So you’ve got marketing data, but do you know what to do with it?
We’ve got you covered with our top 8 KPIs for measuring marketing performance. Use these KPIs for a leg up in understanding your effectiveness in: attracting new prospects, engaging with them, and proving the ROI of your endeavors:
Regardless of the KPIs you are thinking of including in your reports, their worth and contribution to your efforts can only be fully understood when weighed against strategic objectives. Therefore, before you even scroll through this list of essential KPIs, take a moment to consider what you’re working towards, why, and how your individual goals contribute to, and align with, your overall business goals.
Some of the most common marketing goals may be to increase or improve:
% of New visitors
Definition: The percentage of visitors who are new to your website. This metric is a need to know. Why? If your objective is to increase awareness, you should be looking to reach new audiences. Therefore you should look to increase the percentage of new visitors to your website. Furthermore, it opens the door to providing and testing different experiences based on new vs. returning users.
Traffic by Source or Channel
Definition: The segmentation of total traffic by sources or channels, such as: direct, organic, social or referrals. Use this breakdown to determine the most or least effective avenues of reaching your target audience.
Cost per [insert your action here] (register, sign up, trial, purchase)
Definition: Spend divided by number of people who completed an important action. Keep tabs on your marketing spend and the cost of generating leads.
Conversions: Registrations/sign ups/trials
Definition: How many people actually took that action above. For example, this could be total number of sign ups per a strategic time period (day, week, etc).
Website Lead to Website Traffic Ratio
Definition: The ratio of leads generated from website traffic. Use this metric to determine the quality of traffic your website is attracting, and how many of those are converting. To really evaluate the prospects your website is pulling in, go one step further to determine the ratio of Marketing qualified leads (MQLs).
Marketing qualified leads (MQLs)
Definition: The number of qualified leads that marketing passes to sales. MQL definition may vary by product or company, just be sure that whatever your definition is, it’s clearly communicated and adopted by the sales and marketing team in order to work in sync towards the same goals.
% Marketing contributed pipeline / Marketing contributed pipeline
Definition: The % or amount of pipeline created by sales that can be traced back to marketing activities. This metric is a strong indicator of marketing’s contribution towards meeting the organization’s sales goals.
Marketing contributed revenue
Definition: The amount of revenue that can be traced back to marketing activities. This metric is key in enabling marketers to justify requests for additional resources or budget. It also allows them to review and optimize their own processes when goals around this metric are not met.
Would you like to explore more essential metrics? Keep an eye out on our blog for our upcoming posts on the most important metrics by marketing initiative.
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