Data is vital to the success of any integrated digital marketing campaign. If you’re not tracking the performance of your ads in real-time, you’re missing out. The data from marketing analytics provide valuable insight about your campaigns. You can see what works – and what doesn’t – and adjust your strategy accordingly.
Not a numbers nerd? No problem! While it may sound intimidating, monitoring your campaign’s analytics isn’t as hard as it sounds. Once you understand which key metrics to track and how to interpret them, you’ll be able to optimize your efforts and get the most from your marketing investment. Metrics also help you set more realistic goals for future growth.
In today’s Marketing Minute blog, we’re sharing the best metrics and key performance indicators (KPIs) to track for your integrated digital marketing campaign. From cost-per-click to social media engagement, this data paints a vivid picture about your marketing that can set you up for long-term success.
1. Click-Through Rate
Click-through rate, often shortened to CTR, refers to the percentage of users who click on your ad compared to the number of people who view it. In an integrated digital marketing campaign, CTR provides valuable insight into the effectiveness of paid search ads as well as email campaigns, organic content, and social media.
A high CTR means that your content is reaching the right target audience. It indicates that your images and messaging – or the combination of the two – is compelling enough to make users stop scrolling and click. Robust CTR metrics also confirm that your ads are being served to demographics who will respond favorably to your product or service.
On the other hand, a low CTR means you’ve got room for improvement. If people aren’t clicking your links, ask yourself:
- Is the copy clear and engaging?
- Does the ad include the right keywords?
- Are the images compelling and original?
- Do I need to refine my target audience?
2. Cost-Per-Click
Cost-per-click (CPC) is a cousin to CTR. Both KPIs measure clicks. However, CTR can apply to any type of content in an integrated digital marketing campaign, including organic content like blogs and social media. CPC, in contrast, is used exclusively to monitor the cost incurred for paid ads.
If you’re wondering how to calculate CPC, it’s a simple formula. Just divide the total cost of an ad campaign by the total number of clicks. However, most paid ad platforms perform this calculation automatically and present the data as a clear figure in your analytics dashboard.
Often, CPC is presented as an average figure. For example, if you have an ad that receives one click at $0.20 and another click at $0.40, you’d divide the total cost ($0.60) by the total number of clicks (two). Thus, the average CPC would be $0.30 per click.
Tracking CPC reveals which keywords and ad creative performs the best. If you notice some content has an unusually high CPC, it’s a sign to adjust your paid strategy.
3. Return on Ad Spend
Also known as ROAS, Return on Ad Spend is a top-level KPI that reflects the overall success of your campaigns. This metric measures the revenue generated for every dollar spent on advertising. It’s calculated with this formula:
- ROAS = Revenue from Ads / Cost of Ads
So let’s say you spend $500 on ads, which earn your business $2,500 in sales. In this scenario, your ROAS is 5; for every dollar spent on advertising, you’ve earned $5 in return.
Tracking ROAS is imperative for budgeting. If your ROAS drops too low, you’ll need to reassess your campaign and consider streamlining your efforts to be more effective.
4. Average Order Value
Average Order Volume (AOV) refers to the average amount your customers spend on an individual order. AOV is calculated by dividing your total revenue by number of orders in a designated period. For example, if you have $10,000 in revenue from 100 orders, your AOV is $100.
Monitoring AOV can indicate the health of your marketing campaign. Make note of your AOV before beginning a campaign, then observe how it changes. If AOV rises, it suggests that your ad campaigns are encouraging customers to shop more. If AOV drops, it could be a sign that your campaigns are discouraging customers – or you may need to adjust your target audience demographics.
5. Customer Retention Rate
Customer Retention Rate, which is generally abbreviated to CRR, is a KPI that measures customer loyalty. The higher your CRR, the more your customers love your brand and keep coming back for multiple purchases. CRR is valuable to an integrated marketing campaign for the following reasons:
- Profitability: Retaining customers is less costly than acquiring new ones, so monitoring CRR provides insights about your business’ financial performance.
- Revenue Predictability: High CRR enables you to predict your revenue stream with greater accuracy, which helps with budgeting for marketing and advertising campaigns.
- Brand Loyalty: CRR also reflects brand loyalty. By monitoring this KPI, you can gain a holistic view of your brand’s role in consumers’ lives. If CRR drops, you could consider adjusting your marketing campaign to target former customers rather than new ones.
6. Social Engagement Metrics
Finally, there’s social media engagement. Even if social media isn’t the primary focus of your digital marketing campaign, you shouldn’t neglect this important channel. Platforms like Instagram, Facebook, and X (formerly Twitter) let you connect directly with potential customers. They’re an easy way to publish both organic content and paid media.
With social media, you’ll want to track metrics such as follower count, engagement on individual posts (comments, likes, and shares), and clicks to your website. Make sure you use UTM parameters on social media, set up unique landing pages, or create a special discount code to share with your followers. This will help you identify how much traffic comes directly from this channel.
Monitor More Metrics with Mandzok Marketing
For help monitoring the KPIs and metrics of your integrated digital marketing campaign, Mandzok Marketing is standing by! Whether you’re launching a new campaign or overhauling your current strategy, we can assist you.
We have over 20 years’ experience working with analytics and data for marketing strategies. We can help improve your ROAS, boost CTR and other conversion rates, and use a data-driven approach to grow your business. Learn more about our data analysis services and schedule a free consultation call today.