As the old joke goes, “A KPI and a metric walk into a bar…”
Kidding, but if you have a punch line for that one let us know.
As you’re building your business, from revenue goals to your email marketing, these are two terms that will come up a lot and you may be wondering what they are and are they secretly the same thing.
Knowing the difference and how to use them for your business is going to help you create better strategies and see actual growth.
Key performance indicators are measurements that tell you how well something is working and if you’re on track for a goal that directly affects the business. This means you can measure something and have a time frame for when that measurement should be met and how it changes the business.
In email marketing, a KPI might be a specific percentage conversion rate for booking a discovery call by the end of Q2.
While metrics can have some of those above qualities, they also might not. These can also impact our KPI’s
In email marketing, a metric could be open or click rates in your campaigns.
What are the differences?
Think of KPIs like the old SMART goals. They are specific, have measurable outcomes in a certain time period, and are key to moving your small business forward.
On the other hand, metrics are anything that measure how things are going. These tend to be something you’re tracking over time versus having a specific targeted timeline in mind.
This means KPIs are metrics, but metrics aren’t always KPIs.
What’s a metric vs. KPI for your business? Tag us on Instagram (@socsomu) with your answer!