In order to evaluate the effectiveness of your branding, marketing, digital strategies, and campaigns, you’ll need to capture and analyze the right data.
Setting up analytical dashboards for monitoring key performance indicators (KPIs) should be done from the beginning of your digital efforts, and can be completed fairly easily now thanks to tools for automation.
You’ll first want to establish what KPIs are most important to your business. While there are many industry standards for understanding your customers and sales, the actual numbers or amounts are quite individual for each company, depending on company size and age, industry, products or services, and sales methods.
For example, fashion e-commerce KPIs will not be the same as high-touch enterprise software solutions, though both types of companies should measure lead to customer conversion rates.
Other metrics that will have strong indicators on performance of your digital strategy are things such as number of site visitors (with percentage of new versus returning visitors), webpage bounce rate, number of pages viewed per session, and average time on page. For marketing and branding efforts, companies should be looking at engagement on social media in the form of follows, likes, views, comments and click-through-rate (CTR). For inbound marketing and marketing automation, your dashboards should be set up to monitor landing page performance for conversion rates, CTRs on call-to-actions (CTAs), email open rates, email link CTRs, and unsubscribe percentages.
For understanding the overall effectiveness of your campaigns and digital strategy, you should properly evaluate your cost per acquisition of new customers (CAC) and the average customer lifetime value (CLV, or how much they spend over their lifetime with you through recurring or repeat purchases).
Your digital strategist will help you to determine the best KPIs to evaluate, and what makes the most sense not only for your business, but your overall strategy.