What are Key Performance Indicators (KPI) and How do they Relate to Link Building?

What are Key Performance Indicators?

Key performance indicators (KPIs) are values used to measure progress towards a goal. They are a quantifiable measure of performance over time for a specific objective, providing targets for teams to shoot for, milestones to gauge progress, and insights that help people across the organization make better decisions.

KPIs can be used to track the success of everyday business activities that support strategic business outcomes, help keep teams aligned and moving in the same direction, provide a health check of the organization, and make adjustments to do more of what is working and less of what is not. Examples of KPIs include return on investment, revenue, market share, sales by region, average monthly transportation costs, and cost per acquisition (CPA).

Key performance indicators (KPIs) are essential in measuring the success of a link building campaign. KPIs provide hard numbers that can be used to track the performance of a link building effort. These data points allow marketers to evaluate the success of their link building efforts. They can also be used to create forecasts and develop realistic plans.

KPIs can provide insight into the number of link opportunities found, as well as the number of initial outreach efforts made. These metrics also enable marketers to track the types of link opportunities, such as directory listings, guest posts, and link exchanges.

Besides the quantitative KPIs, there are also qualitative factors to consider, such as linking to the right kind of audience and increasing brand recognition.

Ultimately, measuring link building performance is essential for constructing a sustainable process. KPIs provide the necessary data points to create a comprehensive view of one’s digital marketing performance. With the right KPIs, marketers can accurately assess the success of their link building efforts.

Step 1: State the KPI’s objective.

Step 1: Define your objective. Before starting a link building KPI, it is important to identify and define the objective of the KPI. Ask yourself what success looks like for your link building efforts. Consider visibility in search engines, traffic, conversions, and revenue as possible objectives.

Step 2: Make the objective SMART. Once you have identified and defined your objective, make sure it is SMART – Specific, Measurable, Attainable, Realistic, and Time-Bound. For example, if you want to increase revenue from link building, you could set a goal to “increase revenue by 10% in the next six months.”

Step 3: Communicate the objective. Once you have set a SMART objective, it is important to communicate it to your team and other stakeholders. This will help ensure that everyone is on the same page and understands the purpose of the KPI.

Step 4: Monitor and adjust. As your business and customers change, you may need to adjust your KPIs to ensure they are still relevant and effective. Monitor performance regularly and make adjustments as needed to ensure you are meeting your objectives.

Step 2: Calculate share of voice for your KPI.

To calculate the share of voice for your link building KPIs, you need to use a social listening tool like Hootsuite. First, determine the timeframe for which you’ll be measuring the share of voice. Then, identify the number of mentions your brand has made and compare that to the number of mentions of your competitors. Finally, divide your brand’s mentions by the total number of mentions from your competitors to get the share of voice percentage. This metric tells you how relevant your brand is within your industry, and whether your link building efforts are paying off. With this data, you can adjust your strategy accordingly to ensure optimal results.

Step 3: Calculate conversion rate for your KPI.

Step 1: To calculate the conversion rate for your link building KPI, you need to first determine the metric that best reflects your desired outcome. This could be clicks, leads, sales, or other desired actions.

Step 2: Once you have decided on the metric, determine the number of people that have clicked on the link, subscribed to a mailing list, made a purchase, etc.

Step 3: Divide the number of people that achieved the desired outcome by the total number of clicks on the link to get your conversion rate.

Step 4: To get an even clearer picture of your link building KPI, you can also calculate the click-through rate (CTR) which is the percentage of people who viewed your post and clicked on the CTA (call to action) it included. Divide the number of clicks by the number of views to get your CTR.

Step 5: To get an even better understanding of your KPI, you can also calculate the cost per click (CPC). This is the amount you pay social media platforms like Facebook, Twitter or Instagram per individual click on your sponsored social media post. Divide the amount you paid for the link by the number of clicks to get your CPC.

Step 6: Finally, you can calculate the cost per thousand impressions (CPM) which is the amount you pay for every 1,000 people that scroll past your sponsored social media post. Divide the amount you paid for the link by the number of views to get your CPM.

