Marketing is a broad area that incorporates multiple metrics that need to be monitored to evaluate the performance of the business. Remember that one metric cannot be used to determine the progress of a given business. You need to diversify multiple ways on how you track the metrics.
Approximately 71% say that strategic use of keywords significantly impacts marketing strategies. It is vital to measure the progress of your business to identify the impact of your marketing efforts. To gauge the value of your business, consider different points to get the intended information.
This article covers all the marketing metrics for businesses to track and gauge their progress within a stipulated time frame. Even though most business owners do not understand more about these metrics, this content piece summarizes every aspect. Let’s walk together!
What are Marketing Metrics
Marketing Metrics refers to the measurable aspects in the form of values such as numbers and percentages. They are usually tracked by marketers to evaluate the performance of a business or an agency. Also, marketing metrics help to identify the efforts of your marketing strategies.
On most occasions, marketing metrics are presented in the form of business reports displayed in charts, graphs, and lists. The reports are generated within a stipulated time frame depending on the business owner’s choice.
Every business has an independent strategy that it uses to monitor its marketing metrics and reports to understand their flow of strategy, As reports consist of different charts like Bar chart, line chart, Data flow chart, survey charts, sunburst chart Excel or Google Sheet. Below are some of the most popular metrics that companies track.
The Average Fixed Costs
The business costs refer to the costs that stay constant in the long run despite the business recording less or more sales89. This includes things such as the office rent, utility bills, and many more.
To identify what your business is capable of paying for every unit to enhance the smooth running of operations, you need to identify the average fixed costs. To calculate this aspect, you need to divide your total fixed cost by the number of produced units.
By Making this calculation, you will be able to find out the impact of fixed costs on the products and services you are dealing with and the profit you are likely to make within a particular duration. The figure you get is a rough estimation that can help you understand your business’s strides.
The bounce rate is closely related to the time spent on the site metric. However, this metric is more specific and direct to the point. The bounce rate most refers to the aspect of an individual visiting your homepage then leaving immediately without perusing through other pages on the site.
In most cases, the bounce rate indicates that visitors are not interested in what you are doing. It is vital to identify every possible reason behind this aspect to ensure that your business site offers everything that prospects need to see.
Once you realize that you are recording a higher bounce rate, it indicates that your homepage is poorly designed or you are targeting the wrong audience. Targeting the wrong audience is common, especially if you have not done your market research in the right way.
Focus on tweaking your business site a little bit to improve and eliminate bounce rate. Evaluate your target audience and analyze if your customers are the people you have been targeting. Evaluate all your customer profiles to ensure that you have the right people at your disposal.
The conversion rate refers to the percentage of people who end up on your landing page, and they turn out to be your customers in the long run. Note that this metric can be closely related to the bounce rate.
Any landing page that records a higher bounce rate always has a lower conversion rate. However, this is not applicable at all times since things can change. A poor conversion rate is a negative thing since it impacts the profitability of your business site.
A poor conversion rate means that you are spending a lot of money on push marketing which only focuses on sending people to the page and not recording any sales. If you register a lower conversion rate, you need to tweak your landing page to persuade prospects.
Return on Investment (ROI)
Among the most fundamental metrics in a business setting, Return on Investment is among the pillar metrics of every business. Due to the impact of this metric on the success of any business, it is essential to track ROI in your business.
By tracking this metric, you can easily identify the tactic that results in high revenue returns. Also, it recognizes the marketing efforts that result in poor results in the long run. This helps allocate resources to features that contribute to a steady growth of your business.
You should not toss your marketing strategy immediately when you realize low performance. Think of a way you can adjust the strategy to generate compelling results at the end. Be creative enough and tweak various aspects to make your strategy work accordingly.
Engagement Rate mainly refers to the interaction between the business and the target audience. This includes things such as comments, shares, retweets, and many more. It showcases whether anyone who met your content found it interesting or not.
On most occasions, the engagement rate is used to measure the percentage of people who interact with the content within a specified time frame. It is crucial to ensure that your business site has an extensive engagement rate to increase the number of sales and profits.
If you record an engagement rate of less than 1%, you should not panic since you need to make slight improvements to make the results better. The solution to this might be simple, just like implementing data visualization and publishing highly interactive stories. Remember that everybody on the web is always searching for interesting stories that can help them improve their lives.
Approximately 36% of marketers use traditional marketing methods to attract potential customers and attain their goals in business. The above mentioned are some of the top metrics that you need to track in your business to place your brand on a competitive edge.
Author Bio: Lori Gillen is a Blogger/Content Creator who is specialized in the field of Digital Marketing & Data Analysis with 5 years of experience. Currently working at PPCexpo as a Senior Content Creator.