Marketing Key Performance Indicators

Marketing KPIs Management

Marketing KPIs

Key Performance Indicators or KPIs are important measurable metrics that help marketers to determine how well a marketing campaign is doing, giving them ideas about how to progress further or make better branding decisions.

For this, marketers have to collect data surrounding the market and its opportunities and distill it down to actionable pieces using certain KPIs.

Some of the most commonly used KPIs that provide valuable insight into the prospect of marketing efforts are:

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1. Cost Per Lead

It is important to calculate the cost behind customer acquisition to better understand how the marketing budget should be allocated for every campaign.

Companies can use automated systems as well as CRM platforms integrated with ERP to calculate the costs related to inbound and outbound marketing.

2. Customer Lifetime Value

Customer lifetime value gives you a measure of how well the marketing efforts are contributing to the retention of customers. To increase customer lifetime value, marketers need to reach out to existing customers with lead-generating campaigns that can inform them about new offerings while also forming a relationship with them.

3. Traffic-to-Lead Ratio

The traffic-to-lead ratio measures the proportion of visitors that actually turn into actionable leads with the potential to become customers. This ratio helps marketers understand how to direct, online and organic traffic is influencing people to turn to their offering. The low traffic-to-lead ratio is an indicator that you might need to enhance your primary layouts.

4. Lead-to-Customer Ratio

After finding qualified and accepted leads from the pool of target customers, marketers need to advance their efforts further to close the deal and convert them into customers.

And this ratio reflects how well one can do that. In order to increase this ratio, marketers need to re-evaluate their sales enablement tactics.

5. Conversion Rates

Conversion rate is the basic measurement of the number of target customers that convert into actual customers by making a purchase. The landing page of your website can play a huge role in this rate.

Marketers can try different design tactics and A/B testing to find areas to add value for higher conversion.

6. Organic Traffic

Organic traffic is the visitors you receive on your website for free, without any paid advertising involved. High organic traffic indicates that your website is attracting potential customers on its own, which is the primary goal of inbound marketing.

If you have low organic traffic, you can use different SEO strategies to refine your site for higher exposure.

7. Online Traffic

Online traffic can include the number of people learning about your organization through social media, mobile, and other digital platforms. High online traffic is invaluable for generating lead conversions, customer conversions, and overall branding.

Marketers can monitor the success of online marketing efforts through bounce rates, conversion rates, engagement rates and more.

8. MROI

MROI or Marketing Return on Investment is a measure of how well any investment in marketing efforts is resulting in desired returns. MROI gives an overall estimate of a company’s brand value and provides marketers with pointers about finding the most efficient ways to attract customers.

Marketing KPIs are indispensable tools for mapping marketing strategies. Marketers need to seek out the right KPIs for measuring the effectiveness of their marketing efforts.

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Otherwise, making decisions based on misleading data can be detrimental to the company. So, this article should assist you in finding the most valuable KPIs for monitoring your marketing.

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