6 Important Digital Marketing KPIs to measure in 2020
KPIs What are they and how do you measure them? When it comes to digital marketing KPIs these are 6 important ones you should monitor in 2020.
Digital Marketing KPIs or Key Performance Indicators help companies achieve performance benchmarks by measuring the requisite parameters. In short, they are very important to judge the success of a digital marketing campaign in terms of their quantitative and qualitative advantage. The KPIs indicate how the efforts along certain digital marketing strategies are generating results. This allows marketers and the core decision-makers to have a broader perspective on the marketing campaign.
A large segment of Digital Marketing KPIs help in indicating key parameters like conversions, sales, engagement, and social media investments.
A marketing team can track different activities through various digital marketing channels. It is impossible to keep track of these numbers especially when the company is running different campaigns of magnanimous proportions simultaneously.
This is designed to help small business managers understand what Digital Marketing KPIs are and how they influence the decision-making capabilities of an organization. Let’s jump in and take a look at what Digital Marketing KPIs are and how they impact your marketing decisions.
What are Digital Marketing KPIs?
Digital Marketing KPIs are simply key performance indicators that show the measured performance of specific marketing goals. One can understand how the strategies have reached their goals and what remains to be achieved for the upcoming days.
The KPIs also measure several different parameters like the volume of traffic generated from different social media channels like Twitter, Facebook, Instagram, and YouTube.
Select Digital Marketing KPIs With Objectives
The KPI selection should be aligned with specific marketing objectives. Measuring the right KPIs allows you to identify successes and failures in your marketing strategy, ultimately allowing you to reduce wasted spend and focus on those successes. If you’re not focusing on the right KPI selection your marketing teams could be wasting a lot of time and money on poor performance.
Proper Budget Allocation for Maximum Profit
The budgetary allocation for any campaign is designed to maximize the profit levels of a marketing campaign. The budget to ROI should have a proper balance which would in turn out manage to reduce the budgetary allotment and maximize the profit margins. Hence, the whole idea is to maximize profit and minimize expenditure in an effective way.
What are the 6 Digital Marketing KPIs to Measure?
The following 6 points are the important KPIs for Digital Marketing in the year 2020
1. Cost Per Lead
The cost per lead is a very important KPI. If the cost per lead is very high, then your marketing campaign will not be very rewarding. On the other hand, the lower the cost per lead the greater the return on ad spend. Thus, the ultimate objective of a marketing campaign should be to reduce cost per lead. A low cost per lead is a positive KPI and vice versa.
2. Cost Per Conversion
The cost per conversion is another very important KPI. This is basically an indicator that indicates what we have incurred to convert a potential lead to a client. This is very important for mid-funnel strategies. On the CRM front, it is important to locate the number of leads that have been received during that period. The lower the cost of conversion, the better it is for the marketing campaign in concern. There are other important aspects as well which need to be kept under consideration.
3. Net Promoter Score
The NPS is the basic indicator of Net Customer Satisfaction. It indicates whether your customers are happy or unhappy with your business. The NPS is basically a rating given out of 0 to 10.
A score of 0 to 6 indicates customer dissatisfaction.
A score of 7 to 8 indicates customer neutrality or basic satisfaction levels.
A score of 9 and above indicates complete customer satisfaction.
There is a lot to the NPS score apart from just customer satisfaction levels. The NPS score actually reflects a lot about how your customers perceive your brand in a competitive market and how they would respond to other similar brands offering similar offers. Joining a Digital Marketing course will provide you with much in-depth knowledge about these said metrics so that you can strategize your marketing agenda meticulously.
4. Website Traffic Monthly
Most of our readers would be able to identify the importance of monthly traffic for a given website. The traffic indicates how the website behaves when it is left in the paradigm of customer visits. The Google Analytics Report is a KPI which indicates important stuff like
- Number of visitors on each page
- Number of visitors in product categories
- Number of visitors in landing pages
- Number of visitors on the blog page
5. Visit Ratio Per Channel
The visitors through each channel is also a vital KPI and must be taken with serious consideration. There are instances when marketing programs have succeeded by paying attention to important visit per channel information. This helps the marketers in understanding the distribution of traffic and the sources which are generating the given traffic.
6. Time Spent on Each Page
The time spent on each page is a very important KPI. This shows the actual journey of a customer which is starting from the home page or landing page to the checkout or contact us page. This helps in understanding the lead journey. The lead journey is a very important parameter of digital marketing and helps marketers in taking important marketing decisions. The time spent on each page also helps in designing marketing campaigns which would later on turn out to be more effectible in generating lead conversions. Lead conversions are very important and sought-after activity in the world of digital marketing. Without lead conversions, there is no possibility of progressing with a given marketing strategy. Hence it is important to take these under consideration.
- Blog posts – The blog posts are generally the most intriguing for customers and help in generating the maximum customer interest and topic-driven conversions to the payment page.
- Landing pages – The landing pages are designed for marketing purpose and the average customer duration on landing pages indicate the success rate of the advertising landing page.
- Homepage – The homepage is also an important part of the landing page and does have an impact on a marketing campaign.
- Product category – This shows how interested your customers are in your products.
These are the most important KPIs to look for in the world of digital marketing. Today success only comes to those who have specialized skills. Digital Marketing KPIs are essential for campaign analysis and strategy preparation. Without proper knowledge of these metrics, you can’t measure the investment outcome and you might lose a great amount of money for proceeding with an improper marketing plan. For more updates read our blogs on Digital Marketing and industry updates. If you have any feedback or suggestion for us please feel free to write it in the comment section.