How to Apply Behavioral Metrics to Drive Business Growth
It’s considered rude to call someone predictable—but it’s your job to track the predictable behavior of your consumers. If you don’t, you won’t be able to keep up with their needs. And once you know the key behavioral metrics you should be watching, you can do more than keep up.
Mapping particular behavioral metrics allows you to optimize a consumer’s interactions with your platform. Not only that, but you can even anticipate and direct consumers’ attention toward a project that you’re particularly keen on.
So what are those most essential behavioral metrics to track, and how can you use them to your advantage?
Make It Rain
This won’t surprise you, but you need to track your revenue trends. Doing so does more than reassure you that you’re still in the black. Year-long revenue trends can tell you a lot about the success of your business growth.
Say you saw your revenue spike after a compelling marketing campaign. Looking back, you’ll be able to identify what elements of that campaign resonated with your consumers and utilize them again in the future.
Likewise, if your revenue trends downward, you’ll be able to identify the marketing campaigns that aren’t doing your business growth any good.
Search for Active Users
If you want to generate revenue, you need to catch the eye of active users. Your platform needs traffic, be it organic or paid-for, to thrive.
What’s an active user? Put simply, an active user is a consumer who visits your platform regularly. These visits could take place every week, once a month, or multiple times a day.
Facebook, for example, defines active users as anyone who logs onto the platform at any point. Users who don’t log in over the course of 30 days are considered inactive.
Sales Versus SEO
You might think that active users’ most important site impact comes from their eventual sales. This isn’t the case. Active users actually have the potential to grow your business’ reputation for you.
A greater amount of traffic lets Google’s crawlers know that your site is of more value than its peers. The more traffic you get, the higher you’ll rank on a SERP. Similarly, when you provide active users content to interact with, your CTR improves to much the same result.
As you may have guessed, tracking your active users will help you get a better idea of which demographic you want to target with future marketing campaigns. You’ll also have a better idea of what content draws your audience in most effectively.
Cultivate Consumer Loyalty
Finally, an active user is only as useful as he is loyal. It costs a lot of money to retain your consumer audience. As such, you need to keep an eye on the number of loyal consumers you have to make sure you’re not overspending on mistargeted marketing campaigns.
Who qualifies as a loyal consumer? Consumers who’ve made one or more purchases from your platform and who you also consider active on your site. You can calculate your number of loyal consumers with the following formula:
Consumer Loyalty = Consumers who made more than one purchase over a year/your total consumers over the course of a year.
When you keep an eye on these essential business metrics, you can predict the behavior of your consumers. In anticipating their needs, you can build their trust. With that trust comes additional business growth. In this way, the cycle of business metrics will help you boost your revenue, as long as you know how to interpret the social cues it gives you.
Is your company in need of help with Behavioral Metrics? MV3 Marketing Agency has numerous Marketing experts ready to assist you. Contact MV3 Marketing to jump-start your business.
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