- Have you ever set goals for your business?
You know, like people tell you, you should.
And then you've wondered,
how is this stuff actually going to happen?
That's why you need KPIs.
Key performance indicators
are metrics that you set, that you measure,
that will tell you,
are you on your way to achieving your goals?
In this video I'm going to talk you through
what KPIs are.
And we're going to look at an example
of how you might slot these in
to a digital marketing strategy for a business.
(swooshing)
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By setting KPIs you can make sure
that you actually achieve your business goals.
And also that will tell you if you won't
so you can go back to your strategy and you can tweak it
and try again.
And they can be anything that is specific,
that is measurable and that is relevant
to your business goals.
For example, conversion rate,
by improving your conversion rate
at each step of your customer journey,
you can get more customers.
Relevant audience growth,
once you've worked out all your conversion rates
you may discover that your Instagram followers
are more likely to buy.
So growing your Instagram following could be a KPI.
Your email list,
if you find that your emails are sending you more customers,
then one of your KPIs
could be growing your email subscribers.
When you set KPIs for each phase of your digital marketing
and measure it regularly,
you'll be able to see what's working
and you'll be able to go in
and adjust your marketing as you go.
(swooshing)
Where do you start when setting KPIs?
Well, start with your goal
and work backwards through the funnel.
Starting with awareness,
awareness helps you broaden your audience
so you can use things like organic social, advertising,
influencer marketing, large content projects,
to help you reach new people.
To set a KPI for this
you're looking to grow your audiences
on the specific networks and channels
that drive the most sales.
Start by defining the channels
that are driving the most sales
then devise a plan that's going to help you
increase your audience on those channels
and measure the relevant audience growth over time.
That's your KPI.
(swooshing)
Consideration, this is the phase
where people are a little bit further
through the customer journey
and they're thinking
about buying from you.
To move more people onto the next phase,
you need to reassure them
that they're making the right decision.
So content like testimonials and case studies,
user generated content, blog posts, and videos
that answer every question that your customers may have
is what works here.
The more of this type of content your customers consume
the more likely they are to buy.
So what KPIs should we set for this?
You can look at the number of pages
viewed by each visitor to your website.
You can look at views on key content,
that content that is designed to convert.
You can look at the time that people are spending
on your website.
You can look at link clicks to sales content
from your social media channels and your emails.
You could look at the number of email subscribers you have.
The number of enquiry forms that are filled in,
or the number of people that are adding
your product to the cart.
The third phase is sell,
and this is the ultimate goal.
We want to sell more.
And of course, the obvious KPI for base is sales.
(whispering) Obviously.
But there are other metrics we can measure
to see how successful our sales process is.
And this is where conversion rate comes into its own.
What is conversion rate?
You can watch this video,
once you've finished watching this one,
and it will explain it all.
For your KPIs you want to look at the conversion rate
for each phase of the buying process.
So from a website visitor to a landing page view,
from a landing page view to somebody filling in
an enquiry form,
from an enquiry form to you setting up a sales call,
from a sales call to actually making the sales.
When you work out the conversion rate
for all those bits and pieces,
you can start setting KPIs either for one phase
or for the whole process.
All these numbers can be a little bit overwhelming,
can't they?
Well, let's have a look
at how this may translate into a service-based business.
(swooshing)
For the awareness phase,
start by defining the type of people who will buy from you.
And once you have that profile in place,
go to your social media accounts,
go to your Google Analytics
and see how many people who follow you
or visit your website,
actually fit into that profile.
Your KPI then
would be the growth of those relevant audiences.
For the consideration phase,
create some content that answers
your common customer questions
and deals with the problems that you solve for them.
Gather together some testimonials and case studies
then use your organic social, paid advertising
to drive traffic to that content.
And your KPI,
how many people actually visit that content
and how many pages are the people
that are coming from those channels
looking at in one that session.
You can also design a email marketing campaign
that is going to deliver relevant information
to the people who might buy from you.
Devise a targeted lead magnet
that will drive qualified email subscribers
and then use your social media, your paid advertising,
to attract those people to your email list.
Your KPI here would be the number of email subscribers
that you get from that lead magnet.
For the sale phase,
map out your sales process
and measure the conversion rate of the whole thing
and of each individual stage.
Your KPIs then
would be the overall conversion rate
Or maybe you just want to measure the conversion rate
of one specific piece that you're trying to improve.
The most important thing about KPIs
is that you measure them regularly.
So set up a spreadsheet,
set up a time and a date each week
that you're going to go and hunt out those metrics.
Defining KPIs and measuring regularly
will help you set goals for your digital marketing.
Goals that will have a real impact on your business.
So tell me,
what KPIs are you going to set for your business?
Let me know in the comments.