Internet Marketing

5 Key Digital Marketing Metrics to Monitor

Every marketer wants to track the success of their digital marketing initiatives. But which ones are actually important?

After all, there are plenty, and they all look important.

The good news is that there are only five that you should really watch to gauge your success: conversion rate, cost per lead, bounce rate, new sessions, and return on investment (ROI).

WebpageFX is a full-service digital marketing agency and we can monitor the metrics that matter most to your business.

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In this article, we’ll take a look at what each one is and why it’s important. If you'd like to speak with a digital marketing specialist before reading on, you can reach us at 888-601-5359.

If you'd like some tips on how to find the best digital marketing agency to fit your needs, check out the video below.

 

1. Conversion rate

The conversion rate of your digital marketing tells you how many people follow through on your call to action (CTA) as opposed to how many do not. Your CTA could encourage people to buy something from you, contact you via phone, or sign up for an email newsletter, to name a few. 

For example, let’s say you have a page on your site that encourages people to sign up for your email newsletter.

Out of the 100 people who see it, only four actually sign up. That means your conversion rate is 4%. That may not sound like much, but it’s actually pretty good! 

We can take a few steps further. Out of the four people who signed up for your newsletter, you discover that one of those people clicked on a product in your email and bought it.

That’s another conversion, making your conversion rate for your email 25%.

By looking at your conversion rate, you can see how many people you’re successfully turning into customers.

Why it’s important

Once you know your conversion rate for a digital media campaign, you can test new ways to improve your results.

In the example above, you may want to try different text on your page or a new subject line of your email. No matter what you choose, the goal is to get more customers so you can grow your business.

2. Cost per lead

Cost per lead tells you how much you spend to get someone to convert on your site.

A lead is not necessarily someone who has made a purchase (or will make a purchase), but they’re a prospect who you can eventually turn into a customer.

One way you can develop a cost per lead analysis is to look at all the factors that have gone into getting the lead, such as:

  • Overall cost for a specific pay-per-click advertising (PPC) campaign focused on getting people to come to your site.
  • How many people coming to your landing page give you their information so you can market to them in the future.

Most marketers consider their campaigns to be successful when their cost per lead is less than the average amount a customer spends. The lower your cost is, the more revenue you’re earning! 

Why it’s important

Many companies don’t realize how much it costs them to get a lead, and that can quickly lead to waste.

After you discover the cost of an average lead, you can try new techniques to determine how to be more cost-effective, get more leads, and maintain your current sources of leads.

3. Bounce rate

Have you ever gone to a website and left right away?

bounce rate on google analytics

That’s called a “bounce,” and every good website tracks the percentage of people who “bounce” away.

A bounce rate is the percentage of people who leave a page before engaging with it or clicking to another page on your site.

Ideally, your bounce rate would be 0%, but that’s basically impossible. 

Why it’s important

If you have a page on your website that has a high bounce rate, you have an opportunity to make it better.

The problem could be anything from the way the copy is written to the images that you’re using, but one thing is clear: Your visitors aren’t finding what they want to see.

As you tweak your page, you will probably see the bounce rate change.

It may go up, which tells you that you should revert to the previous page design, or it may go down, which indicates that you made improvements.

It’s critical to keep visitors on your site as long as possible. The longer they’re with you, the more likely it is that they’ll become customers.

Some of Our Successes:

Details Increased Website Traffic by
+ 95%
Ocean City NJ paddle boat
Details Increased Conversion Rate by
+ 37%
image of heavy equipment
Details Decreased Bounce Rate by
- 60%
man wearing sunglasses
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4. New sessions

In Google Analytics, the term “session” defines whenever a visitor comes to your website.

sessions on google analytics

A session might include browsing around several pages on your site, or it could be someone who bounced away.

New sessions occur every time new visitors stop by, and Google Analytics tracks them carefully so you can see how many people you’re attracting to your site.

Another word for this metric is “traffic” since it describes how many people are going to your site.

Why it’s important

If you want customers, you need people coming to your site in the first place. And that’s exactly what new sessions tells you.

You can use this figure to help you understand how many of these sessions are converting into customers. A decline in new sessions indicates that people are no longer coming to your site as frequently as they were before, and an increase means your digital marketing is improving.

This metric doesn’t directly impact your bottom line, but it’s still important to see how many people come to your site so you can understand how many potential customers you get every day.

5. ROI

Your ROI is a measurement of how much money you get back from your digital marketing strategies.

ROI compares how much money you’ve spent on digital marketing and how much you’ve earned as a result of it.

If your ROI is ever negative, it means you’re losing money on digital marketing. That’s never a good sign, and if that’s true for your company, your problem may lie with a low number of new sessions, a low conversion rate, or a high bounce rate. 

Why it’s important

Your ROI is the cumulative result of your digital marketing efforts, and it’s very cut and dry.

When it’s positive, you’re succeeding. When it’s negative, you need to fix a problem or two.

WebpageFX is a full-service digital marketing agency

At WebpageFX, we have a full team of experienced digital marketing experts who know the best ways to evaluate your online success. Our team covers a wide range of specialties from SEO to social media and beyond, and they know all the best ways to make sure you see the returns you want from your marketing dollar.

Contact us today to create a digital marketing plan for your company today!

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