10 Key Marketing Metrics Your Business Needs to Report on in 2022
No matter how impressive your marketing plan may be or how incredible your deliverables are, a marketing campaign that isn’t keeping track of the right marketing metrics or KPIs will never be able to back up all of the good work it’s doing.
Although it isn’t possible to monitor every metric, there are a few bankable ones that can be applied to all types of marketing campaigns. We’ve put together a short guide detailing the top 10 marketing KPIs that all businesses should track across their marketing efforts heading into the new year.
Each can be readily collated and analyzed with the help of a project management software like Scoro, which can also highlight marketing KPIs that could be useful to keep an eye on for future campaigns in the process.
1. Cost Per Lead
Cost per lead (or CPL) is a valuable metric that measures the total amount your business will need to spend on a campaign to bring in one new lead.
This can be broken down for each of the marketing channels being used, allowing your team to see which channels offer the best overall return on investment. Knowing where your leads are coming from matters too — but more on this later.
CPL is most prominent in the realm of paid social media advertising.
CPL is measured by taking the total amount of marketing spend and dividing it by the number of new leads generated across the campaign period.
Some businesses only track this quarterly, but marketing agencies are best off reporting on this every month or after each campaign phase.
2. Cost Per Acquisition
CPA, otherwise known as cost per acquisition, is a metric closely linked to CPL. It is also a measurement of marketing spend, albeit one that tracks how much it costs to bring in a new customer rather than a single lead. CPA can’t be broken down into a single number, as it can vary significantly between different channels.
CPA is calculated by taking the total campaign cost and dividing it by the number of actual conversions.
The result is an accurate snapshot of the true revenue impact of all marketing efforts. Different industries will have different numbers that indicate positive results. The more you calculate that metric over time, the more likely you’ll discover a reliable ballpark figure for each client.
3. Customer Lifetime Value
Customer lifetime value allows you to get a holistic view of how much each of your customers is “worth”. It signals true ROI by calculating projected spend right from the first time a customer is converted all the way through to their final interaction with the business.
Knowing the average of what a customer spends and how often they are likely to buy from you lets you create a dataset that makes it much easier for your clients to carve out their marketing budget every year.
The actual calculation for CLTV is complicated to do by hand, so investing in software that can run the numbers for you is well worth it. Scoro not only helps you calculate your CLTV but integrates it with other metrics so you can provide clients with a clear picture of who their most valuable customers are.
4. Content Engagement
The importance of content engagement is widely debated among marketers. Still, the fact it’s such a hot topic shows that it remains one of the essential digital metrics to report on.
Superior to just tracking impressions, it covers social replies and shares, blog comments, PPC efforts, and more. Measuring engagement will vary from platform to platform, each of which should offer free backend tools from which to pull this data.
Because content is consumed by people at many different stages of the marketing funnel, it’s important to have the right software to track and analyze these metrics to see potential blind spots and potential opportunities for taking campaigns to the next level.
Everything about your business, one click away
5. Time Spent on Page/Site
Another engagement metric useful to keep an eye on is the average time spent on a client’s site or campaign-specific landing page. The longer a user spends on either, the more likely it is they are absorbing the information and exploring the rest of your content or services. Shorter visits are clear indicators for areas of improvement.
It isn’t possible to track this metric without the help of external software. Google Analytics is one of the most commonly used tools for this — and it’s free, which sweetens the deal.
If set up correctly, your client will be able to break down the time spent on a page without much fuss. You can integrate Analytics data in Scoro and make sense of your findings alongside other key datasets in a single customizable dashboard.
6. Bounce Rate
Bounce rate measures how quickly people navigate away from a page after they land on it. A high bounce rate on a campaign-specific page — especially one that has any important calls to action — should be a definite cause for concern.
The more people who navigate away within a second or two of accessing the page, the higher the bounce rate. This may signal there is a technical glitch, the page takes too long to load, or the layout or copy is generally unappealing.
Any of these issues will ultimately reduce lead conversions and ultimately drive up your CPA to boot.
7. Traffic Sources
Most SEO campaigns are highly focused on generating organic search traffic. While knowing about the traffic sources for this phase in the marketing funnel is important, it’s also worth measuring where traffic is coming from on the whole website.
A modern analytics tool can give granular data on these traffic sources, including whether visitors are viewing the site via desktop or mobile, which operating system they are using, and so forth.
Knowing this is significant, as it paints a better picture of the target audience persona. Future campaigns can be geared towards the visitors that are most likely to convert, leading to better results for digital marketing campaigns.
8. Brand Mentions
Brand mentions shouldn’t just be a way for businesses to respond to negative feedback from customers. More importantly, they should also be an indicator of how people feel about your client.
Poor brand sentiment can indicate that your marketing efforts are not hitting their mark or that there is a bigger problem in the way that your customers are engaging with a product or service.
From setting up Google Alerts to tracking social media tags, brand mentions can dictate how marketing campaigns take shape over time. How often a customer engages and what they are saying about your brand, product, or service is useful (and free) research that will come in handy for future marketing campaigns.
9. Customer Churn
Customer churn refers to the percentage of customers who have stopped using a product or service over a fixed period, usually measured across the timespan of a campaign.
Customer churn can be calculated by dividing customers lost during that specific period by the total customers the client had at the start.
Ideally, this number will be as close to 0% as possible. A 3% loss might seem rather insignificant at first, but if that figure is repeated over four quarters, your client is losing a large chunk of the customer base. This should raise alarm bells that your marketing efforts need to head in a different direction right away.
10. Conversion Rate
Finally, the conversion rate is one of the most important marketing metrics to be keeping on top of. It highlights how many people reached the final stage of the marketing funnel as a result of the efforts of a campaign, though this stage doesn’t necessarily have to be the point of sale. Clients may have different KPIs related to increasing newsletter signups, brochure downloads, or simply getting user input on a webpage.
Measuring the conversion rate requires setting up a landing page that will only be visible to people who are considered to be conversions (like a thank you page). It should be hidden from search engines so that the data isn’t skewed by organic traffic from sources that are unrelated to the campaign.
Equipped with the essential marketing metrics, your team is now ready to create even more engaging campaigns to drive additional leads and conversions into 2022.
These metrics — used in collaboration with a work management software like Scoro — make it easier for you as a leader to measure and give data-driven feedback on each one. And in a world where time and resources are in short supply, what more could anyone possibly ask for?
To discover how Scoro can help you report on the KPIs we’ve listed above, as well as all manner of other metrics, start your free 14-day trial today.