As a financial advisor, digital marketing is likely not your area of expertise. So if you’re putting in the work to create a digital marketing strategy, don’t you want to know it’s working? Measuring your marketing success using KPIs (key performance indicators) is an integral part of understanding what you’re doing right, what works best and which areas could use a little improvement. Below we’ve outlined a few important metrics to help you measure the success of your marketing campaign.
Lag Measures vs. Lead Measures
Before we discuss the indicators used to measure success, it’s important to understand the difference between lag measures and lead measures.
Lag measures or indicators are used to measure your overall marketing success. As their name suggests, these indicators cannot be measured and analyzed in real time. Instead, these results are measured at a later time (hence the “lag”). Typically, they’ll be analyzed once your marketing campaign is complete or the pre-determined time period has ended.
Lead measures or indicators can be measured throughout your marketing campaign efforts. These real-time indicators can be used to determine how effective your strategy is and how successful your campaign is going. Because you do not have to wait until later to analyze the results, lead measures can help you determine if you’re on the right track or if it’s time to change strategies. They’ll let you see much sooner how successful your efforts are before you’re able to measure your lag indicators.
To measure your overall marketing success, you’ll want to focus on those big-picture measures. These should parallel the goals and objectives you set at the beginning of your marketing efforts.
Marketing KPIs to Measure
Each aspect of your digital marketing campaign will have its own unique KPIs and metrics to help you measure its success.
1. Email Newsletters
As you build up a subscriber list and send email newsletters regularly, there are a few key indicators you can use to measure their success. These important indicators include open rate and click-through rate (CTR).
The open rate of an email refers to the percentage of people who actually opened the email compared to how many received it. Measuring and evaluating this metric is crucial to the success of your email newsletter campaign because if people aren’t opening the email, what’s inside won’t matter.
Once the viewer has opened your email, the click-through rate will tell you how many actually clicked on the email to get through to your site. Measuring the CTR will allow you to determine how effective the email itself is at persuading readers to complete the action you’ve asked them to do.
So how do you know if your email newsletter campaign is successful?
The answer is simple: growth! There are too many outside factors to bother comparing your metrics to those of other advisor firms, so instead focus on your own percentage of growth. Whether it’s every month, quarter or year, keep track of these email newsletter KPI’s and compare them over time to ensure your strategies are keeping your marketing efforts on track.
2. Social Media Engagement
While it may be tempting to focus on the number of followers you gain, the real measure of success for social media is engagement. Of course, the greater number of followers you have can, naturally, lead to higher engagement rates – assuming you’ve built up a targeted and relevant audience. But if those followers aren’t commenting, liking, retweeting or sharing, then your posts are not doing their job.
Engagement with your followers means your posts are making an impression on viewers and standing out amongst the white noise of an endless scroll feed. Therefore, a lack of engagement means your posts either aren’t being seen by the right audience, or they aren’t making a memorable impression. As you keep track and measure the amount of engagement your posts, tweets or stories receive, look for patterns. This can help you understand what your audience finds compelling enough to interact with. Use these findings to tweak and optimize your social media strategies moving forward.
3. Blogs and Other Content
We can’t mention content without emphasizing how crucial it is to the success of your digital marketing campaign. Creating fresh, new content regularly is one of the most important things you can do to stretch your SEO efforts and target new leads.
And when it comes to content, what KPIs should you measure?
The answer is easy: page views. Simply put, if people aren’t reading your blogs, what’s the point of making them? When it comes to creating new content on your blog, you want to see your audience steadily growing. In fact, there are many perks of growing your page views. For example, more page views can make you more seem authoritative to Google. And, of course, the more page views you get, the more opportunity you have to turn site visitors into qualified leads.
As you work on steadily growing your audience, include measurable ways to create conversions on each blog post. This could include submission forms, subscribe buttons, freemium downloads, or a CTA (call to action) to schedule a meeting. Analyze the effectiveness of each type to understand which is more effective at capturing leads and pushing clients further down the funnel toward your goal. Compare this information with the types of blogs or content that receive the most page views to re-strategize your content efforts for maximum conversion potential.
4. Website Engagement
There are several important KPIs you should measure when it comes to the effectiveness of your firm’s website. Together, these can paint a telling picture of how successful your site is at meeting your marketing goals – whether it’s growing your email subscriber list, increasing Ebook downloads or gaining new clients.
The bounce rate is a term used to describe the percentage of users who enter your site and click out of it without any further interaction or browsing. To Google, a high bounce rate can indicate that your site isn’t fulfilling the visitor’s search intent, is difficult to read or maneuver or its overall user experience is lacking.
For financial advisors, we recommend aiming to have a bounce rate between 40% and 60%.
New and Returning Visitors
You should have a good mix of new and returning visitors coming to your site. Why? Because new visitors means your marketing efforts are paying off, while having returning visitors means your site left an impactful impression that compelled them to come back.
Viewers will visit your financial advisor site an average of nine to 16 times before reaching out and making contact.
This metric is used to understand what pages your site visitors are landing on most often. Are specific pages seeing tons of traffic, while others are seem to be totally missed? While the most viewed pages on an advisors site are typically the homepage, about page and contact page, there are ways you can help increase page views to the rest of your site. Most importantly, examine your internal linking strategy to ensure you’re creating a roadmap for site visitors and Google bots to easily navigate through your entire site.
While the most viewed pages on an advisors site are typically the homepage, about page and contact page.
While this may come as a surprise to many, the average time spent on a financial advisor’s site is less than a minute and thirty seconds. That means you have mere seconds to create a lasting impression on your site visitors. Measuring how long visitors are spending on your site is a great way to see how engaging, informative and persuasive it is. If the average time spent on your site is well-below the 90-second mark, think about how you can improve the user experience and create more opportunities for viewer engagement. The more engaging your site is, the more time viewers will spend there.
If the average time spent on your site is well-below the 90-second mark, think about how you can improve the user experience and create more opportunities for viewer engagement.
5. New Leads and Clients
If you’ve invested the time and effort into creating a marketing campaign, it’s likely in hopes of generating new leads or new clients. Therefore, it makes sense that you should measure your marketing success by how many new leads or clients you actually acquired. This is considered to be a lag measure, as you won’t be able to measure it until the campaign/date range is complete. And with so many factors coming into play, we recommend measuring your success in terms of personal growth over time – not growth against other firms.
When you measured your new leads or new clients acquired through digital marketing, were you surprised by the number? For many advisors, it’s important to understand that even acquiring just one solid, well-qualified client can make your marketing efforts well worth it – especially if they are high-net worth. Even acquiring just one client can create a snowball effect when that one happy client turns into several new referrals, and so on.
Measuring Your Marketing Success
We can’t say it enough. If you’re putting in the effort to create and implement a digital marketing plan, you’ll want to know how effective it is. Thanks to several of the KPIs and measures listed above, you can quickly measure and analyze the effectiveness of strategies across your entire campaign.