10 fundamental KPI indicators in an Inbound Marketing strategy

Every Inbound Marketing strategy must be based on business objectives that must be SMART (specific, measurable, achievable, relevant and scalable over time). However, reality confirms that one of these variables is hardly put into practice and that is to be measured. In inbound marketing it is essential to analyze and monitor our objectives if we want to know if the strategy is working, and for this we will need to establish KPIs indicators.

KPIs (Key Performance Indicators), or in Spanish ‘key performance indicators’, are those variables or units of measurement that we consider essential for our digital strategy and that allow us to monitor the actions we carry out in order to achieve the objectives established. They are, therefore, a series of indicators that we establish ourselves to know how our project is progressing.

But, what are the KPIs that will show us if an inbound strategy works? The truth is that there are many types of KPIs that can be taken into account, but these are the fundamentals for an Inbound Marketing strategy.

10 essential KPI indicators in inbound

 Here are the 10 KPI indicators by Nova city islamabad

1. Number of web visits

Generally, this is the main goal we set for ourselves when starting an inbound marketing strategy. Generating traffic on our website is essential to subsequently be able to analyze other actions such as the conversion of the page or the achievement of potential clients. It is, therefore, a basic KPI in any strategy that must be measured regularly to check its evolution. To do this, we will use Google Analytics as a tool that will not only allow us to know the specific number of visits our website has in a certain period of time, but also through which channels they reach our site.


2. Ratio of visits to lead

One of the main strengths of inbound marketing compared to other methodologies is its ability to convert anonymous visitors to a website into users with name, surname and email, essential information to be able to track them later. This is what is known as the ‘visit to lead ratio’ and it is another of those essential metrics in an inbound strategy.

Calculating the ratio of visits to leads is very simple, you just have to divide the number of leads obtained during a period of time by the number of visits to the web during that same period. A good conversion ratio is considered to be around 2%, so if your website is below that figure, you should analyze the conversion elements you have to know what is happening.

At this point, it is key to look at whether the premium content offers are relevant to the buyer persona , if the landing pages are well designed and configured, if the CTAs are effective or if the information requested in the forms is strictly necessary.




3. Lead to MQL ratio

The two previous KPIs are basic when implementing an inbound marketing strategy, but in more advanced phases of the project, the really important thing is to check if those leads we are getting are of quality. This is achieved by calculating the conversion ratio from lead to MQL. MQLs, or Marketing Qualified Leads, are those leads that have the greatest chance of becoming real customers because they fit a series of criteria that we have previously established.

The conversion from lead to MQL is calculated by dividing the number of MQLs by the number of leads obtained during the same period of time. This data provides us with information on the effectiveness of the automation processes, as well as on the quality and effectiveness of the content that we offer in each of the phases of the project. According to Hubspot, a good lead to MQL conversion ratio is around 8%.


4. Ratio of MQL to SQL

The conversion rate from MQL to SQL is a very important piece of information, especially for the sales department, as it will indicate which leads are already prepared to have direct contact with the sales department. This data is calculated by dividing the number of SQLs by the number of MQLs and, according to Hubspot’s standards, it should be around 33%.

If the ratio is lower, it means that the leads are not yet ready for the purchase, but this does not mean that they should be discarded, but that the marketing department must continue working with them to ‘nurture’ them and bring them closer to the sale.


5. Ratio of SQL to Opportunity

For the sales department, one of the most important ratios to measure is the conversion from SQL to Opportunity, since the latter are those prospects that have a high probability of becoming customers. The ratio is calculated by dividing the opportunities by the number of SQLs achieved in the same period of time and this data is generally around 20%.



6. Opportunity to sale ratio

The last step in this sequence is to know the ratio of Opportunity to sale that will indicate to us of all those sales opportunities that have been opened to us, how many we have closed in total. To have this data we will divide the opportunities by the number of sales made in the same period of time.

At this point, it is considered that the conversion ratio should be high , since the opportunities are prospects that are already well prepared for the purchase and that, therefore, should be closed. Hubspot sets the standard at 50%.

7. ROI

The Return on Investment (ROI) is a fundamental aspect at the business level, as it is the data that tells you if the economic investment you are making is proving effective. ROI is calculated by dividing the profit you obtain through the inbound marketing campaign by the total investment of the project.

This indicator is the one that will provide you with data on the profitability of the project and the effectiveness of the strategy. ROI is based on quantitative variables, however it does not take into account other more qualitative ones such as, for example, branding and the improvement of the brand image that is achieved through an inbound strategy.



8. CPL

The CPL or cost per lead indicates the money we have invested to attract a potential client and can be calculated in a simple way, since we only have to divide the investment we have made in a specific marketing campaign by the number of leads that we have obtained. The result will tell us how much we have paid for each of those leads. 

And how much should be paid for each lead? The truth is that there is no correct answer to this question, since it depends on each company and the sector in which it works. Each business must define what is the maximum price it can pay for each lead to obtain profitability.


9. CAC

Just as you can calculate what it costs us to get a lead, we can also know what it costs us to get a client through inbound marketing. This is what is known as CAC or Customer Acquisition Cost and is calculated by dividing the investment made in the inbound marketing strategy by the number of customers obtained during the period in which the strategy has been developed.

As with the CPL, it is not possible to establish a specific value for the CAC, as it depends on many variables. So it is the company itself that must set a limit on what it is willing to pay for the acquisition of a client.


10. LTV

The Lifetime Value (LTV) establishes the value that a client has throughout the entire life cycle in which it remains linked to the business. There are several ways to calculate LTV, but the most widely used is to multiply the average value of each purchase by the average number of purchases a customer makes over a year and by the average number of years that a customer remains linked to you. Deal. To establish an LTV for your business, the general rule that is followed is that the value of a customer must be three times greater than the cost of acquiring it.


As you can see, there are many KPIs that will help you analyze and measure how your inbound marketing strategy is working, but if you need more help download our eBook ‘The 6 metrics that demonstrate your marketing results’ .