3 Important Business Metrics
How do you determine if you’re treading the right path in your business? Measuring it by profit is of course obvious and expected. But profit is not the only determinant as to how your company is going to perform or how your company is performing in this day and age. Here are three important factors to measure:
Social Media Engagement
Engaging on social media doesn’t just mean garnering a huge following. Engagement also means the following:
- Number of shares, likes, repins, reblogs, retweets, responses you have to a post (including blogs)
- Amount of support you provided or number of questions you answered on social media
- Reviews you get online
- Number of brand mentions
To get more advanced metrics, The Social Media Club suggests:
- Participation rate per item (interactions/number of views)
- Percentage share of voice (brand mentions/total industry mentions, which is simply the total mentions of your brand and your competitors’ brands)
Remember that quality—not just quantity—of engagement also matters; deeper engagement doesn’t always mean that you get more visits to your posts. A single visit may be more valuable if your visitor stays longer on your page and is driven to visit more pages on your site.
To keep track of your social media engagement, you can manually encode the participation rate and the percentage share of voice you get for a post on an Excel sheet. You can also use your own metrics, depending on the types of content you generate. You may also want to distinguish between content that’s directly connected to your business and content that’s not (an inspiring pin and photo on Pinterest may get thousands of repins from people who are not really interested in your product).
If you don’t have time to measure social media ROI manually, use services like Google Analytics (a must for blogs), Klout, Kred, and Social Snap.
Customers bought your product, but were they satisfied with it? Will they come back or are they already scouting the competition? To gain insight into these important questions, customer surveys were created by institutions such as the National Business Research Institute, Inc. In these surveys, dimensions such as quality and speed of service, pricing, and complaints are explored. As a business, you can determine, for instance, if your new customer phone service from RingCentral works better than your previous landline utilities. Aside from standardized survey questions, you can also use focus groups and client advisory groups.
Employee engagement is generally seen as a desirable trait in any company, resulting to passion, dedication, retention, and focused effort in the employee. Whereas employee satisfaction depends on an evaluation of the external work environment, engagement refers to something internal – a willingness of the employee to expend discretionary effort for the employer. Metrics may differ depending on the researchers (Gallup, Towers Perrin, BlessingWhite, PeopleMetrics, etc.). Gallup, for its part, created a 12-question survey to identify how engaged employees are. However, Paul Hebert argues that we may not need these additional researches, since companies already have all the metrics they need, namely, employee retention, successful new products, profits, and the number of new hires based on recommendations versus recruiters.
Tags: business metrics, business tips, social media