Several performance indicators (KPIs) exist and can be used at different stages of online advertising strategies. In order to aim for the best approach, it is recommended to carefully identify, in advance, which are the most important indicators , according to each type of advertising campaign .
KPIs for B2B lead generation
If the objective of an online advertising campaign is to target other businesses , certain key performance indicators ( KPIs ) should be kept in mind when implementing your strategy.
- Contact Form Conversion Rate : This KPI represents the percentage of website visitors who complete a contact form to request information or express interest in the company's products/services. A high conversion rate indicates that visitors are interested in the company's offering and are ready to initiate a sales conversation. The conversion rate therefore constitutes a particularly revealing performance indicator.
- Content download rate : Defined by the proportion of Internet users visiting the website who ultimately download specific content, such as white papers or guides, in exchange for their contact details. A high download rate indicates that the content offers real added value to visitors and piques their interest. It also helps deepen their relationship with the company.
- Email marketing campaign conversion rate : This metric represents the number of email list subscribers taking a desired action after receiving a marketing email/newsletter. Good examples might be clicking on a link or filling out a form. A high conversion rate here indicates that the email marketing campaigns implemented are relevant and effectively encourage subscribers to take action.
- Conversion rate of webinars and online events : In a good advertising strategy, it can be interesting to pay attention to this KPI, representing the percentage of participants in webinars and online events who take a desired action after the event. Making an appointment or signing up for a free trial are good examples. A high conversion rate then indicates that the event was engaging and piqued the interest of attendees.
- Qualified lead generation rate : Defined by the proportion of leads generated, i.e. prospects with a high potential for conversion into customers, this KPI has relevance that should not be overlooked in a good B2B advertising campaign. A high qualified lead generation rate indicates that ads are effectively targeting audiences and thus attracting relevant prospects.
KPIs for consumer lead generation
In a consumer- focused advertising strategy , certain performance indicators stand out and must therefore be taken into account to ensure that you always aim for effective and profitable online advertising.
- Shopping cart conversion rate : This KPI, representing the percentage of e-commerce site visitors adding products to their cart and finalizing their purchase, is always one of the main indicators to monitor. A high shopping cart conversion rate indicates that the purchasing process is smooth and encourages visitors to take action.
- Remarketing Campaign Conversion Rate : Remarketing campaigns are a powerful tool in the world of online advertising. By looking at the percentage of users who return to the site (after being exposed to a remarketing campaign) and who make a purchase, it is then possible to better monitor the performance of advertisements. A high conversion rate indicates that remarketing campaigns are effective and successful in convincing users to complete their purchase.
- Conversion rate of abandoned cart relaunch campaigns : Depending on the sector of your business, it may be interesting to consider a cart abandonment campaign, targeting Internet users who have not completed their purchase after having nevertheless selected one or more products on your website. By measuring the fraction of visitors who partially fill their shopping cart but do not purchase, in conjunction with those who return later to finalize their purchase after receiving a cart abandonment campaign, it is possible to obtain a revealing performance indicator for advertising campaigns aimed at individuals/consumers. A high conversion rate here indicates that the follow-up campaigns are effective in recovering a portion of the potential sales initially lost.
- Conversion rate of promotional offer campaigns : When monitoring your advertising campaigns on the web, it is also important to take an interest in the percentage of users who make a purchase after being exposed to a promotional offer (discount or discount offer). free delivery for example). A high conversion rate in this KPI is proof that the promotional offers put forward do indeed encourage users to purchase your products.
- Conversion rate of influencer campaigns : Represented as a proportion of Internet users who make a purchase after being exposed to a campaign led by influencers, this performance indicator must be measured if you consider using influencer marketing among your online advertising strategies. A high influencer campaign conversion rate indicates that this strategy appears to be having a positive impact on consumers' purchasing decisions about your business.
KPIs for e-commerce businesses
If you have an e-commerce business , it's important to track your website's performance to ensure you're heading in the right direction. To do this, several performance indicators deserve to be carefully analyzed.
