In a previous post, I introduced the topic of Hypothesis Driven Marketing. A primary element to this concept is developing metrics to understand whether the tactics we launch as marketers either result in a win or a learning. In this post I dive into some potential metrics that teams can use when taking on the execution of a hypothesis they’ve created.
Refresher on the Hypothesis Statement
In my original post, I offered a structure for teams to use in order to create their hypothesis.
We currently believe that (objective) will be achieved if we deliver (possible solution) because our customers will gain (customer value). We know we’ve achieved this when (consumer outcome) and (value driven metric).
As we breakdown the creation of this statement, the final element “Value Driven Metric” can really make or break the team’s ability to understand the actual impact of what they have sought out to do. So here is a list of some foundational metrics teams can use for their “Value Driven Metrics.”
Social Media Marketing
Audience Growth Rate
In comparison to Competitor X, our Facebook/Instagram/Twitter/LinkedIn net followers increased by x% or ###.
Tracking
- Step 1: Create baseline for both our company and at least one key competitor before campaign begins
- Step 2: Execute campaign
- Step 3: Measure the net increase/decrease in followers over the period
- Step 4: Divide your increase/decrease of followers by your total audience and multiply by 100 to get your growth rate
Average Engagement Rate
Our [insert post title] post received ### post engagements, compared to our ### [total number of] followers resulting in a xx% engagement rate.
Tracking
- Step 1: Establish desired baseline (FB, LinkedIn, Twitter ~ 0.5% – 1%, Instagram ~ 3% – 6%)
- Step 2: Execute campaign/post
- Step 3: Measure engagements over defined period
- Step 4: Divide your engagements by your total number of followers and multiply by 100.
Net Promoter Score
Our customers are not likely/neutral/highly likely to suggest our product to someone they know.
NOTE: Doing this at a specific cadence, teams can then track their increase or decrease in NPS.
Tracking
- Step 1: Send the Net Promoter Score survey through one or multiple channels (email, social, call center follow up, etc..). Simply ask “On a scale of 1-10, how likely are you to recommend our [company/product/service] to a friend/colleague?
- Score via the following scale:
- Detractors: 0-6 score range
- Passives: 7-8 score range
- Promoters: 9-10 score range
- Score via the following scale:
- Step 2: Subtract the number of promoters from the number of detractors
- Step 3: Divide this number by the total number which responded and multiply by 100.
Websites
eCommerce Site Conversion
Our current site conversion rate is xxx%. Our desired rate would be xxx%.
NOTE: Team could also establish a desired growth rate per month to track over time
Tracking
- Step 1: Establish your current site conversion rate. For a monthly conversation rate, take the number of sales and divide by the amount of unique site visits (filtering out spam), then multiply by 100
- Step 2: Establish your desired conversion rate after researching industry specific benchmarks
Call to Action (CTA) Site Conversion
Our current CTA conversion rate for our [insert specific call to action i.e. email list signup] is xxx%. Our desired rate would be xxx%.
NOTE: Team could also establish a desired growth rate per month to track over time
Tracking
- Step 1: Establish your current CTA conversion rate. For a monthly conversation rate take the number of CTA clicks and divide by the amount of unique site visits (filtering out spam), then multiply by 100
- Step 2: Establish your desired conversion rate after researching industry specific benchmarks
SEO (Organic) Rankings
Our current organic ranking for our [insert specific page] is [insert rank position]. Our desired placement would be xx.
NOTE: SEO is a long play and depending on your site content and keyword target, a #1 page ranking may not be realistic.
Tracking
- Step 1: Utilize tools such as Google Webmaster Tools, Moz, SEM Rush, etc… to establish your keyword or phrase targets
- Step 2: Execute a Google Search in “incognito mode” to filter out any cached data and search for your keyword or phrase.
- Step 3: Monitor your keyword or phrase ranking after implementing your SEO strategy
Wrap up
So there you have it, a few ideas to get your teams started. Keep in mind, this is not meant to be an exhaustive list. Please add to the comments below with examples of digital marketing metrics your team has used. As always, reach out to Rauch Digital to spark a conversation about how your team could benefit from Hypothesis Driven Marketing.
