How to choose the right social media KPIs [Plus Template]
The first quarter of 2020 was a tough period for marketers globally. However, through the second quarter marketers began to adapt to the “new normal”, and in a short period of time, it just became our “normal”. During this period, digital ads dominated the whole market in the UK accounting for 74.8% of total media spend. Emarketer expects that Facebook will account for 28.9% of total digital ad spend in the UK.
As marketers and advertisers, we allocate most of our budget to social media. That’s why whether you’re working with an agency or not, it’s important to understand which social media KPIs you should use to better track your performance and ROI.
At Three Sixtee, we always recommend implementing a data-driven marketing strategy. With this in mind, in this blog, we’ll help you understand the key performance metrics for social media and which ones you should monitor. As a result, you can make more data-driven decisions and accelerate your marketing efforts.
The definition of social media KPIs and metrics
KPI stands for key performance indicators helping you to measure the progress of your objectives. To measure your goals correctly, you also need to set the right metrics. So to give you a summary, we can say that metrics support KPIs. KPIs, in turn, support the overall business objectives.
Each of your social media KPIs should follow a SMART approach to be measurable and help you to show you the right direction:
Your goal should be specific, clear, and well-defined. For example, I want to increase our click-through rates by 30% by the next quarter. You can go more specific for each campaign or platform.
Your goal should be measurable, and that’s why you need to set the right metrics. You can take advantage of your analytics and insights sections on your website or your social media platforms.
Of course the sky’s the limit but please set a goal that can be attained. Otherwise, you won’t be able to achieve your goal. Always consider your resources and capabilities.
Your goal should be relevant to your business’s other goals as well. It’s not only about setting goals for your social media accounts. You need to set goals that support your business in general.
Your goal should have a timeframe. The time frame depends on the project and campaign. This can be a year, 2 months or even a week. Regardless of your time frame, you always need to set a time frame for your goal first. This can also help you to see the progress.
To measure the effectiveness of your social media and help you make more powerful decisions, we’ve made a list of the top 3 KPIs for social media and their metrics:
1. Increasing reach
Reach shows how many people come across your social accounts, posts and campaigns. If you want to raise brand awareness or reach more potential customers, this is your KPI. Now let’s see the metrics to measure your reach.
Define a specific time frame to analyze the increase of your followers. You can achieve this data through this simple calculation:
Growth rate percentage = New followers / Total followers × 100
Impression is the number of times a post or profile has been seen. Every unique user can see the same piece of content multiple times on their feed. For instance, your post might be seen four times by a user, each time counts as a single impression. That’s why your impressions are always going to be higher than the number of your followers.
Post reach shows you how many people have seen the post since it went live. You can analyze your post reach by:
Post reach percentage = Post views / Total followers × 100
With this simple formula, you can analyze the quality of your content and effectiveness of your social calendar. For instance, your followers can be more active between 12 to 2 pm, and that’s why you might have a higher post reach during those hours.
Social share of voice
Social share of voice measures your brand’s visibility within the conversations. You might think that this should be related to engagement, and you’re not wrong. However, with those mentions, you also reach your potential customers, not only your existing followers. As a result, you keep increasing your reach and brand exposure. This metric also helps you to analyze your position within the industry. Here’s how to calculate it:
Social share of voice percentage = Number of mentions of your brand / Total mentions including your competitors × 100
2. Increasing engagement
Engagement is a critical element for social media marketing. Why? Regardless of the social platform, if you’ve a higher engagement, your posts will be shown and distributed to more users. Engagement also shows how people are interacting with your brand. So by increasing your engagement, you’ll be able to create a stronger brand community. Let’s find out the key metrics to measure your engagement.
Average engagement rate
Likes, comments and shares all indicate your engagement. However, instead of analyzing each of them, we recommend calculating your average engagement rate. This will give you a better understanding of your engagement.
Average engagement rate = Likes + Comments + Shares / Followers × 100
The amplification rate represents how much your followers are ready to advocate for your brand. By knowing your amplification rate, you can redefine your advocacy strategy and increase your reach further.
Amplification rate = Shares / Followers × 100
3. Increasing conversions
Last but not least. Analyzing your conversions will show you how much your social media efforts translate into sales.
To better understand your user experience, it’s important to calculate your conversion rate. For instance, your customers might be scrolling through your site, checking a few products or signing up for your newsletter, and then going to checkout.
Conversion rate = Conversions / Clicks × 100
Click-through rate (CTR)
In this formula, we take a look at the links or CTA’s that you’ve provided within a post. So when you calculate your CTR, likes, shares or comments won’t be calculated.
CTR = CTA Clicks on a post / Impressions × 100
As you can guess from the name, CPC stands for the price you pay for each click. Tracking your CPC and conversion rates are essential to analyze the effectiveness of your campaign. If you’ve a high CPC and low conversion rates, then you might need to stop running your ads or redefine your campaign strategy.
Download our social media KPI template
There are still many metrics you can use to analyze your social media efforts. In this blog, we wanted to show you the most important and simple metrics. By regularly checking your social media analytics and analyzing your progress, you can optimize your campaigns and see higher ROI.
We understand that it’s not as easy as it seems and you might be short on time as you’ve lots of other projects on your plate. If you need an expert to help you analyze your social media and optimize your campaigns, we’re always here. Contact with us today.