Inbound Marketing

Inbound Marketing Analytics: How to measure your performance?

Inbound Marketing Analytics: How to measure your performance?

You reached the end of the road, and now it’s time to reap the fruits of your hard work. How do you measure the success of an Inbound Marketing strategy? Learn about the fifth and final stage: analytic

Hello there! We are delighted that you have reached this last chapter on how to implement Inbound Marketing strategies because that means that you followed us all the way, and now you can sit down, breathe for a moment and appreciate how well you did it. Welcome to this fifth step: analytics.

Although we decided to talk about it at the end so we can focus first on the most complicated steps, such as conversion or customer loyalty, analyzing the results of an Inbound Marketing strategy is a cross-cutting process that involves all stages simultaneously.

Why is it necessary to analyze your strategy in this way? Well, mainly because it gives any company a more comprehensive control over the actions implemented throughout the entire journey, greater visibility of the most effective decisions, and those that did not work or are merely going in the wrong way.

Remember that each step has specific objectives, and therefore the most effective way to measure overall success is by breaking down the information and analyzing each case separately.

But before explaining how you must read analytics in the different phases of your planning, you should know what each terminology used in the Inbound Marketing methodology means.

Inbound Marketing Analytics: How to measure your performan

Measures, metrics, KPIs. We are all familiar with this methodology, but it is easy to get confused and read them wrong. What does each one mean?

Let us explain you:

A measure analyzes unique and specific data. For example, the number of visits to your website, the clients you have, or the income received in a certain period.

On the other hand, metrics are the combination of several measures that help establish the context for understanding data trends over time.

There are different types of metrics:

1. The product metrics. These describe the physical characteristics of your products, such as performance, size, or quality.

2. The process metrics. That measures what surrounds the product or service, such as customer satisfaction. These business metrics are beneficial since they can be used in the early stages of your strategy.

3. The project metrics. Whose main objective is to inform about cost processes such as production time, resource allocation, or productivity.

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The KPI or Key Performance Indicator serves to determine if you are reaching the goals set at the beginning of your strategy.

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Each department of a company determines these KPIs according to their responsibilities within the organization. For example, the sales department may be more interested in the number of orders per month while the marketing team should focus on its ROI (return on investment).

But, although these KPIs may vary, certain conditions must be considered for the goal to be met: they must be SMART: Specific, Measurable, Achievable, Relevant, and Time-bound.

What should I do to establish the KPIs for my strategy?

1. Define your goals.

How do you see your company in one, three, or five years? Be the most precise and most realistic possible. A tip: write them as short sentences like: “Increase the number of visits to my website by 20% in 3 months”.

2. Set the right KPIs

You can’t measure the water temperature with a ruler, can you? Well, the same thing happens with KPIs. Once you are clear about your goals, the next step is to find the right KPI to measure progress.

Remember: the indicators must always be linked to the goals set; otherwise, it is as if you were trying to swim across the sea. You won’t get anywhere.

And how do I know which KPI to use?

There are many types, but some of the most used are:

Economical. That is, all those related to income, profitability, costs, etc. Financial. These have to do with your company’s capital flow, including debts, solvency, and liquidity.

Production. How long does it take you to produce, say, 1000 pieces? Could you do it faster? Is the material suitable? Production KPIs are ideal for optimizing the active part of your business or company.

Logistics. It has to do with the direct sales process and involves aspects such as stock, number of orders, or the average delivery time.

Attention. A crucial indicator since it directly involves customer service. How much did it take your team to answer a call? How many orders got canceled every month? Was there any refund?

Customer: Did you lose or win customers? Were there more positive reviews than negative? How many ambassadors are currently spreading your brand?

3. Performance Measure

Since you have the correct tool for the goals set, it is time to measure the results obtained and look from a broader perspective if these aims are close to being achieved in the established time or if it is the moment to adjust the strategy.

4. Analytics

And what can you do with the obtained data? Analyzing the metrics collected from the KPIs with other periods’ results, compare your company’s different departments’ performance and even your overall performance against other businesses.

An essential part when defining and implementing your company’s KPIs is to make the most of it to implement improvements, optimize processes and adjust the necessary strategies to guide your company towards the goals set.

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Inbound Marketing Analytics: How to measure your performance?

