Analytics is an important part of inbound marketing
. Marketers should constantly be measuring their marketing to refine programs, improve upon under-performing initiatives, and decide which marketing channels they should focus on.
But when it comes to measuring marketing, sometimes it's hard to know which metrics to use. There are usually a number of ways to measure the success of a given campaign, and oftentimes marketers get caught up in using every single metric available to them ... or obsessing over the least valuable ones. To help you get on track, we've compiled a handy list of 5 metrics that probably aren't worth your time.
1. Comments
Comments can be a great way to gauge how much (and the type of) discussion a particular piece of content is generating, whether it's a blog post, a Facebook post, a tweet, etc. That said, it's not something that really indicates the success you want to achieve. Ultimately, you're participating in these channels because you want them to help you generate business, right? After all, a blog post that generates 100 comments might not generate any leads, and a blog post that generates 100 leads might generate no comments. It's good to get a general sense of how much people are engaging with your content through their comments, but don't make one of your goals to generate tons and tons of comments.
Better Metrics:
Measure referral traffic and leads from your blog and social media to your website.
2. Open Rate
Open rate is no longer a reliable metric for measuring the success of email marketing because many email readers wrongly interpret when an email gets opened (more details about this here ). Therefore, open rate is a useless metric for marketers to use to determine who actually reads their emails. Furthermore, even if it were reliable, someone opening your email doesn't necessarily mean they took any action from it. They could have read one word or the whole email, but if it didn't inspire them to do something, should that be considered successful? Ultimately, you want your email recipients to click on something within your email such as a call-to-action for an offer, so those clicks and how well they convert into leads should be what you focus on measuring instead.
Better Metrics:
Measure click-through rate, conversion rate, and email leads.
3. Impressions
Impressions is another one of those metrics that sounds impressive but doesn't really indicate much business success. Mainly used in the advertising world, this can mostly be applied to display advertising for online paid marketing initiatives. Put simply, impressions are a measure of how many times an ad is displayed, whether it gets clicked or not. Therefore, one impression means the ad was displayed once. Because it has nothing to do with how many people clicked on your ad, for the very same reason that open rate in email is useless, impressions are not a valuable metric for marketers to track because it doesn't indicate any action.
Better Metrics: Like email, measure click-through rate, conversion rate, and leads generated from paid marketing efforts.
4. Followers
Yes, an increase in followers means better reach, but again, if your huge social media reach isn't translating into traffic and leads, or even if your leads from these channels don't ultimately become customers, what's the point? First, focus on capitalizing on these channels by spending time optimizing your engagement for lead generation. Then, once you've determined the traffic and leads you're generating is converting into customers, you can spend more time increasing your following so you can scale your efforts even more.
Better Metrics:
Measure social media
traffic, leads, and customers.
5. Sentiment
Coming from a PR background, I actually cringed a little as I typed this one. I will preface this by saying that brand sentiment is a good thing to monitor. However, it should not be something you obsess over. Overall, a positive brand sentiment should be something to strive toward, but let's be honest, every company or brand will have its share of naysayers. Social media offers a platform that makes it easy for these Negative Nancys to voice their opinions and be heard, and you can't appease them all. If your company must deal with a crisis or negative criticism, make sure you handle it gracefully and appropriately , but don't dwell on it. Plenty of businesses have overcome negative sentiment and still operated as successful businesses.
Better Metric: Measure sales. More sales means people like your products/services.
Final Thought
Remember, as a marketer, your time is valuable. While measuring success is definitely important, so is actually doing marketing that generates the results you're measuring. Don't spend unnecessary amounts of time analyzing metrics that don't really matter in the grand scheme of things. Instead, focus on fewer, more concrete and telling metrics like traffic, leads, and sales. Chances are, poor results indicated by these grander metrics will inform you of problems. Then you can consult more granular metrics to use for deeper analysis to diagnose and solve underlying issues.
What other marketing metrics do you think marketers spend too much time analyzing? Are you bogging yourself down reporting on too many metrics?
