In every business you must have metrics to know how much you are achieving your stated objectives . Above all, you must be able to measure the KPIs for e-commerce . Otherwise, you won’t know if your e-store is generating enough conversions or getting the necessary traffic. But do you know what a KPI consists of and what its main characteristics are? Below we will explain the concept and give you some recommendations. What is a KPI and why are they important? key performance indicator text written in an open notebook on a desk A Key Performance Indicator (KPI) is an indicator that allows knowing the performance of the objectives set in a marketing strategy .
They are those metrics that show with greater precision and accuracy if your e-commerce is progressing towards its objective. Without KPIs, it’s hard to measure your online store’s progress over time. You would make decisions based on instinct, preferences, or other unfounded assumptions. KPIs give you valuable information about your Italy Phone Number and your customers so you can make informed and strategic decisions . KPIs are not important on their own. Its real value lies in its ability to interpret data and extract actionable insights that can help you improve your business. Its great advantage is that you can measure and analyze them over time, in order to adjust and perfect your strategy .
By Analyzing Your KPIs
You will be able to more accurately design strategies to drive more online sales, as well as understand where there may be problems in your e-commerce . With them, you can achieve long-term success by executing the optimal actions. How to define KPIs? 5 features When defining the key indicators for your e-commerce and marketing strategy, you must consider all those metrics that influence your business. In other words, they must provide useful and practical information about the performance of your e-commerce . executives evaluating their business kpi on a computer In addition to having a direct impact on the bottom-line and being crucial to achieving your goal, all KPIs must be SMART : specific, measurable, achievable, realistic and temporary .
Here is a more detailed definition of each criterion: Specific. Your KPI must be clear and specific. That way, it will make sense for your business and be easier to measure. Measurable. You must be able to measure your KPI and select the unit: monetary, number of revenues, sales, visitors, etc. Reachable. You must establish a KPI related to an achievable goal. For example: increase the number of visits, reduce the bounce rate , etc. Realistic. This indicator must be something that really impacts your business . Discard all those KPIs that do not offer any relevant data for your marketing objectives. Temporary. You must be able to analyze the KPIs in a specific period, be it weekly, monthly, quarterly, etc.
Kpis That You Can Use
In your digital marketing strategy Now that you have a clear understanding of what KPIs are and how you can use them to continually improve your business, let’s take a look at five crucial KPIs for eCommerce businesses. Among the main indicators that you should apply in your e-commerce strategy , are the following: 1. Traffic It refers to the channels through which users reach your virtual store . This KPI includes the following traffic sources: Organic traffic. Through search engines such as Google, Mozilla or Opera. Paid traffic. Through paid advertising on display or in search engines. direct traffic. When the user directly enters the link in the navigation bar. Referred traffic . It is obtained through associated pages or external sources, such as industry referents and opinion leaders.