13 Digital Marketing Metrics to Track for Success
Every person defines success differently. How you measure the success of your digital marketing efforts all depends on the digital marketing metrics you use. These metrics need to make sense for your business. While sales and leads are two important metrics, they aren’t the only ones (or necessarily the best ones) for you to focus on. So what are the best metrics to use to gauge how well your marketing campaigns fare? Let’s have a look and also see why you should be tracking your digital marketing initiatives.
|01 October 2021
What Are Digital Marketing Metrics & Why You Should Track Them
Digital marketing metrics are key performance indicators (KPIs) that tell marketing teams how well their marketing campaigns are performing. Tracking and measuring results can be a challenge since marketers use many tools to promote and advertise content, products, and services.
However, if they have a set of digital marketing metrics that they use for tracking and analysing purposes, then things become easier.
How so? Well, with set KPIs that work for them, they can determine their targets and goals. They can also measure the performance of their campaigns based on the KPI values.
Thus, the importance of digital marketing KPIs is that marketers can see what works well in their campaigns. They can also track what doesn’t work and what needs to be changed or improved.
Metrics help a marketer focus their time and investment on what needs attention, rather than trying to guess what’s working versus what isn’t.
13 Digital Marketing Metrics to Start Tracking Today
While we’re diving into a comprehensive list of the digital marketing KPIs you can track for your campaigns, the best metrics for you depend on your business and your goals. That being said, KPIs should be SMART: specific, measurable, achievable, relevant, and timely.
Here are some useful marketing indicators you can track:
Overall Web Traffic
Measuring your web traffic shows you the total number of visitors who engaged with your content or visited your website. You can also see where the traffic comes from by looking at the source or medium. This metric is important if you want to have a bird’s eye view of your total traffic. You can look for patterns that you can use to give you a competitive edge.
A conversion is when a visitor takes a desired action on your website or social page. For example, it could be becoming a paying customer and clicking “buy,” or it could be giving you their personal information (in exchange for downloading a lead magnet or short ebook). If your visitors aren’t converting, then you need to test and see what isn’t working. Is it your design? Are the offers too vague or not attention-grabbing enough? Does your visitor know what action they need to take next?
This KPI lets you know which channel your visitors came from before they visited your site. Think of it like this: you have many doorways leading people to your site.
They can arrive from one of your social media platforms and have clicked on a link that takes them to your website. In this case, they came through a social door. Or they could have directly typed in your URL into the search bar on their browser (a direct door).
Your visitors could also have done a search on Google, and from the search results, landed on your site (an organic door). Or they followed a link on another site or domain (a referral door).
Understanding your traffic through marketing channels helps you see which channels drive the most traffic. This helps you know where to focus your marketing efforts.
Your bounce rate indicates how many visitors left your website without any engagement. A high bounce rate points to irrelevant content, a page that loads too slowly, and other problems. However, it can also tell you that a visitor quickly got the information they needed, and left the page. If the bounce rate is high, then you know that you need to do some A/B testing for improvement purposes.
Brand sentiment tells you what people are saying about your company. While this isn’t a formal digital marketing metric, you can set up a Google Alert to notify you when there’s mention of your brand somewhere online. This helps you respond in time and deal with any negative publicity in a timely manner. Positive brand mentions also speak to marketing success.
This KPI is useful if you have multiple touchpoints or a multi-page conversion process. When you look at your site or page’s exit rate, you gather information about when and where people are leaving the conversion funnel.
On-page and engagement metrics should be considered together with the exit rate. This helps you make an informed decision about your calls-to-action and how you can optimise your site or landing pages.
How you measure the engagement rate depends on the platform. On social media platforms, engagement is measured by tallying up the shares, likes, and comments.
On your website, look at page depth, bounce rate, and session duration to evaluate how engaging your content is. Conversion metrics will help you determine if your content or campaigns are working as well as you would like them to.
Email Open Rate
The email open rate measures how many people open your email campaign in comparison to how many people receive the email. If your email open rate is high, it means you have an attention-grabbing subject line, the send time is appropriate, and you have a well-segmented email list.
A low email open rate means you need to look at the three factors above and make some adjustments.
Your click-through rate, or CTR, shows you how many times visitors have clicked on your ad. The CTR metric indicates how well your keywords, free product listing, and digital ads perform.
If your CTR is high, searchers find your listings and ads relevant and useful.
Cost-per-click (CPC) is a metric that specifies how much you pay for every click on your ad. There are ways you can decrease your CPC. For example, you can boost your Quality Score, which can get you a discount.
Your CPC dictates how long your marketing budget will last, so the lower your CPC, the more you can stretch your ad budget.
Cost per Lead
The cost per lead (CPL) is similar to CPC. However, it tells you how much you pay for every lead that’s generated through your digital marketing campaign.
Your CPL metric reveals how successful and effective your campaigns are in terms of generating new leads. This also helps you understand your overall return on investment (ROI).
Customer Acquisition Cost
Your cost per acquisition (CPA) refers to how much you pay to generate a customer. Leads and customers are not the same. An individual becomes a customer further down your sales funnel than when they become a lead. Leads become customers when they actually purchase something from you. So, your CPA costs include sales visits, advertising, and anything else you need to do to turn a visitor into a paying customer. If you’ve spent a lot of money and only converted 3-4 leads into customers, then you haven’t added anything to your bottom line. Thus, your CPA gives you a big-picture view of your whole campaign and how successful it is.
Return on Investment
A metric every marketer uses, your ROI demonstrates whether or not you are getting your money’s worth. To measure your ROI metric, you should look at a few conversion KPIs for a better picture. Look at your overall conversion rate, the cost per acquisition, the CPL, and more to see what your ROI is for every campaign.
What NOT to Track
With all of these metrics, you may wonder what you should not be tracking to measure the success of your digital marketing campaigns. You can make use of every single one of these metrics, but there is a key question you need to ask:
Does the metric have any value for you?
If you track KPIs that have no value for your business, you are, in essence, wasting time.
Thus, it is vital to know what value the metrics you measure offer your company. For example, it may not be necessary to track vanity metrics like how many likes or followers you have on Instagram. Unless you’re running a campaign to improve those metrics, they don’t really provide any valuable insights.
So, if certain metrics don’t help you earn more profit or give you insight into your business and how to improve your marketing campaigns, you shouldn’t focus on them.
Every marketer wants their digital marketing campaign to be a success. And if it isn’t, they want to know what’s wrong so they can run tests and improve their performance.
Choosing the right digital marketing metrics to measure your campaign success is a step in the right direction.
Reach out to PWD today so we can help you achieve success with your next marketing campaign and help you measure your performance.
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