How the Right KPI Can Boost Your Inbound Marketing Success


If you want to measure success in inbound marketing, you better know what numbers to look at. Key performance indicators, or KPIs, are a set of metric that help you determine exactly what how efforts in blogging, social media, SEO, and other inbound tactics actually perform in building brand awareness and growing your business.

Depending on your audience and industry, an almost infinite number of potential KPIs exist to keep track of. Some B2C companies, for example, track social media interactions that are directly connected to in-store interactions or sales. A B2B company, on the other hand, may prefer to track more account-based KPI like lead quality.

As you might imagine, finding the right KPI to track is crucial to your inbound marketing success. Here are 10 indicators we use to make sure your marketing efforts are getting the results you need.

1. Sales Revenue

Naturally, you want to make sure how much revenue inbound marketing has actually brought your company. You can make this KPI specific to inbound marketing by subtracting all revenue brought about by more traditional marketing efforts.

2. Cost per Lead

How much does it actually cost your business to generate a sales lead? Here, you can also distinguish between inbound and outbound tactics to evaluate the success of your inbound efforts from a monetary perspective.

3. Customer Value

How much is your average customer worth? Determining this metric usually consists of multiplying the average sale of a customer by their average purchases per month, and the average number of months they stay with you. Through inbound marketing, you can increase your value by focusing nurturing efforts on retaining existing customers.

4. Inbound Marketing ROI

Are you actually generating more revenue using inbound marketing than you would be otherwise? Determining your ROI can help you answer that question. It’s usually expressed in a percentage number, which you can get with the formula (Sales Growth – Marketing Investment)/Marketing Investment.

5. Traffic to Lead Ratio

How many of your website visitors turn into leads? The number tends to be relatively low, but is important to track nonetheless. If your average begins to drop, you may need to make some improvements to your website to encourage conversions.

6. Lead to Customer Ratio

Naturally, leads don’t matter much if they don’t turn into customers. Not all leads will become sales qualified or accepted, but you should aim to keep your conversion rate high. Lead nurturing, for example, can help significantly in the process.

7. Landing Page Conversion Rates

All of your marketing campaigns should lead to landing pages that give your visitors the opportunity to convert. Not nearly all of them will, but you should aim to stay at least within industry averages. If your marketing campaigns generate web visits, but they don’t convert to leads, you may have to optimize your landing pages.

8. Organic Traffic

Ideally, most of your web traffic should come from organic search. Tracking this KPI allows you to determine the success of your search engine optimization efforts. If you see it drop or fail to increase over time, you may need to refine your SEO efforts.

9. Social Media Traffic

If you use social media right, it should be a second major source of website traffic and leads. You can break down this KPI by individual variables such as individual social media networks, while also tracking the conversions that occur as a result of these networks. Over time, you can use these insights to focus your efforts on the networks with the highest success rates.

10. Mobile Metrics

Don’t lose sight of mobile as you track your inbound marketing KPIs. Google ranks mobile-optimized, responsive sites higher, and your conversions will also increase. Focus on metrics related to mobile traffic, mobile lead conversions, mobile bounce rates, and the most popular mobile devices for your web visitors.

Tracking these metric allows you to better determine the success of your inbound marketing efforts. Of course, depending on your strategy and audience, some may be more relevant than others. Contact us to build not just a marketing strategy designed to succeed, but an analytics structure that helps you determine the level of that success.

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