Understanding Key Performance Indicators (KPIs) – Complete Guide
Data Analysis Index (What you will learn) #1 What is a KPI #2 Difference between a Metric and KPI #3 How to find a good KPI #4 Can you use ‘number of twitter followers’ as a KPI #5 Can you use ‘number of facebook fans as a KPI #6 Can you use ‘Phone Calls as a KPI #7 Can you use Clients’ Happiness as a KPI #8 Types of KPIs (Internal & External) #9 Attributes of a Good KPI #10 Examples of Good KPIs What is a KPI? KPI stands for ‘ Key performance Indicator’ . It is a metric which is used to determine how you are performing against your business objectives. A metric can be a number or a ratio. So we can have ‘number metrics’ and we can have ‘ratio metrics’. For example: Visits, Pageviews, Revenue etc are number metrics because they are in the form of numbers. Bounce rate, Conversion rate, Average order value etc are ratio metrics because they are in the form of ratios. Since KPI is also a metric, we can have KPIs in the form of numbers and ratios. So we c