More than likely, you know what KPIs – or, key performance indicators – are. They’re used in marketing (on and offline) to help identify your business goals and to measure, step by step, the successes along the way. If you haven’t considered your KPIs recently, though, then maybe you should!
How KPIs Can, or Should, Change and Grow
“It all comes down to what stage your business is at, its goals, and identifying the supporting metrics that can help you get there.” Often times, KPIs are established at the beginning of the project lifecycle, and are then left untouched for some time. They may even be left completely as is until the project comes to its fruition, and that may generally be fine. You should, though, consider reasons that you may want to reexamine KPIs and perhaps consider if there are better ones that might work more effectively for your online strategy.
“Collecting and analyzing data promotes better decisions and helps you be proactive in identifying, nurturing, or reversing trends.” KPIs, then, allow you to more easily identify the things that are most important to your company. When establishing them, it’s important to keep in mind that these indicators are considered to fall under the umbrella of “metrics,” but conversely, not all metrics can be considered KPIs. This is an important distinction that essentially boils down to the idea that metrics help us to determine what steps are, and have been, beneficial to the KPI.
Unique Metrics for Your Unique Business
So, how do you know what KPIs are best-suited for your business? After all, all businesses are different, and therefore have their own specific goals. The first step in this period of identification is to recognize the stage in which your company finds itself. If, for example, “you’re a startup looking to crowdsource funding for a new consumer product, your return on ad spend to get in front of potential backers is probably more important than time spent on-page.” So, newer players in the space will likely have different indicators of success than those who have been in business for much longer.
Again, keep in mind the distinction between metrics at large and KPIs. Though a handful of metrics will contribute to your measurement of success, KPIs should be more limited in the amount tracked at one period of time. Is this a short or long-term goal? How frequently might you need to look over the campaign setup and potentially make changes? A business with emphasis on certain seasonal services in particular (such as a landscaping company) might need to pay attention to this.
What is Your End Goal?
“As you narrow down your list of potential KPIs, remember that the ones you ultimately commit to should be significant, contribute to an overall objective, and thus, translate to business benefits.” You want these KPIs to be easy to understand for everyone on your team, too, so it’s clear to all if you’ve been successful in these endeavors.
Finally, if your KPIs still seem right for what you’re trying to accomplish, then you may want to at least tweak them for a bit of a boost. What we mean by that is, for example, to look at your user’s journey through the process and to isolate a metric for each stage. Then, you’re better able to observe the different marketing channels that are in use, and thereby see how they influence your KPIs.
This might sound a little bit more complicated than you’re used to, but we’re here to help! If you need a hand with anything KPI related, such as establishing them in the first place or getting them in better shape from where they are now, then get in touch with Eyler Creative today!