- Average order value : The average value of purchases made on an e-commerce site is a good indicator to keep an eye on. A high average value then indicates that customers are making large purchases, of course helping to increase your business's revenue.
- Customer retention rate : This KPI represents the percentage of customers who return to make a second or third purchase after having already made at least one first order on your site. A high retention rate is a positive indicator since it means that the company is effective in retaining its customers. While at the same time demonstrating the ability to create lasting and relevant relationships with the clientele targeted by your online advertising campaign.
- Conversion rate by traffic source : Representing the percentage of visitors who make a purchase when visiting your e-commerce site, this KPI is then differentiated according to the traffic source of Internet users (example: organic search, paid campaigns, networks social, etc.). A high conversion rate for a given traffic source therefore indicates that this source is generating quality leads and interesting sales. It is therefore relevant to continue to put effort into your online advertising strategies.
- Product recommendation conversion rate: This metric reveals the percentage of users making a purchase after viewing product recommendations on the e-commerce site. When this conversion rate is high, we can then conclude that product recommendations positively encourage users to purchase more of the products offered.
- Cart abandonment rate : This is the percentage of visitors who partially fill their shopping cart without finally taking the final action of making a purchase. In the case of this indicator, we are therefore aiming for a low shopping cart abandonment rate, indicating a low proportion of people who abandon their shopping cart without ultimately purchasing. In order to optimize this KPI, it can be particularly advantageous for an e-commerce site to put forward concrete solutions to reduce shopping cart abandonment to a minimum.
KPIs for brand awareness
Among the many performance indicators that it is possible to measure for a website, some of them can be used specifically to better define the notoriety of a brand.
Let's take a look at the main KPIs capable of fulfilling this function:
- Impression Share : This metric measures the percentage of ad impressions generated by the brand compared to the total number of impressions in its product or service category. A high impression share therefore indicates that the brand is well visible in its sector of activity.
- Share of voice on social networks : Designating the percentage of mentions of the brand compared to the total number of mentions in its sector of activity on social networks, this indicator is worth monitoring to effectively measure the online notoriety of your business. A high share of voice is generally desirable as it indicates that the brand generates a lot of engagement and discussion on social media.
- Advertising-assisted awareness : Value indicating the percentage of people who mention having seen an advertisement for the brand when asked. High assisted awareness therefore indicates that the advertising used effectively contributes to making the brand known.
- Brand recognition rate : The percentage of people who recognize the brand when shown its logo or name. A high recognition rate shows that the brand is easily identifiable by its target audience.
- Market share : The percentage of sales made by the brand compared to the total number of sales in its sector of activity. This indicator is therefore relevant for identifying the position occupied by the company in relation to the competition. A high market share indicates that the brand is competitive and represents a significant share of the overall market.
KPIs for overall revenue growth
For many business owners, one of the main priorities is to always ensure that they are doing what is necessary to ensure good growth in overall sales . It is therefore relevant to know that certain performance indicators ( KPIs ) serve precisely this purpose, making it possible to measure and adapt the online advertising approach as needed.
- Overall conversion rate : This key metric measures the percentage of site visitors or generated leads who make a purchase. A high overall conversion rate therefore indicates that all marketing efforts are contributing positively to generating sales.
- Turnover per customer : As its name suggests, this is the average value of purchases made by each customer. A high value means a high amount of spending from each customer, which is of course beneficial for the company's overall revenue.
- Customer retention rate : Designating the proportion of customers returning to make a second purchase after having previously made at least a first order, this indicator is essential in an effort to build customer loyalty. A high retention rate indicates that the company manages to retain its customers effectively, thus generating a more stable income thanks to recurring sales.
- Customer lifetime value (LTV) : This number represents the total value that each customer brings to the company over their lifetime. The higher the LTV, the more it indicates that customers are loyal. This point thus allows stability and constant growth in the company's turnover.
