Building Better Metrics to Move the Needle: A Guide to Tracking What Matters
Hansen Belyea focuses on creating websites, videos, and brands. Regardless of the deliverable most of our projects start with research, such as surveys, competitor research and analytic review. While many firms track metrics because they feel they should, the true power of data lies in using it to influence action and drive business impact.
However, metrics are only as good as the objectives they support. To distinguish between a vanity metric and one that truly impacts the business, you must determine if it leads to a clear decision.
Actionable vs. Observational: A metric that impacts the business must support objectives and lead to a change in action. If tracking a metric never influences a decision about budget, headcount, or strategy, it is for observational purposes and you may want to consider if you should still track it.
Alignment with Goals: Ask yourself, “Does this metric truly reflect what we are trying to do as a company?”. Metrics that are merely easy to measure, like social media follower counts, but do not align with core business goals are probably not the best to focus on.
Where to start
To determine what to start tracking, begin with the idea of knowing what you want to solve or where you want your company to be known for. The metrics matter because they validate your foundational knowledge and either confirm or challenge your perception of the company’s position in the market.
Instead of immediately jumping to complex data, start tracking qualitative data through simple methods. Some examples would be to set up interviews or phone calls with clients or partners, or reusing previous survey questions to conduct a benchmark survey. This qualitative data helps provide the necessary foundation for understanding the issues you are facing and people’s perceptions of your company.
When resources, tools, or staff time are limited, focus on approachable ways to track smarter metrics:
+ Prioritize what you are tracking
+ Focus on gathering accurate stats
+ Use sample sets
Once you have the data, teams can make mistakes in interpreting the data. Firstly, the biggest issue is not having a plan or taking any action after you have the information. The other misstep is allowing bias to get in the way. To avoid this, consider who is asking the questions and who is evaluating the data. Teams should consider involving a third party or have contextual proof to support their interpretations. They should minimally have two people review raw data and conclusions to help avoid bias.
Action over volume
Successfully using metrics means influencing decisions across budget, headcount, tools, or strategy. You can use these metrics to justify your actions and how you spend your time from a marketing and communications perspective.
If firms adopt just one mindset shift, it should be to Prioritize Action Over Volume. It is better to track less data and immediately use what you learn to justify marketing and communications actions, rather than tracking more data that never gets acted upon.