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Key performance indicators of digital marketing for your business

Every marketing strategy must be measured, here the following key performance indicators (KPI’s) digital marketing.

Your decision to invest in digital marketing which is wonderful, but you have to know the key performance indicators (KPI’s) to measure the success of your marketing strategy. Whether you choose to advertise on search engines or social media, you decide to promote your website, market your business page, stimulate involvement among customers, or even invite them to visit your local business, you have to measure the success of your campaigns.

In this article, we emphasize the major indexes you should be aware of them and test them.

Exposure (reach)

Exposure index measures the amount of exposure of your content by users. Whenever a user on the internet sees your content, it is counted as exposure. The exposure index is very necessary for your business, once you want to begin a new business, a new product, a new campaign and more, you need to increase awareness among the potential audience to your brand.

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Exposure index can be measured using the following marketing channels:

  • Advertising – whether you advertise on search engines, social networks or any other system, the exposure measures a number of times your ad appeared to the audience.
  • Search Engines – search engine exposure index measures the number of times your content is search engines appeared as soon as users type a search word and your website appearance was there.
  • Social Media – social network exposure measures the number of times your content (image, status, video, etc.) have seen by your followers or others.
  • Landing Pages (product or service) – exposure in landing pages, measures the number of times your landing page is actually viewed by users.
  • E-mail – e-mail exposure measures the number of times content is accessed, ie the number of times your email was opened/viewed.
  • Video – Exposure of the video is usually considered view.

For example:

Suppose you have a local flower shop including deliveries, and you also marketing your business using a variety of online marketing channels. You use advertising on search engines. We have set up a campaign for you that keeps your strategy for the holidays. “50% discount on the second bouquet”, we have added a link to the landing page so that customers can also purchase with your e-commerce store, and phone number of the business. At the end of the month, you receive the reports and see that your advertising has reached 9,000 exposures.

Why is this important? That you know how to improve the actual reach more users, make an adjustment and optimization.

CTR – click ratio

Click ratio measures the number of visits, clicks or taps on your content divided by the number of times your content viewed by the user (exposure or reach). Once users click or tap on your content it is counted as a click. This is an important indicator for many reasons that the most important is how your content was interesting and attractive to be clicked by customers.

  • Search Engines – the ratio measures the number of times users click on the content, for example, click on article links to your site divided the number of times a content appears as soon as users type search word.
  • Advertising – the ratio between the number of clicks divided by the number of ad views.
  • Social Media – for example, if you publish website link, you will measure the number of clicks on the link divide the number of views of content.
    Local SEO – the number of times users click on the “Go” to divide the number of times the business local listing has appeared.
  • Email – there are two types of click ratio:
    • The opening rate – Opening ratio measures the number of times users click on to open the mail divide your subscriber number.
    • Clicking on the link ratio – a measure of the number of clicks on a link or another, divide the number of times the email has observed.
  • Video – the number of hits divides the number of times the content that appears during the search.

In our example:

In reports you received from us, you notice 2 things: 450 clicks and click-ratio 5%. 450 clicks are the clicks that your customers have performed your ad, and 5% click ratio – this is number 450 clicks divided into 9,000 exposures.

Why is this important to you? As mentioned above, click ratio measures how content publicized interesting and attractive to your potential customer’s attention.


Conversion this action you wanted your client will perform during the engagement with your business. for example:

  • E-commerce – buying a product or service on your site.
  • Site News / Blog – signing up to the newsletter for receiving emails.
  • Landing page – leaving contact details for further acquisition.
  • Local – driving to the local shop.
  • Advertising on the Internet – can be a number of things with the above combination.
  • Register – registering to your site, event and so on.
  • Other – downloading an e-book, watching a video and much more.

Conversion Ratio

After understanding what is conversion, now we have to figure out what the conversion ratio. This is a very important part of this conversion since the most benefit of your business. Conversion ratio measures the number of users / Customers who make an action with your business divide the number of your clients viewing the marketing channel.

In our example:

To simplify the example, let’s say that 450 clicks led the e-commerce site of your flower shop. Of these, 50 customers bought and invited the second bouquet at 50% off. In this case, the conversion ratio is 50 conversions divide the number of views 450 = 11%.

Why is this important? The conversion ratio is very important that this benefit of your business, whether it is payment received or something else. In this example, conversions are revenues and therefore the more conversions have more income and a higher conversion ratio. The conversion ratio is also important that measures the level of expectation of the customers by the ad and how it is realized on the landing page.

ROI – Return on Investment

ROI this is one of the most important for you, the index measures the ratio of return on your investment. The ROI calculation is performed as follows: Net income portion of the investment. In other words, revenues as a result of investment minus expenses as a result of the investment, this difference divided by the of the costs of the investment.

  • ROI> 0 – a positive return, should make the investment. The investment has been good.
  • ROI = 0 – 0 refund, no improvement in the current situation and the situation after the investment.
  • ROI <0 – negative refund, do not make the investment worthwhile. The investment has been not good.

In our example:

Suppose that every deal sold through the site equivalent to $ 20, the cost of any bouquet including shipping is $ 10, the cost of search advertising $ 0.75 per click. So Return on investment is:

  • Sales – $ 20 * 50 = $ 1,000 bookings.
  • Cost of sales – $ 10 * 50 orders = $ 500.
  • The cost of advertising – $ 0.75 * 450 clicks = $ 337.5.

ROI is $ 1000 – $ 837.5 part to $ 837.5 = 19%. Positive ROI means that the investment was successful.

Bounce Rate – The percentage of abandonment

Your website bounce rate measures the number of users abandoned the site and don’t continue to another page or closing the transaction, divided by the total number of users entering your site. High bounce rate is usually a negative sign unless:

  • Landing page – If your landing page features one page without moving the “thank you” page, then bounce rate and conversion ratio combined here will help us figure out what to fix.
  • Special deal – If you asked your customers to enter specific page without having to go to another site.
  • E-commerce – If the page is the only page of the total product ordering and payment.
  • Special page – Contact page etc..

Why is this important? High abandon rate, not a good sign and it sounded an alarm that something is wrong and we need to fix.

Involvement / Engagement

Engagement measures how your target audience involved with the publication of your business. The index is possible to use social networks:

  • Likes – a number of likes on publication – how content is interesting to your audience.
  • Comments – Comments to any publication – how publication aroused emotion in your audience.
  • Shares – the number of shares of your post – how your audience wants to share with their friends.

Engagement ratio shows the number of involvements of users divided by the number of impressions/exposure.

Returning Users

This index estimates the number of users returning to your site where they were previously on the site. This is a very important indicator that shows how relevant your site and how the site helps users to return again to re-engage with your business.

New users

This index measures the new visibility of your site, this is a very important indicator so you can understand whether the site attracts new users to your brand.

Time on site

The index measures the time on site starts when the user enters up to your website to his exit, the index actually shows how your site is interesting for users who enter, how users spend their time to be involved with your business.

The number of pages per user

The index measures the number of page views for each visit by a user, it’s really about as long as he stays and measures how relevant your content and makes for an interesting read on.

Traffic Source

A very important indicator that helps you to know the sources of traffic to your site, what is the biggest source and where to put emphasis on investment and time.