Marketing your law firm is crucial for experiencing rapid growth. However, it can be difficult if you don’t know what to look for regarding key performance indicators. Read our blog to learn about 8 Figure Firm’s indicators and get a better understanding of marketing analytics.
What is a key performance indicator?
A key performance indicator, also known as a KPI, is a tool that helps you measure your progress towards a specific goal. It essentially breaks down your milestones into numbers to help you gauge what’s working and what isn’t.
You can use key performance indicators in a multitude of ways. To measure your success with clients, you could measure response time to messages. If you wanted to measure the effectiveness of your budget, you could look at when you were overspending or underspending.
There are a few different KPIs that you can use to understand your marketing analytics. Throughout this blog, we’ll look at a few examples and see how they interact with how you’re advertising your law firm.
Using key performance indicators isn’t difficult – but you have to know what you’re seeing. Each KPI will give you a different look at where you’re spending your money, how that money is used, and whether it’s working.
Each part of marketing will have its own set of KPIs, but a few span the entire field. There are KPIs for email campaigns, SEO, social media, PPC, and other advertising avenues. Let’s work through them.
The general terms you’ll see in marketing analytics are cost per lead, the number of leads generated, return on marketing investment, and total client acquisition cost.
The number of leads is the number of potential clients your marketing has generated, and the cost per lead tells you how much it costs to get a potential client’s interest. Return on marketing investment is the amount of money you’ve earned minus the amount of money you spent, and the total cost of client acquisition refers to everything done to generate leads.
No matter the platform you use to send out your campaigns, you will likely get statistics on your open and click rates. These rates refer to the people that opened your campaign and clicked on a link. Investing in your email marketing will involve increasing these numbers.
SEO, or search engine optimization, has a different set of statistics. The purpose of SEO is to drive your website to the top of search rankings so that you can use a few various indicators. Search rankings, search visibility, organic click-through rates, and the cost per click are good indicators to measure SEO analytics.
Each social media platform will likely use its calculations to give you your marketing analytics. Regardless, each platform will provide you with the number of accounts you’ve reached, how users engaged with your platform, your followers, and how many likes/comments you’ve accrued.
Pay-per-click is most often referred to as PPC and is used to show ads to potential clients when they use specific search terms. Usually, you’ll only have to pay for the ad when someone clicks on it. KPIs for this include the average cost per click, click-through rates, number of clicks, and quality score.
Terms to Know
Sometimes, these terms may seem overwhelming, especially when looking at marketing analytics. Be sure to bookmark this page if you encounter a phrase that you don’t know.
- KPI: Short for key performance indicator. Used to measure progress towards a goal.
- SEO: Short for search engine optimization. Used to improve the quality and quantity of traffic to a website.
- PPC: Short for pay per click. Advertising used to drive traffic to a website.
- Cost per Lead: The cost associated with acquiring one lead. The amount of money put into the campaign is divided by the number of generated leads.
- ROMI: Short for return on marketing investment. Used to measure the effectiveness of an advertising campaign.
- Total Cost of Client Acquisition: Adding the total amount of money spent on acquiring clients, from marketing to hiring personnel, and dividing it by the number of leads generated.
- Click Rate: The percentage of your mailing list that clicks on a link in an email campaign.
- Open Rate: The percentage of your mailing list that opened an email campaign.
- Search Rankings: Refers to your website’s position in the search results when something is searched.
- Search Visibility: The percentage of clicks received based on your search rankings.
- Click-Through Rates: The number of clicks on an ad divided by the number of times a platform showed the ad. Used to demonstrate the effectiveness of your ad.
- Cost per Click: The amount that you pay for each click.
- Quality Score: Google’s rating of the quality and relevance of your website’s keywords and PPC ads.
Understand Your Marketing Analytics
To understand your marketing analytics, you must compile all the data and compare it to the amount of money you’ve spent. Comprehending the KPIs is half the battle – but now you have to put it into practice.
If you’re ready to implement marketing KPIs, or if you’re not sure where to start, reach out to us. We offer expert marketing services through Marketing.ONE, and we’ll help you reach eight figures in predictable yearly revenue.
We’ll help you turn your law firm into a law business.