Strategy series: 'Measuring success starts with ...

Strategy series: 'Measuring success starts with defining targets’

We love to help our clients with their strategy. Sometimes what is asked by clients purely contains a mobile issue and other times we look at the bigger picture together with our Oxyma colleagues, and help clients out with their omni-channel strategy of which mobile is an important part. Either way, helping out clients always starts with being critical about how they respond to what is happening in their market and the challenges that they are facing. Why do you do what you do and is it successful the way you do it? But asking these questions raises another question: When is something a success? This blog elaborates on the importance of setting strategic goals that makes you able to measure your success when you evaluate the projects that you work on.

Success

It starts with defining what success is to you. Is it a success when revenue is growing? Or when you’ve learned from something (maybe even a failure) as a business? Are you more successful when your customers are happy? Perhaps, when you have reached an X amount of unique website visitors per month or got more Instagram followers? The definition of success is the accomplishments of an aim or purpose. And this aim or purpose differs for every person and every business. In order to know if you’ve met the results and if you are successful to your own measurements, it is necessary to define targets first by knowing your Key Performance Indicators (KPI’s).

Key Performance Indicators

A Key Performance Indicator is a measurable value that demonstrates how effectively a company is achieving key business objectives. For example, it’s an average session duration in the online store, it is a percentage of growth in product sales, a Net Promoter Score using a 0-10 scale, a number of new subscribers, etc. Organizations use KPIs to evaluate their success at reaching targets. Otherwise, how to know what you’ve established when you did not set goals in advance? And it’s very important to make your goals measurable and set a period of time to know when to measure your results. For example, at the end of every quarter. You have to give yourself some time to reach the goals you’ve set. Also, you should be able to adjust your goals when you find out that things don’t work out the way you originally thought.

Recently, at aFrogleap we’ve been re-writing our Objectives and Key Results (OKRs) for the company as a whole and also for everyone’s individual path of growth. This is another way of setting targets but the objective is similar. Just like these personal objectives and key results that are open to everyone and contribute to common goals, KPI’s should also give you direction, clarity in the internal organisation, motivation and discipline.

Get, Keep & Grow

You can use KPI’s for different key business objectives. For this blog, I’d like to focus on KPI’s that say something about your customers’ behavior and the service quality of your business. As you know, every product or service has its customer lifecycle. It's up to the business to get a grip on the most important phases to focus on whether to determine success. It works as a funnel in which a business gets, keeps and grows customers. Every phase demands a different approach.

Get, keep and grow customers

When you know your goals and monitor how your customers respond to your actions, it allows you to set up the right customer relationship management (CRM) strategy. This is where it gets really interesting! Gathering customer data is getting more and more important in order to gain customer insights and choose the right strategy to create customer value. Customer value depends on many variables, such as context and relevancy. When you are able to build customer profiles, you will get the holistic view that is necessary to know your next best action for that specific customer within your omni-channel strategy.

Create overlap

What happens is always the result of an interaction between the business and the customer. Previously, I wrote about the user that always keeps going, which makes it quite difficult to do the exact right things to create customer value. Think about what’s in your actions for you and your customer? In order to create a great customer experience, it is important to find overlap between your business goals (what you have to offer and wish to achieve) and how the user, your customer, perceives what you’re doing and can benefit from that.

In conclusion, first define what success is to you and specify your Key Performance Indicators to measure if you’re successful.

Look for the overlap between business goals and user experience