Digital Marketing ROI: Key Metrics To Understand
In today’s highly competitive digital marketing age, almost every marketer is well aware of the importance of measuring ROI and metrics. With literally hundreds of numbers, statistics, and analytical combinations available and easily accessible to give you insight into your marketing efforts and customer behavior, it becomes a daunting task to select right type of metric to track. There is no point in monitoring metrics that are not relevant to your business and marketing plan. It is essential to have proper understanding of metrics that help measure the performance of your digital marketing campaigns, lead generation, site traffics, and revenue, etc. and then invest time in analyzing the metrics that would really matter for your business.
So, here are some basic metrics that can prove to be important for your digital marketing campaign: the metrics are categorized into 3 groups
Traffic: Primarily tracked and monitored during the traffic generation stage, traffic metrics are very significant for SEO as well as PPC digital marketing techniques.
- Overall Site Traffic: It does not mean just the number of hits your website gets or page views. Focus on significant changes in traffic flows to your site.
- Traffic Sources: Insights about sites/particular sets of keywords and phrases that brought traffic to your site will let you focus on your digital marketing campaigns
- Mobile Traffic: Tracking your mobile visitors can be helpful in effective structuring and planning content and engagement.
- Click Through Rate (CTR): CTR is essential for email marketing and paid ad campaigns. The higher the CTR, the better your Quality Scores will be and this can dramatically lower PPC costs.
- Cost Per Click (CPC): It defines the average cost to bring a click for marketers.
- Conversion Rate (CVR): this is an important metric that tells you about actual website visitors that gets converted into leads or sale.
- Cost Per Lead (CPL): understanding how much you are paying for each lead is important and this metric defines the lead conversion ratio of a particular campaign and related cost.
- Bounce Rate: it is the percentage of visitors who enter the site and leave without browsing other pages. It is important for improving or optimizing content.
- Rate of Return Visitors: Website popularity is not only determined by the amount of traffic your site is generating. The rate of return visitors is also important to have an insight on how to improve your content to grab attention of website visitors and improve conversion.
Cost to acquire a customer: This metric is essential to figure out your cost per acquisition. It gives you insight about what it costs to get a sale. This can be helpful in having a firmer grip on ROI.
Conversion Rates by Channel and device: This metric tells you the where the bulk of your customers are and/or where the marketing efforts are effective.
There are numerous metrics to measure success of digital marketing ROI. It is important to be keen about metrics that work for your business and maximize the benefit. Keep improving and establish a better digital marketing campaign. You can also partner with a Professional Digital Marketing Agency to help you further in this regards. Get started now!