Milestones and KPIs
Before KPIs can be identified, BMMI Shops needs to determine their objectives. What is it that you want to achieve in the next three years?
KPIs must be S.M.A.R.T (specific, measurable, attainable, relevant, and timely). Rather than simply saying that you want to improve customer service on social media, set a numerical value and a deadline for this. For example:
- Speed up first response time to customer service enquiries by 10 minutes by the end of the first quarter.
- Increase landing page conversion by 10 percent by the end of the second quarter
- Reduce delivery slots to 1 hour by the end of the second quarter
- Increase email marketing recipients by 20% by the end of the third quarter
- Increase revenue through online services by 100% by the end of the fourth quarter
As a broad introduction to digital KPI's, usability, engagement and conversion are mandatory digital metrics.
Usability considers how easy the service is for customers to use. How quickly they can achieve their goals, how positive their experience is and what barriers need to be overcome to improve a service.
Engagement considers customer interaction. How many people visit a website and take action? How many engage and respond to questions posted through social media? This information allows us to improve how we interact with our current and potential customers and identify how we can meet their needs.
Conversion considers how effective our digital services are at meeting business goals such as return on investment. How many visitors to a website convert into paying customers? How many customers return to purchase again? How much did it cost us to gain each customer or lead? We can use this quantitave data to determine which channels are most effective and where to spend money.
As an example, the areas below should be considered at a minimum.
Return on investment
One of the most important KPIs for BMMI Shops to monitor is return on investment. This shows you which campaigns are successfully contributing to the bottom line.
Incremental sales
This metric shows how many of your marketing efforts actually lead to sales, demonstrating the effectiveness of each campaign. In order to access and monitor this KPI, first identify a sales baseline and then monitor which sales channels vary based on your marketing changes. To calculate this, use the revenue from your marketing minus your baseline sales.
Conversions by Campaign
Conversions by campaign shows which campaigns have captured the highest number of leads and/or sales.
Cost per lead
Cost per lead measures how many leads are generated per dinar spent. This will allow you to justify how much money is spent on every campaign.
Visitor to buyer ratio
A visitor to buyer ratio measures how many visitors that come to bmmishops.com go on to make a purchase.
Sales by lead source
While knowing how many visitors are converting is great, sales by lead source shows which leads are generating the most sales. Some examples may include search engine traffic, pay per click traffic, social media, email marketing, and more. Knowing your most profitable sources of leads can reduce costs in future ad spending.
Social Media
Is the time and effort spent on BMMI Shops' social media really paying off? By monitoring social media interactions, you can get a good idea as to how effective your social media marketing efforts are to improving audience engagement. You can monitor metrics such as the number of Facebook likes, shares and comments, Instagram reposts, click through rate and more. This metric shows you the number of valuable social media interactions over a period of time.
Tracking keywords
First page results in search engines for the right keywords can be very profitable. Tracking BMMI Shops' rankings for individual keywords can show you which search engine optimisation campaigns are paying off and which keywords need more attention.