Sharing marketing KPIs with your team is a terrific way to boost your company’s productivity. Continue reading if you’re a marketer who wants to share some marketing KPIs with your team.
What is a Marketing KPI?
A key performance indicator (KPI) is a measurable metric that shows how far a company has progressed toward its objectives.
In marketing, a key performance indicator (KPI) is a quantitative value linked to a marketing campaign’s specific goals. It shows campaign progress and helps in determining marketing performance at the end of the campaign.
Marketing KPIs differ from standard marketing metrics in a few ways. KPIs are linked to progress. They display results for certain projects and campaigns.
Marketing metrics are figures that should be tracked regularly. They determine how well marketing projects are performing and whether they are contributing to the growth of KPIs and business objectives.
What is the importance of Marketing KPIs?
There are several reasons why marketing KPIs are important. Some of the reasons are as follows:
- KPIs Boosts Employee’s Confidence
A company that encourages and motivates all of its members is more likely to succeed than one that does not.
KPI tracking can be about recognizing employee’s efforts and assuring their sense of responsibility and accountability.
When people are responsible for KPIs, they are much more likely to push themselves and get more satisfaction from a job well done.
- KPIs Help in Personal Growth
It is possible that not every campaign or product update will succeed in meeting its objectives.
However, tracking performance against those goals, whether good or negative, generates a learning atmosphere.
You can know exactly how you are doing at any given time, thanks to KPIs. You are no longer required to tabulate the data at the end of a quarter or project.
- KPIs Help to Achieve and Impact Business Objectives
Business objectives benefit from KPIs because they maintain goals at the forefront of decision-making.
Business objectives must be adequately communicated throughout an organization.
When employees are aware and accountable for their individual KPIs, the company’s larger goals are kept in mind. It’s tough to design effective marketing strategies and evaluate marketing results without KPIs.
Sharing marketing KPIs with your team keeps them motivated and productive. The figures demonstrate how successfully their efforts are yielding benefits and how much they still need to improve.
By sharing marketing KPIs, your team will make better suggestions for improving campaigns and achieving the objectives you’ve set.
But, more importantly, what marketing KPIs should you share with your team?
Before diving into that, let’s just talk about how frequently you should inform your team about the marketing results?
How Frequently Should You Inform Your Team about the Marketing Results?
According to the experts, it is best to share the marketing results with your team once a week or once a month. About 49.2% of marketing teams like to share their KPIs once a week, and 39.3% like to share them once a month.
What are the 10 Marketing KPIs You Should Share with Your Team?
Below mentioned are the ten marketing KPIs you should share with your team:
- Sales Revenue
- Conversion Rate
- Qualified Leads
- Return on ad spends
- Cost Per Funnel Stage
- Website Traffic to Lead Ratio
- Customer Lifetime Value
- Attribution Of Marketing Revenue
- Customer Acquisition Cost
- Cost Per Acquisition
- Sales Revenue
The income that a business or an organization receives through selling goods, or the supply of services is known as sales revenue.
According to Dr. Pooneh Ramezani from Dr. Brite, the best approach to determine whether your marketing was successful is to examine the rise in sales revenue every day.
Ramezani suggests that “don’t be afraid to share your sales revenue with your coworkers.” Hence, you must keep your team informed about how much their efforts and initiatives are paying off in terms of sales revenue.
- Conversion Rate
The %age of users to a website who fulfill a targeted goal (a conversion) out of the total number of visitors is known conversion rate.
A high conversion rate is a mark of successful marketing. It indicates that people want what you’re selling and can simply access it.
“You must share the conversion rate of your marketing efforts with your team to understand whether your present approach is working or not,” says Inboard Skate’s Lucas Travis.
Sharing conversion rates with your team helps you re-evaluate why your current campaign is not getting leads.
- Qualified Leads
The next marketing KPI that you can share with your team is qualified leads.
The ultimate purpose of your efforts is to generate high-quality leads. Thus, keeping an eye on qualified leads will show you how successful your marketing efforts are paying off.
- Return On Ad Spends (ROAS)
The return on advertising spend (ROAS) is a marketing indicator that evaluates the effectiveness of a digital ad campaign.
ROAS assists digital organizations in determining which strategies are effective and how they might enhance their advertising efforts in the future.
Michael Knight of Incorporation Insight says that “this KPI is essential in measuring whether the organization is recouping the time and money invested planning and executing marketing campaigns.”
Thus, this is a vital KPI to discuss with the team to know how much revenue is earned and decide whether a campaign was successful.
- Cost Per Funnel Stage
One of the marketing KPIs to share with your team is the Cost Per Funnel Stage.
The cost per funnel stage assists your team in determining how the income invested is paying off while also identifying ways to improve it.
Jennifer Harder of Jennifer Harder Mortgage Brokers says that “you may evaluate expenditures at each level of your funnel, in addition to conversion rates, to see where potential money is being missed.”
- Website Traffic To Lead Ratio
The website traffic lead ratio gives particular statistics on the number of website visitors who become leads.
You must share the value of the site traffic generated by your marketing team. It is because you don’t only need to drive traffic; you need to generate qualified traffic from people who fit as your ideal customers and convert it into leads.
Marcin Stryjecki from Booksy tells how sharing this KPI helps him, “the KPI informs the team about the website’s traffic quality. The team can work together to enhance the low ratio by experimenting with targeting different personalities or using display ads.”
- Customer Lifetime Value (CLTV)
Another marketing KPI that you must share with your team is CLTV.
Customer Lifetime Value (CLTV) is a measure that estimates how much money a company may expect from a single customer throughout their relationship. “In marketing, there is no better strategy to measuring consumer value than going out to your existing consumers to discover what they value and where you can improve,” says Michael Robinson of Cheap Security SSL
- Attribution Of Marketing Revenue
“To determine the efficiency of your campaigns, you need to know how much money you can attribute to digital marketing,” says Tanya Zhang from Nimble Made.
Obviously, no firm wants to spend on something that doesn’t pay off. That is why it’s critical to monitor and credit all of your marketing activities.
With marketing revenue attribution, you may evaluate how much your marketing activities influence your income instead of the number of leads you closed by sharing this KPI with your team. Keeping track of this information allows your team to evaluate the value of its work.
- Customer Acquisition Cost
The next marketing KPI that you can share with your team is customer acquisition cost.
The customer acquisition cost is the best approximation of the total cost of acquiring a new client. It should comprise items like advertising costs, marketing salaries, salespeople’s salaries, and so on, divided by the number of clients acquired.
It is an important statistic for analyzing not only the marketing team’s effectiveness but also the overall health of the company.”
- Cost Per Acquisition
The last marketing KPI that you can share with your team is the cost per acquisition.
One crucial metric for marketers to track and measure is the cost per acquisition (CPA).
CPA will analyze the cost of your new clients and assist you in determining whether you need to update your plan or not.
“Week after week, month after month, the goal is to keep lowering the CPA. If you keep lowering your CPA, your profits will rise naturally,” says Jonathan Aufray of Growth Hackers Services.
Conclusion
Sharing marketing KPIs with your team is a great way to increase the team’s morale. It also helps in evaluating where changes are required in a business strategy.
Therefore, sharing the above marketing KPIs with your teammates is always a good idea to keep them on target. It helps you obtain everyone’s opinion on how to enhance a low-performing campaign.
Now that you know the 10 marketing KPIs, you can always reach out to websites such as Bizprospex to get the help you need.
