November 1, 2016
Launching a marketing campaign without studying your metrics is like driving a car blindfolded: you don’t know where you’re going and there’s bound to be an accident.
Spend some time with your sales data and Google Analytics website data to lift the blinders and guide you to marketing success.
Chances are good that you’re already using Google Analytics to learn how many people are visiting your site and what pages they view. And you’re well aware of how many sales you make in a year. The metrics below will help you round out the picture and make educated decisions about where to spend your marketing time and money.
Bounce rate shows the percentage of visitors that visit your website without browsing further or taking any action. These viewers are “bouncing” off the site rather than sticking around to explore your content. In most cases, a high bounce rate indicates that viewers are not intrigued when they reach your site or that they are not finding what they expected to find when clicking on a link to the site.
The easiest way to combat a high bounce rate is to accurately express what viewers can expect when they click through to your site. If a social media post promises viewers will learn how to detail their cars in five easy steps, that’s what they need to see as soon click your link. If they are bombarded with pop-ups or are sent to a contact page, they will likely “bounce” away.
Analytics records a visit to your website every time someone clicks to open one of your web pages. But the “visit” statistic doesn’t account for the number of separate times the same person visits the site. The unique visit metric tries to filter out multiple visits by the same person by noting the visitor’s IP address.
So, if you visit a website six times a day from the same computer, web analytics records just one unique visit. The measurement isn’t a precise count of how many people visit your site, however. If three family members use the same computer to visit your site (at different times of the day) it’s counted as one unique visit. And, conversely, if you visit a website from both a home and an office computer, you’re counted as two unique visits.
Though not 100% precise, the unique visitor metric gives you a starting point when deciding if you need to focus on building your audience or engaging the audience that you already have.
Monitoring how many visitors come from a specific channel is an invaluable way to determine where you should focus your efforts. By setting up goals in Google, you have the ability to track not only where traffic comes from, but of those visitors, who is taking the action that you have designated as valuable.
If your organic traffic is low, you may need to focus on creating more original content and beefing up your SEO strategy. Likewise, if email referral traffic is down, you know that you need to build strong calls to action into your newsletters.
Customer Retention Rate
This is where your sales records come into play. The customer retention rate is found by calculating how many of your customers return to purchase from your business again. A low retention rate can indicate that your product needs to be tweaked or that you need to ramp up your marketing. Retention rate is also needed to get an accurate look at the value of each customer.
Lead Close Rate
Lead close rate isn’t exactly a marketing metrics, but it does help you determine if the leads generated from your marketing efforts are worth the investment. To calculate the lead close rate, find out the number of leads generated and sales closed in a given time period. Divide the number of successful sales by the number of leads and multiply that number by 100. What you are left with is your closing ratio expressed as a percentage. From there, you can calculate roughly how much it cost you to close each one of those sales.
By monitoring these five metrics, you will be able to build more successful marketing campaigns and spend your marketing dollars wisely. If any parts of your metrics have you stumped, contact us. Our team can help you make sense of the numbers and build a plan that is setup for success.