KPI (key performance indicator)
DefinitionGrowth
KPI (key performance indicator)
The handful of metrics chosen to represent whether the work is working - chosen being the operative word. A good KPI is causally close to the outcome, hard to game, and few in number; a dashboard of forty KPIs is a list of numbers, not a definition of success.
Evidence from the library
"If there's no change, then you probably didn't need that metric" - the test for keeping a KPI is whether it alters the next decision, not whether it is measurable.Quote~50 to 9 (ideally 3-4)Cutting tracked metrics from close to 50 down to nine, ideally three or four, beats trying to cover every metric.PrincipleBudget meetings select for measurable metrics, not for meaningful onesWarningCreators should be brought into the KPI conversation early because they embody the brand guidelines in practice and are buyers in the category themselves.Principle75% / 66%Most US marketers say performance marketing spend has diminishing returns, and two thirds say their dashboards look good but growth doesn't follow.Stat
Source
Marketing Definitions
standard business practice
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