Photo Credit:
Jamiesrabbits
Byron Fernandez 5:53 PM on August 15, 2011
Great thoughts. I would add Klout to the mix. Extremity of behaviors and practices around it lately have gotten cumbersome
VizFact 6:26 PM on August 15, 2011
Totally agreed. You certainly know what you are talking. I get tired of hear people bragging about heir silly impressions as you pointed out in # 3, where is the real dough, You know?
Tracy 6:27 PM on August 15, 2011
You are absolutely right. I spend most of my time writing articles. I
Herb Lawrence 7:01 PM on August 15, 2011
Absolutely on target at the end of the day did all your social media, blogs, email deliver folks to your website and did the landing page they went to motivate them to further action? Ultimately getting the cash register to ring is the whole point. My klout score has yet to put money in my coffers
Jim Shamlin 6:05 AM on August 16, 2011
I have the sense that what you're getting at is the notion of the "marketing funnel," which schematizes the "steps" along the way to a sale and assumes that increasing the percentage of prospects who make it through a given step will increase the number of ultimate sales.
That doesn't always bear out ... and has led to a lot of highly dysfunctional and unproductive behavior to persuade a dedicated non-buyer to take an extra step before ultimately bailing on the process anyway.
In spite of causing quite a bit of silly behavior, the "funnel" concept seems a logical approach to monitoring and improving tactics, so "don't obsess" is likely the best advice that can be offered until a better system can be devised.
Louise 7:55 AM on August 16, 2011
Great article. Comments are a great way on monitoring your marketing techniques. With the rise of Social Media, comments and views from your consumers and the 'buzz' are so readily available to businesses nowadays.
Steve 2:37 PM on August 16, 2011
Yes; if it doesn't result in a lead, forget it. Show me the money, right?!
Robert Madison 4:32 PM on August 16, 2011
I keep thinking it'd be funny to develop (and offer) ridiculous metrics, until people get the point.
Example: The "Q-Rate". Counts how many times a post (or author) uses the letter "Q". We're not sure what it means, but "Q" is worth 10-points in Scrabble, as much the letter "Z". However, since it's easier to use "Z" in a word than it is to use "Q" in a word, the person using "Q" must be more intelligent, and thus must be more influential. <= Q.E.D. ;)
Another one might be the "Fontenator". Automatically recognizes the font used by an author so that if you choose to engage with them, you'll always be responding to them in the same font they used. God forbid you respond to a Times New Roman person (lazy, simpleton) with a Calibri (fun, progressive!) tone of voice!
The list is endless...
Social Steve 9:34 AM on August 17, 2011
Sorry to break the trend and ready for all the bombs thrown back, but I could not DISAGREE more. Yes, lead generation is extremely important. You must recognize that there are different mental states of individuals in a sales cycle. Think sales funnel - awareness, consideration, sale AND after sale add loyalty and advocacy. You want to measure each of these - know what leads to conversion and where leads fall off by measuring these states. You want your happy customers to do word of marketing and promote your brand. Comments, Open rates and other parameters are telling metrics here.
You want more detail on this perspective, see "Measuring the Stages of the Cyclic Social Media Marketing Funnel" at http://socialsteve.wordpress.com/2011/03/13/measuring-the-stages-of-the-cyclic-social-media-marketing-funnel/ .
Respectfully,
Social Steve
Michael Olson 9:40 PM on August 22, 2011
Great post, Pamela. Far too many marketers (and agencies) fall into the trap of measuring the success of initiatives based on these soft metrics, mostly because it is so difficult to tie a tweet or a follower back to sales.
That said, several of these soft metrics often serve as indicators of more concrete KPIs. For example, open rates are the best indicator of the success of an email subject line. An effectively constructed email can then be judged based on CTR to your website. With analytics and proper use of CRM, you can then determine the effectiveness of an email campaign based on leads and conversions generated from those click-throughs. But I absolutely still rely on email open rates to inform my next subject line - the soft metrics shed light on early stages in the funnel.
INFP 2:31 PM on August 24, 2011
Interesting that most of these are metrics that are very, very easy to measure. As a small business owner I know that I am tempted to measure success by numbers that are easy to access. Digging deeper into analytics takes time, energy, and expertise.