Metrics for digital marketing

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One of the main advantages of digital marketing is that it is measurable. Therefore, the possibility of documenting and evaluating the strategies used allows for an understanding of the strategy and data-driven decision-making.

Before the internet, proving the value of a marketing action was much more difficult. Lack of knowledge leads to poor decisions.

And, to avoid making them and get the most out of your efforts, defining measurement parameters is essential . It is impossible to be successful without using them correctly.

Below we list some of the most important marketing metrics, but we also recommend that you study the subject further when creating a strategy.

The best way to start looking at the right metrics is to whatsapp mexico get some data from your blog or website. Common metrics used in a strategy include:

Unique Visitors: The number of people who visit your page. Each visitor is counted only once within the specified time period.
Sessions: is the set of interactions, such as page views and clicks, that the same user performs in a given period.
Organic and Paid Traffic: represents the number of sessions that originate from search engines and paid campaigns on the web.
Bounce Rate: is the percentage of users who make just one visit, without performing other interactions, such as clicks and page views.
Conversion Rate: is the resulting percentage between the number of visits and the number of conversions made.
External Links: is the volume and quality of links coming from other domains that direct to your website or blog.
But these aren’t the only marketing metrics. In fact, knowing all the metrics and choosing the ones that best suit your business should be a step in your planning.

Therefore, we will carry out an in-depth study on some of them below:

Metric: Return on Investment
This is a factor that is directly linked to the profitability of your strategy. ROI represents a comparison between how much you grew in sales and how much you spent.

So the ROI formula is:

ROI = return – cost of investment / cost of investment

Suppose that, adding up all the costs, your total investment in Content Marketing was R$100,000 over 1 year.

During this period, this strategy was responsible for 120 sales with an average revenue of R$5,000.00, resulting in an ROI of 5 or 500%.

Therefore, for every real invested in this supposed Content Marketing strategy, 5 reais returned in the form of profit – which would be a great result!

Metric: Customer Acquisition Cost
CAC is nothing more than the relationship between the number of customers and your digital marketing spending. This metric seeks to answer the question: “how much do I need to invest to attract a new customer?”

Therefore, it is calculated by dividing your costs for acquiring customers by the number of new customers in the period.

Assuming a company spent R$100,000 on marketing in a year and acquired 120 new customers that year, its CAC is R$833.33.

Metric: Monthly Recurring Revenue (MRR)
Also known as Monthly Recurrent Revenue, it is a way of predicting the revenue generated. This metric is very common in businesses that involve subscriptions, as they assume periodic payments.

This measure makes it easier to analyze performance, especially when your products have a wide range of prices.

To illustrate, consider a contract that is paid in installments. If a customer purchases a service for R$5,000 over a year, divided into 12 installments, then the MRR generated is R$416.67. Add this to the MRR of all other customers and this will be your company's MRR.

This calculation allows you to visualize the pattern in which your business is growing in terms of revenue.

Metric: Cost Per Acquisition
Unlike customer acquisition cost, this is a comparison that can vary. An acquisition is actually defined by the business owner. It can be a new contact, a new lead or a qualified lead.

As mentioned, this metric is common in lead generation campaigns. It is the sum of your spending and the contacts acquired within a period of time.

An interesting tip is to compare your CPA with the revenue generated in each acquisition. Thus, if your CPA is higher than the RPA, it is an indicator that your strategy is failing.

Metric: Cost Per Lead
Cost per lead, as the name suggests, shows how much you spend to generate a new lead. It can be a metric similar to CPA, but applicable to only one type of contact.

Lead generation is a common practice in digital marketing strategies. We’ve already said how important lead management is, haven’t we?

More leads mean more opportunities, so we need to measure them! CPL is the metric to monitor your efficiency, your expenses and projected lead generation.

Metric: Retention and Churn Rate
No one wants to get rid of a customer, right? So it’s important to look at how many of them are leaving every month, year or any other period.

Retention can be calculated using the total number of customers at the beginning and end of the period along with the number of new customers.

Retention Rate = ((Customers at end of period – new customers)/customers at beginning of period) * 100

The retention rate is always equal to 1 – churn rate. In other words, these numbers represent the same thing from different perspectives.

Let's look at an example: if you start a month with 120 customers and end it with 130. In that time, you acquired 20 new customers and had 10 cancellations. The result will be 10 extra customers.

This means a retention rate of 91.67% of your customers, or a churn rate of 8.33%.

Metric: Traffic Per Channel
A digital marketing strategy today uses several acquisition channels. Several of them are available and have a consolidated audience volume.

From organic searches to social media, paid campaigns, etc. Each of these channels will have a role in the quantity and quality of visits your domain receives and, consequently, the number of sales this generates.

Therefore, it is important to check how each of your channels performs to understand your results.

Metric: New Sessions
Sessions are calculated by default based on a user's engagement lasting up to 30 minutes. So if you visit a site twice within a 30-minute period, that will be counted as just one session.

However, after 30 minutes from the first visit, it will be counted as a new session. When your content has a high appeal, new and returning users will often visit it.