Origami Logic’s “Now You Know” blog series answers common questions and “how to’s” for marketing measurement best practices. This series features subject matter experts, guest authors, and Origami Logic team members to provide solutions and insight into marketing must-know topics like agile marketing analytics, campaign performance measurement, video impressions, custom marketing KPIs, and marketing dashboards… Learn how to address these topics and leverage the Origami Logic platform features to master marketing performance measurement and maximize your marketing investments.
While most marketing platform/service providers offer out-of-the-box metrics to help marketers understand the performance of their activities, many organizations like to take those metrics and use them to define custom marketing KPIs that are specific to their needs. These custom KPIs are often calculated by consolidating data and defining formulas in Excel, which is an error-prone process. At Origami Logic, we provide an intuitive Formula Editor, as a part of our solution, that lets marketers define custom marketing KPIs.
Through the work we have done with some of the world’s largest advertisers on their marketing performance measurement initiatives, we have developed some best practices for defining custom marketing KPIs. Here are some of them:
First, there are some general best practices to keep in mind when defining custom KPI formulas…
Don’t mix granularities
Within a single formula, make sure all of the metrics have the same level of granularity. For example, you don’t want one metric with daily values and another metric with monthly values. Also, be aware there are some metrics supplied by marketing platforms/services that only return lifetime-total-to-date. For those metrics, if a daily total is wanted, the Origami Logic platform automatically calculates that granularity by subtracting yesterday’s total from today’s total.
Not all metrics can be added together
Make sure you understand which metrics are additive and which ones are not. For example, it is okay to add the number of impressions across channels if you are looking to calculate total impressions. However, if you are looking to calculate the clickthrough rate across a number of display ads, it is not okay to add the clickthrough rates of each ad. You need to calculate the weighted average across the different ads. The Origami Logic platform understands the notion of weighted metrics. For example, it can automatically calculate the Google AdWords Quality Score across multiple AdWords ads, even if they are in different accounts.
Second, there are some best practices that take advantage of unique capabilities in the Origami Logic Formula Editor. These capabilities reduce the amount of hardcoding of specific services or dimensions that needs to be done when defining KPI formulas. This is very helpful in today’s dynamic marketing environment where things are continually changing.
Take advantage of tags
Origami’s Formula Editor lets you define metrics that include tags. For example, you can define a metric that calculates the total impressions for all display ads that are tagged with “Creative:Generation EQ”. Origami Logic is smart enough to find all displays ads with that tag, even across various accounts.
Don’t hardcode dimensions
Origami’s Formula Editor supports the notion of specifying metrics without having to specify dimensions as splits or filters. For such metrics, Origami collects all of the data for that metric across all dimensions. Later, if a user wants to view the metric in a dashboard for a particular dimension (or dimensions), they can filter for the dimension by selecting it in a dropdown menu.
If you are interested in learning more about the Origami Logic platform and its Formula Editor, get in touch with us.