By calculating all these metrics, you will be able to get a better idea of how effective your link building KPI is, whether it’s leading to actionable outcomes, and whether it’s worth the investment.

Step 4: Calculate click to delivery rate for your KPI.

The click to delivery rate (CTD) is a key performance indicator (KPI) for a link building campaign. It measures the success of a campaign by tracking the number of clicks that the link receives, and how many of those clicks lead to a desired outcome, such as a sale, sign-up, or other form of conversion.

To calculate the click to delivery rate for a link building campaign, you will need the following information:

  1. The number of clicks the link has received.
  2. The desired action that the link should lead to (i.e. a sale, sign-up, etc).
  3. The actual number of times that desired action has occurred.

Once you have this information, you can calculate the CTD rate by dividing the number of desired actions (2) by the total number of clicks (1). The resulting percentage is the CTD rate for your link building campaign.

For example, if you have a link that has received 1,000 clicks and has led to 25 sales, the CTD rate would be 2.5%. This means that for every 1,000 clicks on the link, 25 people made a purchase.

The higher the CTD rate, the more successful your link building campaign has been. If the CTD rate is low, it’s an indication that something needs to be changed in the campaign, such as the content of the link or the target audience.

Step 5: Calculate number of new referring domains growth trend.

  1. Track the number of new backlinks earned in a week. This will give you an indication of the progress of your link building campaign.
  2. Measure the domain rating (DR) of your website’s backlinks. This shows the power of your backlinks compared to similar websites on a 100-point scale.
  3. Monitor your backlink profile. Count the total number of links and referring domains to get an accurate overview of how many links you have received from external sources.
  4. Check your competitors’ referring domains growth. This can provide inspiration for your own link building efforts and also give you an indication of how successful your campaign is.
  5. Monitor the changes in your Google rankings. This will give you an idea of the impact your link building campaign is having.
  6. Analyze the impact of your link building efforts. Compare the total number of links and referring domains you had before the campaign to the total number you have now. This will give you a good indication of how successful your link building campaign has been.

Step 6: Calculate anchor text percentage.

Calculating the anchor text percentage for a link building campaign is a simple process. In order to do so, you’ll need to track the number of new backlinks and the number of referring domains.

First, you need to gather the anchor text for all of the backlinks pointing to your website. You can use a tool like Monitor Backlinks to view the anchor text of each of your links. Once you have the anchor text of all of your backlinks, you can then start counting the number of times a keyword appears in the anchor text.

Next, you need to calculate the total number of backlinks and referring domains. You can use the same tool, Monitor Backlinks, to view the total number of backlinks and referring domains. With this information, you can calculate the anchor text percentage of each keyword.

To calculate the anchor text percentage of each keyword, divide the number of times the keyword appears in the anchor text by the total number of backlinks and referring domains. This will give you the percentage of anchor text that is focused on the keyword.

Finally, you can use this data to adjust your link building strategy. If the number of backlinks and referring domains is lower than expected, you may need to focus more on getting quality backlinks to your website. On the other hand, if the percentage of anchor text that focuses on the keyword is too low, you may want to adjust your strategy to include more optimized anchor text for that keyword.

By tracking the anchor text percentage for your link building campaign, you can get an idea of how successful your outreach efforts are and make necessary changes to improve your search engine rankings.

Step 7: Review the KPI’s limitations and best practices.

Setting up KPIs for a link building campaign can help you track the performance of your efforts and measure if they are driving tangible results. However, it is important to define your key performance indicators carefully, taking into consideration the best practices and limitations.

