What are Key Performance Indicators
and why do they matter?
Key Performance Indicators (KPI ) are a quantifiable measure used to evaluate the success and meeting objectives for performance. You need to determine your KPIs from the start of your social media strategy. Knowing your KPIs will help you make decisions about the type of content you deliver and where to put advertising dollars.
When developing your KPis, the main thing to consider is how you can create actionable goals and not vanity metrics. A vanity metric is usually a meaningless indicator made up of numbers or statistics that look great on paper and pretty graphs, but do not actually relate to the success of your business. Let’s take follower count for example, it is probably one of the highest debated vanity metric. Having as many followers as possible looks very impressive, like your business is up and running and legit; however, if they aren’t the right people following you, the ones who will buy your products and services, then that follower count is essentially only a vanity metric.
On the flip side, without followers, you have no audience to share, like and comment on your content. This tells the social network algorithms (we’ll talk about those in another post) that your content isn’t that interesting; thus, it won’t appear in users feeds.
Kevin Kelly says “You don’t need millions of dollars or millions of customers, millions of clients or millions of fans. To make a living as a craftsperson, photographer, musician, designer, author, animator, app maker, entrepreneur, or inventor you need only thousands of true fans.”
What this means is you need the right fans. You can have as many followers as you like; but what you need are followers who are actually going to interact with your content. If no one is interacting with your content then no one is seeing your content (throw me a bone and share this post will ya).
Choosing the right KPIs
To monitor the right KPIs, you need to take a look at what your business is and what your goals are. If your goal is to increase sales, vanity metrics such as numbers of likes, shares, retweets, followers, and page views are not going to be the most important metrics for you to measure. Instead, you’ll want to focus on conversions, leads and direct sales. If your goal is brand awareness, then those metrics may be of importance.
When I am working with a client, I start by learning about their business and product or service line. Next, I do some research to determine their buyer persona (a representation of an ideal customer) and finally I work with the client to set goals and develop a digital media plan to target those customers.