So, you've put together the perfect campaign, nailed the visuals and copywriting, and figured out your target audience. Great! The next step is launching it, but how do you know if it’s performing well?
That’s right, you keep an eye on KPI performance. However, that brings us to our next question, with so many KPIs, how do you know which one matters in knowing if your advertising campaign is a success?
Especially now, when businesses are all about digital changes, it's not just about where to start, but also about knowing what to tweak if things aren't going as planned.
No worries, we're here to help. We'll walk you through the key metrics you need to pay attention to, making sure you're not just spending money but spending it smartly to see how well your campaign is doing.
What Are Key Performance Indicators (KPI)?
KPI stands for Key Performance Indicator. It’s basically a way to measure how well something, in this case, your campaign is doing.
Imagine you're driving a car, and you want to know if you're going at the right speed. The speedometer in your car is like a KPI because it gives you a specific number (your speed) to tell you how well you're doing in terms of speed.
In the business and advertising world, KPIs are like those speedometers. They're specific metrics or numbers that help you understand how successful something is.
For example, if you're running an ad campaign, your KPIs could be the number of people who click on your ad, how much time they spend on your website, or how many actually buy your product.
So, in simple terms, a KPI is like a performance gauge that helps you keep track of how well you're doing in a particular activity or goal.
How To Choose The Right KPI Metrics?
Begin by focusing on a few key metrics that provide a clear picture of your business, such as conversions or visitor rates. Then, figure out whether you have an analytics tool to manage these metrics or if you need to calculate them yourself.
To guide you toward analytical success, here are four essential KPIs in digital marketing that you should closely monitor:
Organic Search Traffic
This metric provides a reliable measure of the proportion of website visitors that come through organic searches.
You can attribute the traffic directed to your site from organic searches to the effectiveness of your search engine optimization (SEO) efforts. If your organic traffic is strong, it indicates that your content is resonating well with your audience, thanks to its value, relevance, and engagement.
These indicators will help you identify the sources of your organic traffic, giving you the ability to adjust your strategy for creating more SEO-friendly, relevant branded campaign content, such as:
How many new potential customers found you through organic searches
How many people converted after landing on your on a search engine
The portion of visitors linked to branded keywords
The portion of visitors linked to general search terms, not specific brand keywords
Website or Landing Page Conversion Rate
Whether you've created a dedicated (and awesome) landing page as part of your campaign or you're guiding potential customers to specific pages on your website, it's crucial to know how well each one is performing in terms of conversions.
Getting a sense of your conversion rates and comparing them to other pages on your site will help you spot any weaknesses and capitalize on strengths. By doing this, you can replicate successful approaches in other areas.
These metrics will also give you insights into how engaging, user-friendly, and valuable your content is for your target audience:
Average session length
Goal conversion rates: This metric shows when a potential customer has successfully completed a specific campaign goal, like signing up for your newsletters or sharing your content. The exact activities depend on your goals and objectives.
Cost per Click (CPC)
CPC proves to be a valuable KPI in the digital marketing world, offering a straightforward pricing model to enhance the effectiveness and cost efficiency of your campaigns.
This metric lets you see the average amount you spend on various paid marketing endeavors, such as pay-per-click (PPC), display ads, and retargeting.
The goal is to manage and ideally decrease your CPC over time, leading to more efficient, effective, and budget-friendly campaign activities.
In this domain, there are two more KPIs worth keeping tabs on:
Cost per Acquisition (CPA)
Customer Lifetime Value (CLTV)
Return on Marketing Investment (ROI)
You probably already saw this coming but ROI is super important! Your digital marketing ROI essentially tells you how well you're utilizing your budget for a specific campaign. Digging into this comprehensive metric allows you to assess whether your investments are producing tangible results.
In this scenario, a higher ROI is the goal. A robust ROI indicates that your campaign spending is delivering results. If your ROI is on the lower side, it's an opportunity to pinpoint weak areas and make the necessary adjustments.
As you gear up for the launch of your meticulously crafted campaign, understanding and monitoring key performance indicators (KPIs) are essential steps to ensuring its success.
When it comes to digital marketing, adaptability is key. Regularly tracking and analyzing these KPIs allows you to make informed decisions, optimize your campaigns, and ultimately achieve the results you seek.
So, start keeping a close eye on these performance indicators to ensure your campaigns not only appear visually appealing but also deliver the desired impact.
SO, WHERE DO YOU FIND THIS PARTNER?
Well, aren’t we glad you asked! We at DigiCom are obsessive data-driven marketers pulling from multi-disciplinary strategies to unlock scale. We buy media across all platforms and placements and provide creative solutions alongside content creation, and conversion rate optimizations. We pride ourselves on your successes and will stop at nothing to help you grow.