It seems like everything is a measured science these days. How you earn from your social media following is no exception. Metrics and generating leads are the name of the game. Both for you and the marketers who are willing to pay for your social media presence.
It starts with the consumer journey.
We live in a tech savvy world, where everyone is clicking, reading, sharing and making purchases online. That information is key when it comes to understanding customer behaviour. Knowing what to do with all that data, well let’s just say it can get a bit complicated.
But not to worry, we’ve done the hard work for you. Our team has created a guide of important information you need to know when it comes to turning visitors, followers and customers into earnings.
SO, WHY DO WE TRACK METRICS?
Simply put, we measure metrics so we know what is working, why it’s working, how it’s working and who it’s working for.
A person/consumer/follower that is potentially interested in buying a product or service is a lead. Now, not all leads were created equal.The good leads are the ones that sign up, subscribe, buy a product or complete whatever action you or the marketer have decided is valuable. Bad leads are the ones that don’t turn into that kind of desired action.
Our tip: It’s up to you to know what your followers like and how to turn them into the good kind of lead.
What is a conversion?
We call a conversion an action that has been predefined. In your case, most of the links you have access to on Franktrax.net will require a sign up or something similar to be considered a lead worth paying for. For other websites and marketers, it could be a social share, how long a visitor stayed on their site, watching a video etc.
WHAT KIND OF METRICS ARE IMPORTANT?
They are all important, in their own way. From conversion rates to the almighty sales funnel, there is a way to measure every facet of your customer/follower’s journey.
It really just depends on the type of analysis you want to do.
From big corporates compiling data to improve user experiences to a small business trying to understand why their website isn’t creating sales, the trick is to know what tools you have available to you.
That’s why we’ve made a list:
EPC – EARNINGS PER CLICK
This metric indicates the average earnings made as a result of user clicks to an affiliated marketing link or ad. Often marketers will publish this metric to help you (the publishers) see what your earnings potential is if you share their links.Like all stats there is a formula involved:
Affiliate earnings/Number of clicks from affiliates.
Or a simpler way to say it:
Revenue generated / amount of clicks
What you need to know
On franktrax.net EPC is THE metric. Remember, our system is all about getting you paid for your social media presence.
The way it works is; you get paid for leads. For example, you share a link we have given you with your followers. If a follower clicks on that link and completes a desired action (for example a sign up or subscription), you earn.
Why is EPC such an important metric for affiliates?
EPC is the best way to let affiliate partners (people like you who have great social media presence) know how their product or service is performing and what they can expect to earn if they promote it.
This is a bit on the negative side but is important nonetheless. Here you’re looking quite literally, at the number of people who will dropout off a campaign or users who will fall out of your lead generations.
Why it’s important? You learn where you can improve. The best way to use it? Take an honest look at your marketing content and make some changes so you don’t loose any more followers/ subscribers/customers.
What you need to know
Everyone suffers from dropouts. It’s not always something to be concerned about. Take a look at the decline and see if it was a sharp or steady one? Did it dip and come back up? Is it recovering on its own or do you need to do something about it? You should also look at your traffic resources. Google sometimes caps organic referrals. Maybe you have a competitor stealing your direct traffic? As with all metrics, choose to use the information as a tool to do better.
INVALID LEAD PERCENTAGE
While it can be nice to see big, ‘beefy’ figures in terms of followers and website or ad hits, you don’t want to include invalid or fraudulent leads. Remember, you’re in the game of making money, not acquiring an impressive number of clicks. If you’re not converting that traffic into something you can take to the bank, it’s not a figure you want to be looking at.
CUSTOMER LIFETIME VALUE
This is sometimes called the ‘Golden Metric’.It’s all about working out the net value a customer will generate over the lifespan of their relationship with the product/business/website.
How do you work it out? You look at:
Average order size
Average number of lifetime purchases
Estimated retention rate
Annual cost of capital
Cost to acquire customer
BIG DATA IS BIG BUSINESS.
All this talk about metrics and leads sounds a lot like the big data trend, right? Measuring consumer interactions so asto target the right people, with the right message, at the right time is the main strategic focus of most innovative companies at the moment. But if the sheer volume of likes, clicks, shares and online purchases has your head spinning, fear not. Our advice, focus on EPC for now. That’s where you and your bank balance will shine. But be aware that there are some amazing tools available to you if and when you’re ready to start delving deeper into metric and data strategies.