important as it helps to evaluate the effectiveness of the email sign-up process and the overall attractiveness of the email content.
  • Revenue per email: Revenue per email measures the amount of revenue generated per email sent. This KPI is important as it helps to evaluate the effectiveness of the email in driving revenue and profitability.
  • Forward/share rate: Forward/share rate measures the percentage of recipients who forwarded or shared the email with others. This KPI is important as it helps to evaluate the effectiveness of the email content and the overall engagement with the audience.
  • Spam complaint rate: Spam complaint rate measures the percentage of recipients who marked the email as spam. This KPI is important as it helps to evaluate the quality of the email content and the overall email marketing strategy.
  • Engagement rate: Engagement rate measures the level of engagement with the audience, including opens, clicks, forwards, and shares. This KPI is important as it helps to evaluate the effectiveness of the email content and the overall engagement with the audience.

Why Should You Set Digital Marketing KPIs?

Setting digital marketing KPIs (key performance indicators) is important for several reasons:

  • Measure success: KPIs allow you to measure the success of your digital marketing efforts. By tracking KPIs, you can determine whether your campaigns are achieving the desired results or if you need to adjust your strategy.
  • Track progress: KPIs allow you to track progress over time. This helps you identify trends and patterns and make adjustments as needed to improve performance.
  • Identify areas for improvement: KPIs can help you identify areas for improvement in your digital marketing strategy. By pinpointing where you are falling short, you can make changes to improve your campaigns and achieve better results.
  • Communicate results: KPIs help you communicate the results of your digital marketing campaigns to stakeholders within your organization. This helps build buy-in and support for your efforts and demonstrates the impact of digital marketing on the business as a whole.

Overall, setting digital marketing KPIs is essential for tracking progress, measuring success, and improving the effectiveness of your digital marketing campaigns.

And That’s A Wrap!

You would not have anything to show for your marketing success if you do not have the right terms for tracking and evaluating your progress. Some of the simplest and most effective ways to measure the performance of your digital marketing are KPIs and metrics. They can assist you in assessing your campaign performance and identify ways to enhance your strategies to meet your company's and your sales targets.

Cubic digital is one of the best digital marketing agencies in Ahmedabad which uses real-time performance data and insights from previous and current campaigns to optimize your future digital marketing strategies. If you need any help Reach out to us now!