There’s no cookie cutter plan or strategy for your business. Every company model relies on a major key element to keep the brand moving forward.
For social influencers, it may be followers and engagement. For someone who makes candles, it may be conversions and sales. As a business owner, it is up to you to determine what KPIs matter for your business.
What are KPIs?
KPIs = key performance indicators.
According to KPI.org, “Key Performance Indicators (KPIs) are the critical (key) indicators of progress toward an intended result. KPIs help provide a focus for strategic and operational improvement, create an analytical basis for decision making and help focus attention on what matters most.”
Why do KPIs matter?
When you have a clear understanding of your goals, you’re able to create a real strategy to reach them. You’re also able to better articulate your message to potential partners and customers.
How do I determine KPIs?
First, you need to have a clear intended result. If you’re running a sale and your goal is to make X amount of dollars, there should be an expected revenue or sales goal in place as you’re building your campaign.
Secondly, you need to consider what drives the bottom line for your business. If sales and revenue move the needle for your brand, then focusing on followers and engagement is a waste of time and resources.
Lastly, you need to be realistic with your KPIs. If you’re unsure about what your goals should be, consider performing an audit on your business to understand the trends of your business before putting KPIs in place. Check out out audits here!
What are some common KPIs?
Here are some common KPIs to help you get started:
Likes/Reactions – The amount of times people have interacted with your post on social media. On Facebook, people are able to react with your post with a ‘Like’, ‘Love’, ‘Wow’, ‘Sad’, or ‘Angry’.
Followers/Page Likes – These are the people who have decided to stay in the know about your brand or business by agreeing to receive updates on their timeline about you.
Reach – The amount of people who have seen your social post or advertisement.
Impressions – The amount of times your post or advertisement has been seen. This is very similar to ‘Reach’. Here’s how it is different: if three people have seen your post, but you have ten impressions, that means between those three people (reach), your post has been seen ten times (impression).
Engagement – This combines the amount of likes/reactions and comments on a social post. Do you know your engagement score? Find out here.
Conversions – Typically this is when someone takes a desired action such as making a purchase or providing you with their email address or contact information.
Need help setting KPIs for your business? Schedule a 15-minute discovery call to walk us through your concerns. We would be happy to help! Click here to schedule today.