A KPI, or key performance indicator, is a statistical metric defined by an HVAC company, or its marketing representation, as the greatest indicator of website performance. The concept can be pluralized as KPI’s to illustrate several (more than one) indicators. For HVAC companies looking to generate more HVAC leads and convert more customers online, KPI’s can serve as a facilitator for those objectives. HVAC Webmasters believes in keeping its customers informed with up-to-date reports about the progress of their internet marketing campaign. Examples of KPI’s include:
- Cost Per Action
- Cost Per Click
- Cost Per Lead
- Return On Investment
KPI’s have evolved along with the internet, and more specifically; Google. What once served as surefire performance indicators, no longer provide the same quality of insight. Specificity is at a higher premium than ever before, particularly with the knowledge that most, if not all of your industry competitors are using analytics and measurement in some context. At the same time, simplicity is still a foremost quality in a useful indicator, as convoluted statistics lead to nowhere, while clear and concise “bottom lines” can give more definitive proof of performance. Call (800) 353-3409 to set up KPI’s for your HVAC website.
What is Cost Per Action?
In the heating and cooling business, lead generation usually begins with a phone call. It’s why at HVAC Webmasters that we implement click-to-call functionality as your website’s primary call to action. The action that website visitors are “called” to do, is click the phone number link, and subsequently connect to your office line via mobile devices. The cost per action (CPA) is the dollar value of how much that action costs. Essentially, how much are you paying for each website visitor that clicks the phone number link? Other examples of quantifiable actions include:
- Contact Form Submissions
- Ebook Downloads
- Newsletter / Email Subscriptions
- Social Shares (Facebook, Twitter, Etc.)
A satisfactory CPA number will depend on other factors including ROI. If it costs $75 for each phone call, and you are making $550, it is a net positive for your business. In contrast, if it costs $500 for each call, and you’re only making $450, you end up losing money overall. Negative ROI usually stems from low-quality leads. If relevant users are coming to your website and calling your office, it will have a negative impact on your internet marketing campaign. This can be avoided with proper search engine optimization, and researched and monitored PPC campaigns. HVAC Webmasters offers each of those services and more. Partnering with our team ensures that all aspects of your online presence are accounted for moving forward.
Analyzing Multiple KPI’s
We mentioned that KPI does not have to be singular. In fact, it’s best when there are multiple KPI’s established during the heating and cooling website design phase. Limiting yourself to only one metric can create a tunnel vision syndrome in which you lose sight of variables that are important to your marketing campaign. With that said, the other side of the spectrum can get extreme as well. Too many KPI’s can hinder analysis and overwhelm marketers with information. Finding the balance between too few and too many is critical for HVAC contractors and their marketing representation.
For a literal example, let’s presume cost per action (CPA) and cost per lead (CPL) are our two primary KPI’s. CPA will tell us how much it costs to secure a phone call while CPL will tell us how much it costs to secure a lead. Not every phone call will be a lead. If someone calls asking for a completely different service, they are not an official lead. This will drive down your CPA but drive up your CPL, encouraging you to alter some of your marketing techniques going forward.
Need to talk KPI with a pro? Call (800) 353-3409 to discuss KPI’s for HVAC websites.