KPI Automation - 9 Reasons to Use
Marketing Automation is based on the use of technology and artificial intelligence to automate and unify Marketing processes, ensuring communication based on consumer behavior.
But what are KPIs anyways?
Key Performance Indicators are, as the name implies, Key Success Indicators. These indicators give you access to data about your company’s success and performance. Learn more about automation in our article Marketing Automation: The Key to Increasing Online Sales
Reduce time and errors with KPI automation
Using software to automate KPIs will streamline your business operations and highlight opportunities in terms of cost efficiency that might otherwise not be visible. Automating KPIs allows you to increase efficiency, save money and generate more insights. In addition to streamlining many tasks, this automation also gives you access to the data you need, in an actionable format and in real time.
When can automation fail?
There are two factors that you should be aware of and that can hinder or delay the implementation of this automation:
- The cultural change it requires, as these software tend to be transparent and open.
- Businesses that have been managed based on metrics, now must start to be managed by objectives.
Which KPIs can be automated?
You should include 4 general groups of KPIs in the automation:
- Acquisition indicators
- Engagement indicators
- Conversion indicators
- Retention Indicators
9 Reasons to use KPI Automation
- Cut off costs and expenses– it helps you identify problems that might otherwise have gone unnoticed. Thus, you can then make faster, more informed decisions, making processes more cost-effective. The result, in practice, is a series of savings that happen over time.
- Identify opportunities – you can identify which areas of your business are most profitable and which are actually losing the most. In addition, the data helps you identify areas of opportunity or risk early, allowing you to act before market trends take hold. You will be one step ahead.
- Better internal control – you can monitor your team’s performance, identify the reasons why functions are not being optimally performed, and guide your employees in terms of possible improvements.
- Increase revenue and margins – you gain access to real data. These data allow you to make better decisions. You can understand where your business is spending the most money and where it is being more profitable, allowing you to save money.
- Source of truth – KPI automation allows you to make changes quickly and generate graphs and charts to show progress. As these tools are data based, they cannot be denied or devalued.
- Industry best practice – all businesses are different, but there are certain aspects – such as reporting – that should be common to all. (Find out which metrics you should read in marketing reports)
- Responsibility and Accountability – the use of these systems forces a cultural change in companies. The tendency is for a culture of blame to end and for an environment of mutual help to emerge within teams.
- Alignment with strategy – a good automation system tends to force its users to think about business goals. These objectives are based on the company’s strategy and lead to their alignment.
- Standardization – if you have the information available in a standard format and if you use standard industry terminologies, your access to means of internal and external benchmarking increases.
KPI automation will help you drive internal success, leading to a culture of automation and discover new opportunities to consolidate your business.