For any business that jumps on the digital marketing bandwagon, it can be a bit confusing to determine whether its campaigns are successful or not. Fortunately, companies can use a number of digital marketing metrics to determine the impact of their campaigns, from branding and awareness to sales conversions.
What Are Digital Marketing Metrics?
Digital marketing metrics are values that inform marketers on the performance of their campaigns. These values tell them whether a campaign is successful or not and identify opportunities for improvement.
Digital marketing metrics include bounce rates, page views, time spent on a site, ad viewability, cost per acquisition (CPA), click-through rate (CTR), sales conversions, and return on investment (ROI).
Marketers rely on digital marketing metrics to measure the success of a campaign and improve it in cases where they’re not satisfied with the results.
How Do Metrics Differ From KPIs?
Some people use both terms interchangeably, while others confuse them. However, Key Performance Indicators are key measures that have a massive impact on moving a company forward.
Meanwhile, metrics are ”business as usual” measures. They add value to an organization but aren’t necessarily a standard you have to achieve. It’s important to note that both are quantifiable tactical or strategic activity measurements.
However, KPIs reflect an objective or goal of a business and show how successful the business was in achieving that goal. On the other hand, a metric reflects how successful the business activities pertaining to the accomplishment of the KPIs are.
What Can Metrics Measure?
Digital marketing metrics can measure the success of a company’s activities in accomplishing its KPIs. At the core of digital marketing, metrics measure the effectiveness of every task carried out by a digital marketing team.
These tasks can include SEO, PPC, or social media marketing. The ultimate goal is to demonstrate how successful these strategies were in achieving an organization’s KPI.
BOUNCE RATE AND HOW IT CAN BE IMPROVED
Bounce rate reflects the percentage of visitors who come to your site and leave instantly or without viewing other web pages. The bounce rate tells you about user behavior on your website.
When it’s high, that means that users are leaving soon after they arrive. They’re apparently not finding what they came for.
COST PER CONVERSION: HOW MUCH DOES A CUSTOMER COST?
Cost per conversion means the average amount spent on advertising to generate one conversion. Simply put, it’s the amount of money a business spends to acquire a customer that makes a purchase.
For example, if you’re using Google Adwords, the total cost of your ad campaign is divided by the number of conversions. Then you can see how much money you spend to convert one lead into a customer.