Performance, efficiency, and effectiveness are
important indicators of each company. Every company should record as much as
possible for all processes and projects. Performance measurement deals precisely with this task. So it is an essential function in
terms of control and marketing. This is because an assessment of the relevant
basic statistics is possible only through performance measurements. Based on
the assessment, in turn, new possibilities emerge. Among other things, it
allows reconstruction for the future or can be used as a motivating aid in
achieving the goal.
In the following, we will show you which
functions are used to measure performance. You can know from this how
performance measurement is defined and why it is so important. Also, we explain
how you canimprove the performance of the marketing system. And thus
significantly how you can benefit from a more efficient process.
Measurement Definition & Explanation
Performance measurement is a term that has
found its way into many industries and fields. A general term is performance
measurement, for example in control, where the efficiency of the project or the
company as a whole is measured in this way. Of course, performance measurement
is an important component of performance marketing. Performance measurement is
used to measure how a marketing campaign fails. So you can know the skills and
performance of marketing. For this purpose, various key statistics are
evaluated in the performance measurement. And then the processes are optimized
Performance Measurement Performance performs
various functions of marketing. On the one hand, the transparency of
performance has increased significantly through the measurement of key
statistics. This opens up the possibility of increasing performance by adapting
to strategy, goal-oriented planning, and control. Also, precise assessment
enables one to naturally adjust for future comparative processes or tasks. Due
to the increased transparency and efficiency in services, explicit target
incentives can also be defined. These help to motivate employees significantly
Increase performance transparency
by measuring key statistics
Increase performance by adapting
plans and strategies
Optimization for similar processes
and projects in the future
The definition of goal motivation
is possible, through which the motivation of employees can be increased.
why measuring performance is so important
Performance Measurement Performance marketing
is fundamental. By measuring key statistics and performance values, for
example, potential dependencies or goal conflicts can be uncovered. After a corresponding
evaluation, adjustment and optimization are possible. Potential obstacles to
the project or weak points of a particular process can be identified in certain
situations. For example, if a website has a large number of visitors, but the
conversion rate is still low, it indicates a weakness in marketing. For the
future, performance measurements enable more realistic assessments. And, based
on the experience gained, it may help to avoid potential flaws in previous
you measure the performance of marketing measures?
In performance marketing, very different key
statistics come into question for measuring the marketing system. Below, we
present a selection of relevant key figures in more detail.
Traffic: Traffic is, of course, one of the most compelling and important key metrics of performance
marketing. After all, all other basic statistics are based on the number of
visitors. When there is a lack of traffic, there is a lack of automatic sales,
return visitors, and interaction. So traffic is an important key figure for
measuring the marketing system. This indicates a good way to increase the
number of visitors. However, the traffic key image should always be seen in
relation to other key images. By itself, traffic is not really a meaningful
metric for measuring marketing activities.
rate: Another exciting key figure in marketing is the
so-called bounce rate. This is the bounce rate, which indicates how many
visitors leave your website again without interaction. The higher the bounce
rate, the worse the rating. Incidentally, you can evaluate the bounce rate not
only for the entire web project but also for all associated sub-pages. This
enables the difference and ensures that the relatively weak aspects can be
optimized for the target.
duration: Session duration is also an important
indicator of performance marketing. It indicates how much time users have spent
on your website. The duration of the session can often be extended using a
little "technique". For example, you can keep visitors on your own
site longer through surveys or videos. Also, internal links to other sub-pages
or contributions ensure that visitors stay on your website longer. If the
length of the session increases, it indicates that users enjoy spending time on
your site and are genuinely interested in the topics.
Pages/session: How many pages are accessed per session before it ends? This metric is
also very important. With the help of internal links, this value can sometimes
be greatly increased. Ensure that users can access multiple sub-pages and posts
from a single page. This usually increases the number of pages per session
significantly. The more pages users visit, the more content they will use. And
the chances of sales and income are much higher.
Visitors: Returning visitors are clear evidence of a
good marketing system. In the analysis, you can easily check how many visitors
from the previous month returned to your site this month. Returning visitors
indicate that they enjoy spending time on your page. Regular visitors are
essential for website operators today.
conversions, sales: Of course, the most important key
statistics of performance marketing should not be missed. Among other things,
effective measures are seen in sales growth, a high conversion rate, or a high
number of sales.
values and goals
The Customer Value is an average value that
describes how much a customer brings to the company over the course of the
entire customer life. This customer value does not only include past
transactions. Also and especially current transactions and future purchases.
Since the customer value comes from business administration, it can also be
described as the coverage amount that the customer realizes during the customer
relationship with the company. But what does this customer value bring to the
Calculate break-even points: When will you
make a profit?
We explain how you can easily calculate
break-even points and thus find out when your company can finally make a
The key is to optimize marketing campaigns for
customer loyalty. As an important KPI, customer value helps ensure that
campaigns can be better planned. Also, it helps cost structures to be designed
more efficiently. This value clarifies what the benefits of systems are for
maintaining customer relationships if the value is low, for example, you should
also cut budgets for customer acquisition and support. With it, you can
strengthen customer acquisitions, strengthen customer loyalty, control customer
management, and ultimately increase the company's profits.