Measuring Marketing Success: KPIs Every Marketer Should Track and Why

You crafted the perfect campaign, sprinkled it with creativity, and released it into the wild world of consumers.?

But hold up!

How do you know if your marketing is hitting the bullseye or missing the mark entirely?

Yes, measuring your marketing is mandatory!

There is a lot of buzz among marketers about the different types of Marketing KPIs they use to measure their marketing success. Every marketer has some new story to narrate. There are a number of KPIs available.

So, if you are unable to choose the best ones for your business, let us provide an exclusive list to help you maximize your efforts. But before moving onto the list, the article chooses to provide you with the importance of Marketing KPIs. Read On!

What are KPIs? Why are They Important?

Key performance indicators, or KPIs, are measurable factors that help assess the success of marketing efforts or campaigns.?

With Marketing KPIs, you and your team get specific targets that ease those complex evaluations, thus saving time and resources.

The Type and Number of Marketing KPIs to be Used

What KPIs will help you make informed decisions about your budgets and marketing strategies? The answer depends on your business and its goals. Figure out if it is Conversion Rate Optimization, Measuring Brand Awareness, ROI Tracking, Customer Acquisition Cost, or other similar measures.

You can easily choose among your options by:?

• Selecting the marketing KPIs that align with your organizational growth goals, such as selling more merchandise, generating leads, driving subscriptions, etc.
• Using KPIs that highlight the value of marketing efforts to demonstrate the impact of marketing activities on revenue.

When discussing the number of KPIs required to measure marketing success, remember that there are no general criteria for determining the number. The answer depends on your business and the number of channels you wish to utilize.?

To manage campaigns effectively, it is recommended to keep things simple. You can track only three common marketing KPIs rather than measuring performance through multiple ones. This approach is very helpful in not overspending time on reporting and work.

The KPIs For Every Marketer

The key Marketing KPIs that today’s marketers need to track for measuring digital marketing success are as follows:?

1. Return On Investment (ROI)nbsp;

Return on investment (ROI) is an estimation of an investment's profitability. It is about calculating the total amount of money spent on advertising and comparing it with the income generated.?

It reveals the value of marketing initiatives and provides logic for spending money on upcoming campaigns. Investing in the right tools, such as ReportGarden, makes tracking ROI a piece of cake.

2. Customer Acquisition Cost (CAC)

Customer Acquisition Cost (CAC) is the total cost of sales, marketing, and equipment needed to convince a customer to buy a product/ service.?

The best way is to concentrate on the channels and campaigns that are most likely to generate clients that convert. These are the ones that ensure a consistent flow of income. The total expenses of all acquisitions are divided by the number of new clients drawn within a specific period of time to get the cost per acquisition.

3. Cost Per Lead (CPL)

Cost-per-lead is a pricing model for digital marketing in which advertisers are required to pay a fixed amount for each lead generated. Businesses that provide premium goods or subscription services frequently use this model. And for advertisers, cost per lead is a particularly important number. To calculate the cost per lead, you simply divide the overall cost of website traffic by the total number of leads, and you'll get the result.?

4. Conversion Rate:

Conversion rate is a percentage that helps calculate conversions, website traffic, or marketing campaigns. You must divide the total number of visits by the number of conversions in order to get the conversion rate. The conversion rate in various industries varies, but it is evident that higher prices lead to lower rates, as selling a house is more challenging than selling a pair of shoes.

Conversion rate optimization boosts lead generation by increasing the percentage of website visitors completing specific actions through content enhancements, split testing, and workflow improvements.

5. Email Open Rate (EOR)

This metric indicates the number of recipients who open your email. Measuring brand awareness becomes easier via email open rate as it tracks down client engagement. The relevance of your subject lines, headers, and topics to your target audience indicates the success or failure of your marketing efforts.

Let ReportGarden Automate Your KPI Tracking

Now that you have the list of the top marketing KPIs that every marketer should track. So, do not miss out on the valuable insights. Track some of these KPIs to know what is working and what is not while you pull the reins of your new marketing efforts!

Digital marketing tools like ReportGarden automate tracking of such marketing metrics, offering comprehensive reporting, engagement, events, list growth, email heat mapping, dashboard, etc. You can acquire more insightful and useful information about how well your marketing is doing and use that information to inform more data-driven decisions about how best to spend your money.?

FAQs on Marketing KPIs

1. What is the Click-through Rate (CTR) used for?

CTR is a key performance indicator for digital campaigns, indicating customer engagement. You can measure the effectiveness of your keywords, advertising, and free listings by looking at the clickthrough rate (CTR). You need to divide clicks by impressions to obtain CTR.

2. Why is tracking ROI challenging?

Tracking ROI is challenging, especially when multiple channels drive leads and customers. Only over half of marketers are confident in their ability to track ROI.?

3. What is a marketing KPI dashboard?

A marketing KPI dashboard serves as a marketing analytics tool for marketing and sales teams. It lets you monitor and report on the effectiveness of your web marketing, which helps you with marketing strategy and goal-setting.