Modern day marketing is mostly data driven, especially in terms of Digital Marketing. And with the ability to measure, track and attribute everything, there really is no reason to do anything ‘on-the-fly’.
Web analytics tools, for example, collect and report data on how people interact and engage with your website. Understanding these metrics enables you to identify your most effective marketing channels and help you gain a competitive advantage.
Digital Marketing Metrics and Analytics
Almost all digital marketing tools out there have some form of measuring success based on various metrics available to businesses. Metrics are categorised into three groups according to a basic representation of any digital marketing campaign – traffic generation, conversion and revenue.
This involves SEO (Search Engine Optimisation) and PPC (Pay Per Click) digital marketing strategies and techniques. Measuring overall site traffic is important but don’t focus only on page views, also look at unique web visitors. Understanding where your leads come from means you need to know your traffic sources and keywords that brought them to you in the first place. Knowledge is power and in this instance, it can really help improve your digital marketing campaign.
The ever-increasing number of mobile users expect fast, reliable, and accessible web content. Mobile traffic provides marketers with more and more revenue sources. Understanding how your mobile audience interacts with your website is vital to delivering engaging content.
CPC (Cost Per Click) is just one example of paid advertising. The value of each click depends your keyword’s popularity, your quality scores and the search engine’s standard price. Quality score is influenced by CTR (Click Through Rate) where each time your ad is viewed, an ‘impression’ is made.
CTR measures how many visitors actually click on your ads and the more impressions a keyword receive, the more popular it is. As a result, you can lower your PPC cost as search engine marketing platforms, like Google Adwords, offer discounts.
Conversion rates are different for every business. Whether you want to gather valuable data about your website visitors, potential clients or convert site visits into sales. Accurately monitoring your conversion rates can ultimately define your digital marketing success.
Bounce rate indicates if your visitors immediately leave your site which reflects on content quality. If they ‘bounce’ or exit as soon as they arrive it means content is likely irrelevant to their direct needs. This ties in with average time spent on your site and average page views per visit. When visitors find content interesting and relevant, they tend to stay longer and drive site traffic as a result. In the process, you gain their trust from where they will eventually convert.
They are more likely to engage if they’ve viewed more pages per session. Chances are also greater to convince visitors to convert and become leads or paying customers. At the same time, your cost per page view should be lower than what you can make from the page in order to turn a profit.
Generating new traffic is important but the number of returning visitors also measures your website popularity. Knowing your rate of return visitors provides you with valuable insight on how you could improve content to attract those who have not converted.
Return on Investment (ROI) helps identify areas where your digital marketing campaign is performing and where it needs attention. Calculate the (CAC) Cost to Acquire a Customer by dividing the total marketing and advertising costs for a specific time period by the number of new paying customers generated during that same date range.
The end goal is always to determine if a particular campaign is profitable or not. Adjust content for better engagement, improved conversions and more revenue. The most important metrics are the ones that tie closely to business results – regularly reviewing these vital reports will enable you to significantly improve your marketing impact.
Get in touch if you need help achieving your online marketing goals with social and web analytics. We provide full house digital marketing services including SEO, PPC, Marketing Automation, Adaptive Web Design, Social Media and Email Marketing among others.