Every business has access to data that can be used to make important business decisions. However, how often do you find yourself reviewing this data? Whether you are uncovering new opportunities to generate more leads or to determine which subject line generated the most engagement for a marketing campaign, your business should be establishing metrics for success.
Setting metrics is not only about managing more or diverse data. It is about asking new questions, formulating new hypotheses and making important data-driven decisions. If you have a brand that is leveraging social media, you might understand this example: Data shows that Facebook has over 1.23 billion users monthly. Of those 1.23 billion users, you may set a metric of reaching 100,000 individuals that fit your target demographic and will click-through to your Website for more information.
Identifying the correct measurable metrics is important for any successful business. When business executives utilize the wrong metrics, the overall data might look good (such as an increase in number of views on the latest video campaign). The right metrics can tell a different story (e.g. the number of individuals who viewed the campaign and made a purchase). To determine the effectiveness of your data and business goals, there are some key metrics that everyone should be measuring:
• Volume. How many people have you engaged in conversation? How many are still talking about the conversation? This number will wax and wane, but by knowing these numbers, you can keep engaging with your customers when they are more perceptive.
• Reach. Reach factors the audience size and the power of word of mouth on your reputation. It measures who is talking and who is listening.
• Engagement. What’s coming out of these conversations? Is it causing people to buy from your brand or interact with you further? Are they sharing your content?
• Influence. Who is drumming up the most attention to your brand through sharing or overall conversations? These customers are the ones you would want to interact with most often.
• Share of Voice. Essentially, this measures what consumers are saying about you versus their opinion about a competitor. Are they making more of an impact than you?
Data and metrics are the most important part of learning what works for a business and how they can be successful. Before analyzing your data, be sure you have outlined the correct metrics to suit your business needs to stay ahead of the competition.
For more information on this topic or to continue this discussion with other executives, join the Ascendis Masterminds for Managers group on LinkedIn and connect with us on Twitter at @DrakeAscendis.