Here is a step-by-step guide to setting up KPIs for a link building campaign:

  1. Define how the KPIs will be used: Talk to the people who will be using the KPI report to understand what they want to achieve and how they will use it. This will help you to define KPIs that are relevant and valuable to them.
  2. Tie the KPIs to strategic goals: Make sure that all the KPIs you define are related to your overall business goals. This will ensure that you are not wasting time measuring irrelevant metrics.
  3. Write SMART KPIs: Your KPIs should be Specific, Measurable, Attainable, Realistic and Time-Bound. Some examples of SMART KPIs for a link building campaign could include “Increase the number of backlinks by 25% in the next 6 months” or “Increase the website’s Alexa ranking by 10% in the next 12 months”.
  4. Make them clear-cut: Everyone in the organization should understand the KPIs so they can work towards them. This is why data literacy is so important.
  5. Plan to iterate: As your business and customers change, you may need to revise your KPIs. Plan for this in advance to make sure that your KPIs remain relevant.
  6. Avoid KPI overload: Don’t measure too many metrics as this can be overwhelming and confusing. Focus on the most impactful measures that are directly related to your business goals.
  7. Track the KPIs: Decide on a pattern (e.g. weekly, monthly, bimonthly) that will help you to clearly see growth patterns and developments.
  8. Communicate the KPIs: Share the KPIs with your team, your boss, and any other stakeholders who should stay up to date with your strategy. This will help to set expectations and ensure everyone is aligned.
  9. Monitor qualitative factors: In addition to quantitative KPIs, also pay attention to qualitative factors such as customer satisfaction.
  10. Make sure KPIs are actionable: Make it clear how tracking the KPI will help the company reach a specific business goal. Think beyond numbers and data.

By following these steps, you can set up KPIs for a link building campaign that are meaningful and actionable.

Step 8: Calculate cost of outreach per hour.

To calculate the cost of outreach per hour for your link building campaign, you need to first calculate the cost per link. You can do this by dividing the total cost of the campaign by the number of links acquired. Then, divide this number by the total number of prospecting hours spent on the campaign. The result will be the cost of outreach per hour.

You can also measure the success of your link building campaign by looking at other KPIs, such as the prospects per hour, prospect qualification rate, email delivery rate, positive response rate and outreach placement rate. These are all important metrics that can help you understand how effective your campaign is and where changes may need to be made.

To make sure your outreach is successful, you should aim to send at least 30 emails before making any changes. A good response rate for link building email campaigns is usually around 15-20%, so if your response rate is lower than this, then you may need to consider changing your offer, audience or email copy. If you are getting positive responses, but at a low rate, then you may need to rework your email copy.

Finally, be sure to track the number of prospects you get per hour, as this will give you an indication of how well your keyword targeting is working. A good number of prospects per hour is usually seven. If this number is lower than expected, it could be due to strict prospecting requirements, resulting in skipped opportunities, or due to keywords that are resulting in dead ends. If none of these are the issue, then you may need to consider running a campaign in a tangential niche.

By following these steps, you can calculate the cost of outreach per hour for your link building campaign and ensure that your outreach is successful.

Bonus

When running a link building campaign, it is important to define the cadence for email delivery rate. Here are the steps to do so:

  1. Measure the Number of Follow-up Attempts: Monitor the number of attempts to reach out to a certain website for link building. If the first attempt fails, make sure to follow-up via a different communication channel (e.g. LinkedIn) for better results.
  2. Assess the Percent of Positive and Negative Responses: After 45 to 60 days from your first attempted outreach, you can analyze your conversion rate. This will serve as a forecasting tool for your likely success in attracting similar kinds of links.
  3. Calculate the Average Link Quality: Score each link you get using a 5 point scale, weighted according to the site’s Authority, Relevance, Placement, and Future Potential/Longevity.
  4. Determine the Cost Per Link: Calculate the cost per link by adding all the direct costs of link building (salaries, design, and consultants) and dividing it by the number of links you achieved.
  5. Monitor the Email Delivery Rate: Use email scraping tools like Hunter or Snov to find email addresses for contacts. Use email verification tools like NeverBounce to ensure that the emails don’t bounce and are not going to spam. Aim for a delivery rate of 97% or higher.

FAQs

What are Key Performance Indicators (KPIs)?

Key Performance Indicators (KPIs) are values used to measure progress towards a goal. KPIs are specific, measurable values used to evaluate success and inform decision-making. They provide targets for teams to shoot for, milestones to gauge progress, and insights that help people across the organization make better decisions. KPIs are an important way to ensure teams are supporting the overall goals of an organization and provide a health check for the organization. They also help make adjustments, hold teams accountable, and keep teams aligned. In the context of SEO, KPIs are performance measures used to measure and track success of an initiative within a company. Examples of KPIs include “targeted new customers per month” and “monthly store visits”.

