Key performance indicators (KPI) for social media evaluate the success of a business based on specific activities or marketing campaigns.
Whether you’re creating a money-making Facebook page or a Twitter profile—evaluating key performance indicators (KPIs) is a crucial step in the sales process.
After all, what gets measured gets improved.
Sure, you can publish dozens of posts per day. But you can’t quantify progress and performance without measuring metrics. You need to figure out how social media marketing efforts impact your online influence and sales in the long run.
But how do you set profitable KPIs for social media?
There is no clear answer. Although social media marketing tools can measure hundreds of metrics, the KPIs you set should be based on the objectives of your organization.
In this post, we’ll discuss the main types of KPIs that you must monitor to determine the metrics that matter most for your business.
Here’s what you need to know.
Key performance indicators (KPIs) should be based on your businesses’ objectives.
A social media metric could be chosen based on goals like increasing sales, growing your customer base or boosting your number of followers.
For example, here’s a list of goals and their corresponding metrics:
The success rate of each objective should be measured by a related set of metrics.
Now, how can you choose which metrics to focus?
According to experts, there are four main types of social media KPIs:
Let’s discuss each type.
Social media engagement refers to interactions that you have with your audience.
Since social media is a social platform, the success of your campaign is based on the amount of engagement and discussions that you can generate. This encompasses likes, shares and comments that you receive in your profile.
Engagement is not limited to having one interaction per customer. Ideally, you want posts that engage potential leads and current customers.
A video or post may have thousands of views, but it may have minimal impact with no reactions, likes or comments. After all, engagement is a sign that your message resonates with your target audience.
Social media platforms also factor algorithms in making decisions. Posts with more initial engagement, immediately after they’re posted, will likely be shown to more people. Engagement is a sign that the content is relevant and interesting for users.
That said, here is a list of social media KPIs that are associated with engagement:
Refers refers to the number of social media users that have viewed or accessed your posts. More reach may indicate that your brand has more influence or that there are many social conversations about your brand.
Unlike engagement, reach only refers to the number of people that saw your post. It doesn’t take into account the engagement or interactions that you generate.
Here are some metrics related to reach:
There are usually three main types of impressions:
Social media may be a popularity contest, but your efforts should result in lead generation.
KPIs under this metric should answer questions like: What happened after customers clicked the social media post to your blog? How many followers consistently engage with your posts? How many followers became customers? Do people that react to your social media content reach your website?
These questions determine if you’re generating ROI from your social media efforts.
A good tip is to monitor the time spent on your website and determine drop-off points in the sales funnel. Determining website visits and sign-ups generated from social media campaigns helps identify opportunities for moving leads along the sales funnel.
Most social media posts are designed to encourage people to add an item to a cart, sign-up for an account, download an ebook.
That said, conversions refer to the percentage of users who accomplish a specific action. The conversion rate determines the effectiveness of your ad in getting users moving along the sales funnel.
Across social media platforms, Facebook has the highest conversion rate at 4.7%. This was followed by Instagram which had a conversion rate of 3.1%, Pinterest at 2.9% and Twitter at 0.9%, as reported by Forbes.
This seems simple in hindsight. But don’t forget to factor the cost of the campaign and user behaviour after the conversion took place. Note that not all conversions may lead to a sale.
That said, here are some metrics related to conversions:
There are many social media metrics available right at your fingertips.
However, we highly recommend that you focus on monitoring metrics that help fulfill your businesses’ main objectives.
Every business has different priorities. If you want to focus on brand awareness, then look at reach. Likewise, businesses that want to turn their followers into actual customers could focus on engagement and lead generation.
Some followers may not like or to your content. But they could end up visiting your website and contributing to your businesses’ conversions.
It’s your job to look at your businesses goals then identify corresponding metrics.
Emil Kristensen is the CMO and co-founder of Sleeknote: a company that helps e-commerce brands turn their website browsers into buyers—without hurting the user experience.