Are the concepts and steps to establish the KPIs of your company clear? Very good! Now we can talk to you about how to analyze them according to each phase of an Inbound Marketing strategy.

1. Metrics and KPIs to analyze web traffic

As you will remember, in this first stage of your strategy, the main goal is to attract unknown users who might be interested in your product or service to your website.

Therefore, some of the metrics that will help you determine if your web traffic has increased are:

1. Unique Website Visitors. People who have visited your blog at least once.

2. Recurring Visitors. People who have entered your site repeatedly in a time-bound.

3. Visits Source. How people reached your website? Through social networks, search engines, ads, etc.

4. Average Time on Page. How long a person spends on your website.

5. Interaction. What a person does on your website? Which sections are the most clicked: the share button on social networks, subscription, comment on the blog, make a purchase, among others.

6. Device Usage. How people enter your website? By computer or laptop, mobile, tablet?

7. Pages Viewed Per Session. The most visited sections of your website.

And how do I know which KPI to use?

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Some examples could be: “Increase 20% my organic visits in a month,” “Increase 30% the time a user spends on the website,” or “Increase 15% traffic from social networks.”

All the information obtained from these measures will let you know the audience you are drawing, whether the content is having positive reactions and if the user’s browsing experience is the best.

2. Metrics and KPIs to convert visitors into leads

The conversion stage consists of converting strangers into customers. If you remember, the most effective way to do it is to obtain their data in exchange for value and interest content so you can then implement a non-invasive strategy to convince them to buy your products or services.

During this phase, the metrics that work best are:

Conversion ratio. The percentage of users who act on the website.

CTA analysis. Is the design attractive? Do the links work? Is the text appropriate and engaging?.

Landing page analysis: Is the site structure adequate? Is the subscription form too long or too short? Is the information clear?.

Navigation analysis: What are the most visited landing pages that generate the most leads?.

And how do I know which KPI to use?

The main one, without a doubt, is to increase the number of leads. That is the number of subscriptions registered into the database. But marketing teams can also turn to CPA, which refers to the cost per acquisition or total investment expense to generate a new customer.

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3. Metrics and KPIs for Marketing Automation

In this third stage, the metrics will determine your leads’ engagement level, if they are cold or hot, and define the type of strategy to implement for each group.

What metrics work best?

1. Number of MQLs. The most qualified leads to close a purchase.

2. Software acquisition cost. Plan invoice and organizational expenses.

3. Web traffic. Do the links included in your email marketing campaigns work? What are the most attractive.

And how do I know which KPI to use?

When evaluating a Marketing Automation Strategy’s effectiveness, the ROI (Return on Investment) is the perfect KPI. It will help you determine how much money you had to invest in generating a new customer.

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4. Metrics and KPIs for the Delight Stage.

Evaluating customer satisfaction is one of the most critical stages of any Inbound Marketing strategy since they are the buyers themselves who will give you the guideline on improving, adjusting, or stopping to continue ensuring sales.

What metrics work best?

1. Surveys Satisfaction to know the customer’s shopping experience.

2. Reviews. Of the product or service.

3. Evaluations. Comparisons with the competition.

And how do I know which KPI to use?

One of the best known is the NPS, better known as the Net Promoter Score, which measures a company’s customers’ loyalty based on recommendations.

But you can also determine the level of engagement your customers have on social networks according to the number of followers, likes, shared posts, and positive comments.

That’s it! Now it’s your time to carefully review each Inbound Marketing stage result and fine-tune the little details of your strategy to get the best possible results.

But remember that this process is not unique or absolute. Your customers will not always behave in the same way, and therefore your metrics will not always yield the same results.

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The analysis of an Inbound Marketing strategy must be carried out periodically, under a thorough inspection, and according to past measurements. Only in this way can you see real outcomes translated into actual sales.

What did you think of this valuable information about Inbound Marketing? Ready to put it into practice? Excellent! But don’t forget to come back soon. We have many more tips, advice, and the lates.

Until next time!

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Miami

8350 NW 52nd Terrace Suite 301-150. Doral, FLorida, US. Zip Code 33166.

Tel. (+1) 786 673 3733

Panamá

Panamá, Calle 50, edificio global bank, piso 31 b.

Tel. (+507) 275-6323

Colombia

Colombia, Bogotá CALLE 125 19 89 OFICINA 502

Tel. (+57) 321 3644460