Focusing on bad marketing KPIs is like dressing up the perfect Thanksgiving turkey but forgetting to turn on the oven. By the time you’ve corrected, it might be too late.
Too often, marketers (even the “expert ones”) will hyper-focus into one or two KPIs and neglect other strategies that drive success. While this might be a passable (if archaic) strategy if you drink and bleed keywords or have studied the SEO arts under a frigid waterfall, it is disastrous if your strategies are also out of place.
Pairing poor time management with bad strategies is the surest way to watch your marketing dollars circle the drain without a single new customer to show for it.
This blog touches on what I believe to be some of the worst offenders when it comes to ineffective KPIs, along with some alternatives that I believe will set you up for more tremendous success if implemented alongside your next marketing project.
The Worst KPIs For Marketing
PageRank was the most prominent tool for SEO marketers for a decade.
Google’s free toolbar would give you a ranking corresponding to your page’s “authority” and attractiveness following user searches. Luckily, Google realized this was an unwieldy tool as the complexity of digital marketing grew. The tool was officially retired in 2016, though the internal patented metrics continue to be a part of Google’s algorithms. Bottom line: if your marketer still speaks about your “page rank,” they may be living five years in the past. Yikes!
Email Open Rates
While a strong email open rate is great for bragging rights, the actual numbers speak to a much less impressive story.
It might be tempting to imagine how a 45% open rate on emails might seem when sending out your cold email. That means a ton of your message is getting through! The problem is, out of those that open the email, only 1% will usually respond.
Ultimately, when you see 45%, what you might actually end up seeing in your funnel is 1% of 45%. Not a great look. Focus your efforts on conversion, not the illusion of customer activation.
The Best KPIs For Marketing
Clicks and Conversions
A click and a conversion is a sign that your customer likes your marketing, sees the value of your product, and is looking to buy or learn more. This is the digital equivalent of a customer coming into your store rather than just browsing from the window.
Maximize the strategies that gain you conversions, and don’t waste time on those that don’t. Building off of your success is the best way to nurture new leads effectively.
Digital Marketing ROI
How much have you spent on your digital marketing? Okay, now how much have you gained from that spending? Divide the latter by the former and you’ve got your ROI. The bigger this number, the better!
Even if you’re achieving leads, they should not come at the expense of ongoing losses. Examine your strategies and reflect on whether the cost is truly worth the gains. If it’s not, consider alternative (and lower cost) strategies that can leverage the most effective parts of your current strategy.
Marketing is about getting customers into your funnel, but the only way to know how effective that strategy is will be through examining your lead-to-customer ratio.
Out of all of the “leads” who enter your funnel, how many see the process to the end? If the number is low, it warrants an audit of your current procedures. Where are you losing these leads, and is there any way to win them back? Better yet—is there any way you keep them from leaving your pipeline in the first place?
So that’s that! My worst of and best when it comes to marketing KPI’s. We covered a lot of ground today—if you’re looking for a refresher or a closer look at your own strategies, I’m all ears.
My data-driven strategy allows you to keep the best parts of what allows your business to thrive and trim the systems causing you a loss of capital, time, and sleep. Let’s chat and see how Megan Killion Consulting can transform your business today.