KPIs (Key Performance Indicators) are important to monitor in order to measure the success of a link building strategy. They provide insight into how effective the links are in terms of SEO, PR, and other marketing objectives. KPIs can include metrics such as organic traffic dynamics, the number of reads, likes, and shares of the article with the link, ROI of all marketing activities, and branded keyword dynamics. By monitoring these KPIs and combining them with other web metrics, such as click-through rates and marketing return on investment, you can determine the success of your link building efforts.

How can KPIs be used to measure the success of a website?

Step 1: Understand what SEO KPIs are – SEO KPIs are metrics used to measure the success or failure of an SEO strategy and a website’s organic search performance.

Step 2: Identify the criteria you want to measure success by – Money (CPL or CPS of each link and total for the period; ROI of all marketing activities), SEO (growth of positions in the search engine; organic traffic dynamics; branded keywords dynamics; referral traffic dynamics; increase in the number of brand mentions), and PR effect (number of reads, likes and shares of the article with the link; engagement of users from referral traffic; article vitality).

Step 3: Track the performance of your website’s SEO strategy – Monitor your website’s performance by tracking key performance indicators (KPIs) such as keyword rank, organic traffic growth, bounce rate, return on investment, branded vs non-branded traffic, domain authority, total number of backlinks, backlink quality, click-through rate, average session duration, average page speed, percentage of returning visitors, conversion rate and revenue per visitor.

Step 4: Review your KPIs often – Reviewing your KPIs often will help you determine if they need to be changed and make sure your SEO goals are being met.

Step 5: Utilize your findings to make changes and improvements – Use the data from your KPIs to make informed decisions and drive improvements to your SEO strategy.

What metrics are important to consider when measuring website performance?

When measuring website performance, there are several important metrics to consider. These include page speed, organic search results, click-through rate, marketing return on investment, link building metrics, organic traffic sessions, organic search session duration, total sessions, organic search bounce rate, and organic search revenue. Each of these metrics can provide insight into different aspects of the website’s performance, helping to inform decisions regarding further optimization. Additionally, it is important to track qualitative factors such as website authority and overall user experience. This will give a complete understanding of how the website is performing and how it can be improved.

The benefits of using KPIs for link building are numerous. KPIs can help you track and monitor your efforts, identify and solve problems early, remain flexible, and enable better communication. KPIs enable you to measure success, such as the success in dominating the Search Engine Results Page (SERP), and track key metrics, such as cost per link, total cost for the period, growth of positions in the search engine, organic traffic dynamics, branded keywords dynamics, referral traffic dynamics, number of reads, likes and shares of the article with the link, and engagement of users from referral traffic. They also help you to track ROI of all marketing activities, increase in the number of brand mentions, and article vitality. Ultimately, KPIs are vital to evaluating the success of your link building efforts and allowing you to adjust your strategy accordingly.

Link building is an important part of SEO and organic traffic growth, but it can be difficult to measure the success of your campaigns. To gain insight into your link building efforts and take your organic growth to the next level, you need to track and measure the right link building metrics. Here is a step-by-step guide on how to track link building metrics.

Step 1: Identify What You Need to Track

Before you start building links, you need to know what metrics you are going to measure. The most important metrics to track are number of new link opportunities, quality of links, link building velocity, domain authority of links, conversion rate, and organic traffic growth.

Step 2: Use Appropriate Tools

To accurately track link building metrics, you need to use the right tools. Popular tools for link building campaigns include Ahrefs, Buzzsumo, and Google Analytics. These tools provide detailed insights into the success of your campaigns and help you identify areas for improvement.

Step 3: Set Up a Tracking System

Once you have identified the metrics you want to track and the tools you will use, it’s time to set up a tracking system. This system should include tracking of link opportunities by type, quality of links, domain authority of links, conversion rate, and organic traffic growth.

Step 4: Analyze Your Results Regularly

Once you have set up your tracking system, it’s important to review the results on a regular basis. Analyzing your results will help you identify areas for improvement and ensure that your link building efforts are working as expected.

