Today, we see more businesses shifting to a modern marketing approach (for example, using social media and digital advertising to direct customers to a company website). And with this shift, there is an impending need to identify the appropriate metrics (for example, the number of visitors to a company website or the number of links from a social media site to a company website) that will effectively measure a company’s success and progress.
Due to advances in new technology, the ability to track a wide range of metrics is not limited. However, Mike Volpe, content contributor for HubSpot’s Internet Marketing Blog, has identified the top five metrics to track at an executive level. These include website grade, website traffic, leads, new customers and customer acquisition cost.
Website grade: The website grade (easily attained from a number of analytics such as Google and HubSpot) is a comprehensive score from 1 to 100 that measures how well a website is doing. Metrics that are included in this summary take into consideration things like: Is the website generating traffic? Does a website have SEO problems? And how popular is a website on social media versus its competitors? To get your website grade right now, click here.
Website traffic: This is the total number of unique visitors to a specific website (in this case, a company website). Unique visitors are defined as intended individual clicks to a website. This is important to measure because it is directly correlated to the strength of a company’s online presence and SEO. In other words, the more unique visitors there are to a website, the more traffic there is which increases visibility and online conversations about a company. Social media, in particular, is extremely beneficial for targeting unique visitors and directing them to a website. For example, Twitter creates and maintains conversations with potential customers and partners who are also using Twitter. This conversation builds awareness for a company and encourages followers (customers and partners on Twitter) to click the link to a company website on a company’s Twitter profile page.
Lead: Each month, count the number of leads acquired by social media and Internet marketing efforts. This will help you form a decision as to whether or not these modern efforts have made a direct impact and if improvements should be made.
New customers: This metric specifically answers the question, “Do modern marketing efforts impact sales?” A company could use an analytics service or survey new customers to find whether or not they heard about the company through modern marketing efforts.
Customer acquisition cost: In other words, this is the total sales and marketing cost for each new customer. A new customer win that has a big impact on sales and that was achieved through modern marketing efforts shows a strong correlation between sales and Internet marketing. Analytics programs can easily calculate or provide the data to collect the customer acquisition cost. For example, Google Analytics can break down the activity individually for each tracked visitor to a company website. This data can be used to match the links clicked on a company website by a specific visitor to what they have purchased or provided for a company, resulting in the customer acquisition cost. According to Volpe, this directly attests as to whether or not it is getting easier or harder to grow your business.
Again, while this is not an exhaustive list of the metrics available, it is a great starting point, especially for businesses new to modern marketing and metrics reports. Each of these metrics is easy to implement and track, and the analytics programs – if not free – cost almost nothing. As you build your company and ability to track progress through modern marketing metrics, you will also become familiar with social media, increasing awareness, ROI and SEO for your company.