In my previous post regarding the need to include auto-generated emails within a email marketing strategy, I reflected on the lack of love given to emails automatically generated through end-user website activity. It's time to give benchmarking some love too!

The promise of a new web project or marketing initiative leaves stakeholders dreaming of online success, higher conversion rates, higher traffic volumes and positive bottom line results. Quite often, the strategy for measuring success gets lost in the shuffle.

Some of you reading this might be thinking, "Why waste the time? Higher conversion equals success." In some cases you may be right on track with that thought, but most of you probably know it's more than that. Success can be measured in many ways, I'll get into that in second. But understand that it's worth a deeper dive into the metrics that are important to you, your company or your industry, before you start on a new initiative. Ask yourself what data you'll be reviewing a week after a website launch to determine if you're on your way towards a positive ROI. It might be PPC reporting, website analytics, email marketing, CRM comparison or another set of metrics that is specific to your industry. I've seen it before, 2 months after redesign and stakeholders are trying to figure out what to measure. By that point, you're probably not going to have the baseline data needed to show a comparison. Solution? Benchmark. And do it early. The strategy and planning phase of any project is the perfect time to start thinking about it.

So what metrics should you benchmark? There is no perfect answer. Sally, who manages an online retail business will have different success factors than Frank, the owner of a property management services company. Sally cares about online sales and revenue generation, but Frank wants to see an increase in online lead generation. It can be a daunting task, so here are a few good places to start:

1. Website analytics - If your initiative includes the enhancement or redesign of a website, start the project with an examination of your existing analytics data. If you don't have any, stop reading this and go get it. Figure out what will be important to you later. It may be as simple as traffic volume, visit duration, cost per ad spend or conversion rates. But you may find a need to collect custom data as well. Almost every analytics package out there has that capability.
2. External data - In this context, external data is performance data obtained through your CRM package or 3rd party sources. Call center volumes or in-store data would fall into this category. You need an adequate way to access it and you need historical references.
3. Email marketing - If your initiative includes modifications to email marketing programs, make sure your provider is collecting meaningful data on open and click-through rates. And make sure you'll have access to historical data to create a trending analysis.

There are plenty of other data sources to benchmark against to determine success. The main goal is to ensure you have the data you'll need to measure success after you've spent time and money to get there. And do it early. Your ROI calculation will depend on it.