Are you currently on track to hit the 6 or 7 figure mark in your online business this year?
Whether you are or you aren’t, the powerful information that you’re about to discover in this post has the potential to give your current digital business venture a serious boost… sooo be sure to read all the way.
So What’s A KPI And Why Is It So Important Anyway?
A KPI is a tool that allows serious marketers just like you to measure the effectiveness of their current online marketing campaigns.
Once you begin to implement and measure each KPI correctly, you’ll be able to make more profitable and strategical moves that will result in a more profitable and optimized overall marketing campaign.
What Specific KPI’s Must I Measure For Massive Success?
The following 5 KPI’s can make a huge difference for you in your business:
KPI #1 – Projected Marketing Campaign ROI
Before you start any marketing campaign I highly encourage you to create a projected marketing campaign roi.
Because it will help you to set some personal bench marks that will help you to stay on track once your campaign is successfully up and running.
Here’s a cool little technique I found online to help you with this process:
A) The first step to successfully project your campaign ROI is to define your average cost per lead.
B) The second step is to define your average lead to sale ratio.
C) The third step is to take these two numbers and see if you’re breaking even, spending less or spending more to acquire a new customer for your business.
To make things clearer for you follow this nifty little example:
Bob get’s a lead for his spanish training information product at the average price of a dollar a lead.
It takes Bob on average 100 leads to acquire a new customer.
Bob breaks even and understands that he must invest $100 dollars to acquire a new customer into his business and realizes that his marketing campaign is right on track and adjusts his budget to acquire 1000 new customers over the next 30 days.
Bob understands that by spending $100,000 in his advertising budget over the next 30 days that he can make an educated projection that he will acquire 1000 new customers into his business and will break even on his advertising.
Pretty simple, RIGHT?
KPI #2 – Lifetime Customer Value
If you read through KPI #1, then you now understand how to project your ROI to acquire a new customer, however acquiring a new customer is just one part of the overall marketing and advertising equation!
To make full use of your new customer, you must define your lifetime customer value so that you can transition from simply breaking even on your investment to profiting from your new acquisition.
To do this, simply take the average amount of money spent by your customer and multiply that number by the average length of time a customer stays with you.
Here’s a brief example to help you understand this more clearly:
Bob’s average customer purchases the original 100 dollar Spanish training information product we spoke about in KPI #1 which he generally breaks even on and then enrolls in his $24.95/month Spanish speakers monthly continuity
program for a full 12 months.
To find the LCV of Bob’s Spanish speaking customers simply do the following:
$24.95 x 12 = $299.40
…which in plan English means that the average customer tends to stay with Bob for a full year and tends to spend $299.40 with Bob on average during the course of their relationship together.
If you take that number and multiply by the 1000 new customers that Bob would acquire with his marketing campaign over the next 30 days from KPI #1, then you will notice that Bob’s Spanish business would generate around $299,400 in profit over the course of a 12-month period.
Pretty exciting, RIGHT?
KPI #3 – Landing Page Conversion Rates
If you’re going to be spending time energy and money in your marketing campaigns, then it’s absolutely mandatory that your landing pages actually convert. (Otherwise you’re wasting your time, talent, energy and cash!!!)
To help ensure your landing page converts, follow these best practices:
– Make your offer irresistible by providing powerful content and value that will inspire your website visitor to take action
– Use strategically placed visuals and social proof to build trust and credibility.
– Track conversions and optimize your landing pages with split testing.
KPI #4 – Organic Search Traffic
When it comes to organic traffic I am referring to search based traffic from websites like Google, yahoo, youtube, etc.
In order to make the most of your search engine presence it’s highly recommended that you pay close attention to:
– The # of Leads that you generate from search engine traffic and what keywords and landing pages are generating your leads.
– The # of Customers that are generated from these leads.
– A complete list of Keywords that lead to specific action that your customers are using to find you organically.
By following these 3 best practices you can be confident that you’ll be able to make the most of your organic search traffic.
KPI #5 – Mobile Traffic
Due to the fact that we all do business in the mobile age, it’s highly important that serious marketers like you monitor how mobile users are interacting with your web presence so that you can adjust your strategy accordingly.
With that in mind, here are a few strategies that you can use to make the most of the mobile traffic that you receive:
– Track the # of unique visitors and the percentage of your overall number of visitors that you receive from mobile traffic.
– Make sure to make your website and content mobile friendly so that your unique vistors can enjoy consuming it from their mobile devices.
— As always track your conversions and optimize your site for mobile use.
Congratulations – you now officially have access to the key KPI’s that you and your business need to take your digital marketing business to the top.
The moment you start implementing them, you’ll be one step closer to reaching the 6 and 7 figure levels that you aspire to reach.
I look forward to hearing all your feedback in the comments section below.