By tracking the right metrics, you can gain insights into the success of your link building efforts and take your organic traffic growth to the next level. This step-by-step guide can help you set up a system for tracking and analyzing link building metrics, so you can tweak and improve your campaigns for better results.

When evaluating the quality of backlinks, it is important to consider a few criteria. Firstly, niche relevance is an important link building metric. This means looking at how relevant the websites linking back to your profile are to your niche. Secondly, you need to look at the quality of traffic from the websites. This means looking at organic traffic that is reported by AHREFS, SPYFU and other tools. Thirdly, you should check for any negative footprints that may be present on the website. Then, you need to see if the traffic is relevant to the page you are promoting. Lastly, you need to look at the link authority index, which is a measure of the quality of the backlink profile based on the number and quality of the referring domains. Other metrics to look out for include the number of new backlinks, time/number of links, domain rating, anchor text and open rate. All of these criteria are essential in order to ensure a quality link profile and good rankings.

How do you measure the effectiveness of outreach campaigns?

Measuring the effectiveness of outreach campaigns is critical to understanding and improving your link building efforts. Here is a step-by-step guide to help you track and measure the success of your outreach campaigns:

  1. Prospects per hour: Track how many prospects you are reaching out to per hour. This will help you gauge the efficiency of your outreach efforts.
  2. Prospect qualification rate: This metric measures how many prospects are qualified to receive your outreach message. The higher this rate, the more successful your outreach is.
  3. Email delivery rate: This metric tracks how many emails were successfully sent and received. A high email delivery rate indicates that your outreach is reaching the right people.
  4. Positive response rate: This metric measures how many people responded to your outreach emails in a positive way. A good response rate for outreach emails is usually between 15-20%.
  5. Outreach placement rate: This metric is the percentage of prospects who have accepted your offer. This helps you understand how successful your offer is and if you need to change it.

By tracking these metrics, you can identify areas of improvement in your outreach campaigns and adjust your strategy accordingly.

When it comes to analyzing link building campaigns, there are various data sources available to examine. The most popular tools used include Ahrefs, Moz, and DashThis, which can help to track your external links and backlink profile, and to determine the quality of the backlinks and the anchor text on which they are placed. Additionally, you can use Databox to aggregate data from the different sources and create a central dashboard to better read, digest, and plan link building campaigns. The key link building metrics that should be monitored include the number of new backlinks, time/number of links, link quality, number of referring domains, domain rating, and anchor text.

Optimizing link building efforts is an important part of any successful SEO strategy. Here is a step-by-step guide to optimizing your link building efforts.

  1. Analyze your current link profile: Before beginning any link building campaign, it’s important to assess your current link profile. Use Google Analytics to track the number of referring domains and the overall organic traffic growth on your site.
  2. Set realistic goals: Before starting any link building campaign, set realistic goals for what you want to achieve. Think about how many new referring domains you want to acquire each month, what page search result position changes you would like to see, and what kind of overall organic traffic growth you are aiming for.
  3. Track progress: Monitor the progress of your link building efforts using the three vital metrics discussed above: the number of new referring domains, target page search result position changes, and overall organic traffic growth.
  4. Use high-quality links: Only use high-quality links when building links to your website. This means focusing on links from reputable sites, relevant to your industry, and with a good domain authority.
  5. Keep an eye on your competitors: Keeping an eye on your competitors is an important part of any link building strategy. Monitor your competitors’ link profiles to get an idea of what kind of link building tactics they are using, and use this information to your advantage.
  6. Use content marketing to your advantage: Content marketing can be an effective way to build high-quality links to your website. Create content that is useful and relevant to your target audience, and be sure to include a link back to your site.
  7. Monitor and adjust your campaigns: Once you’ve started your link building campaign, be sure to monitor the progress and adjust your campaigns as needed. Pay attention to the keywords you’re targeting, the links you’re building, and the overall organic traffic growth.

By following these steps and taking the time to measure and analyze your link building efforts, you can optimize your link building campaigns and achieve the desired results.