- Revenue growth rate : Even more concretely, it is possible to track the growth rate of revenue over time. To do this, simply measure the percentage increase in the company's revenue by comparing it to the previous period. A high growth rate therefore confirms that the company is on the right track, progressing and generating more revenue.
As you can see, KPIs provide a ton of information relevant to running a business. Depending on the objectives sought, it is important to ensure that you choose the most important and relevant KPIs , for effective and precise monitoring. This makes it possible to adjust and adapt the approach to online advertising , always aiming to optimize results.
Interpretation of performance indicators (KPI)
Once these indicators are in place, we must of course be able to put them into action. In this sense, the interpretation of KPIs ( Key Performance Indicators ) is essential in order to accurately evaluate the effectiveness of online marketing strategies. This is of course done according to the objectives of return on investment (ROI) as well as short, medium and long term growth.
Interpretation of KPIs according to established objectives
Depending on your company's specific marketing objectives, how you interpret performance indicators may vary. Therefore, it is important to first clearly define your objectives in order to take maximum advantage of the information transmitted by the KPIs analyzed.
- Short-term goals : When a business is primarily focused on short-term goals, such as lead generation or quickly converting leads into customers, then KPIs should be focused on immediate indicators of success. For example, click-through rate (CTR) is relevant in an advertising campaign since it can indicate how effective the ad is in generating user interest. In addition, cost per acquisition (CPA) is also very useful since it helps determine the performance of advertising campaigns in terms of cost per new user (or per new customer).
- Mid-term goals : When the business is looking to create a little more lasting engagement with customers, then KPIs such as conversion rate (CVR) become more relevant. The CVR is used to measure the percentage of users who complete a specific action, such as filling out a contact form or subscribing to a newsletter. A high CVR therefore indicates a better conversion of prospects into potential customers. Hence its relevance for the objectives established in the medium term.
- Long-term goals : For long-term goals, such as increasing customer loyalty and maximizing yield, KPIs such as customer lifetime value (LTV), retention rate and average revenue per customer are particularly relevant. For a longer-term business relationship, these metrics help assess the company's ability to maintain and grow its existing customer base over an extended period of time.
Understanding Omnichannel Marketing
Omnichannel attribution involves analyzing the customer journey across different marketing channels (like online ads, social media, search engines, etc.) and then assigning the appropriate value to each channel based on its contribution in the final conversion. A typical example might be a customer who first discovers a brand through a Facebook ad , then seeks more information through a Google search, and then ultimately makes the purchase following a link in a promotional email.
In order to follow this journey, the interpretation of KPIs plays a major role. It allows close monitoring of the progress of the potential customer's actions, until the desired action is taken.
Omnichannel marketing helps avoid underestimating or overestimating the impact of each marketing channel. This approach allows us to better understand how each channel/platform influences customer behavior throughout the purchasing journey. This understanding allows marketers to optimize each investment based on the most efficient channels. Always with the aim of precisely achieving the specific objectives of the company, whether short, medium or long term.
By combining judicious interpretation of objective-based KPIs and in-depth analysis of omnichannel marketing , it becomes possible to make informed decisions, improve advertising campaigns and maximize the overall ROI of advertising efforts by line.
In short, mastering performance indicators (KPIs) is essential for the success of online advertising strategies. Whether for B2B or B2C lead generation, for e-commerce businesses, or for brand awareness, each type of advertising campaign requires particular attention to relevant KPIs.
From conversion rates to average order values, customer retention rate and customer lifetime value (LTV), each metric offers valuable insights to guide and optimize marketing efforts.
Additionally, interpreting KPIs according to short, medium and long term objectives, as well as understanding omnichannel marketing, are crucial for an effective and profitable advertising strategy.
Ultimately, thorough analysis and strategic use of KPIs not only improves the performance of advertising campaigns, but also ensures sustained growth and optimal ROI for the business.