Identifying the Right Performance Metrics
So, you’ve decided to run a digital campaign. First things first: Identifying the right performance metrics is critical when deciding how to measure your digital marketing success. Without clear establishment of goals, you can be left feeling like your campaign was a bust, when it may have been quite successful.
A few questions to ask when identifying your digital marketing goals are:
- What are we trying to achieve with this digital campaign?
- What tactics will help us achieve our objective?
- What KPIs for our digital marketing campaign most effectively measure our goals?
Branding or Direct Response?
Objectives dictate what kind of digital campaign a brand should launch. There are two main types of digital campaigns: Branding and Direct Response. A branding campaign works if you’re looking build brand recognition in the marketplace, increase website traffic and engage your target audience in a natural online environment. Direct Response campaigns work to drive sales or specific user actions, like coupon downloads .
Many brands are inclined to implement a Direct Response campaign, because they are looking to increase their sales. However, it is important to build strong brand recognition prior to focusing on a sales-driven media approach. Investing dollars in a Direct Response campaign is a wise decision, but only once your consumer knows who you are.
Control, Alt, Delete: Don’t Lose Sight of Your Goal
Some of the most common mistakes we see with Direct Response campaigns that have a sales focused goal is looking at click-through rate (CTR) and/or engagement as a basis for success. Users who click and engage may not be most apt to convert. Conversion rates, which compare the performance of placements within the campaign for optimization purposes, are a better benchmark but there is no standard benchmark for conversion rate from digital media.
Branding campaigns are not without vulnerabilities, either. Trying to achieve both strong CTR and engagement rate simultaneously is challenging, and, frankly, uncommon. Engagement and CTR do not go hand-in-hand in terms of performance. Users who are clicking through to the site are choosing to engage with the brand on their site as opposed to within the ad unit, and vice versa: When users are engaging with the brand unit itself, they likely will not click through.
Identifying KPIs for Digital Marketing Up Front is Key to a Successful Campaign
By identifying objectives and establishing campaign goals up front, you are setting benchmarks and managing campaign expectations. There is a clear path for optimizations to ensure that your brand gets the most out of its campaign. Without identifying campaign objectives at the start, you may end up going down the wrong strategic road to achieve success. Understanding which KPIs will measure the success of your campaign allow for clear optimization tactics to meet your digital marketing goals.