What KPI Should You Track for Marketing? Here’s the Only Real Answer
- RCKSTR Media
- Jul 11
- 4 min read
Updated: Aug 12
In digital marketing, few questions are as deceptively simple - and as fundamentally critical - as this one: What KPI should you be tracking for your campaigns?
Ask five marketers and you’ll get five answers: ROAS, CPA, conversions, engagement rate, impressions. But the truth is, most of these answers miss the point. The most effective KPI isn’t just a number on a dashboard. It’s a direct indicator of what actually drives your revenue, your customer lifetime value (LTV), and your scalable growth.
Let’s break it down.
Why KPIs Matter More Than You Think
KPIs (Key Performance Indicators) are the benchmarks by which marketing success is measured. But not all KPIs are created equal. If you're tracking surface-level metrics like video views or page clicks, you might be optimizing for vanity, not value.
The right KPI answers this one question: “Is my marketing generating profitable business growth?”
That means going beyond impressions and likes to the deepest measurable action closest to a dollar in your pocket.
The Closest-to-Revenue Rule: The KPI That Matters Most
The ideal marketing KPI is the deepest action you can reliably track before attribution breaks down. In other words, it’s the last touchpoint you can measure that connects directly to a revenue-generating event.
For E-Commerce:
ROAS (Return on Ad Spend) is king - if you can measure it accurately.
Supplement with AOV (Average Order Value) and CPA (Cost per Acquisition) to understand profitability.
For Lead Gen:
Qualified Booked Calls or Form Submissions with Gating are gold, especially if they correlate with high-converting prospects.
Tip: If your tracking breaks at the form level, don’t make revenue your KPI. Instead, optimize for the highest quality lead you can accurately attribute.
Real-World Case Studies: How Top Brands Do It
Let’s put theory into practice with a few live client campaigns from RCKSTR Media.
Sold Out Shows and a 3.42x ROAS
For an artist, we built a three-tier campaign to capture leads via SMS and email in geo-targeted areas before announcing show dates. The core KPI? Lead captures in key cities.
Results:
3.42x ROAS
37.7% result rate
Sold out first show in under 24 hours
Key Takeaway: ROAS was a great KPI, but it was the lead quality and location-based targeting that created sell-out demand.
Clothing Brand with 428% ROAS Increase
We built psychographic audiences and scaled purchases from cold traffic using awareness objectives strategically to drive subconscious brand recall.
Results:
28% incremental purchase lift
108% increase in AOV
ROAS increase of 428% vs prior campaigns
Key Takeaway: Initial KPIs focused on recall and traffic, but shifted toward AOV and ROAS as conversion signals strengthened.
What Happens When Tracking Breaks?
Let’s say you’re trying to optimize for LTV, but your CRM doesn’t sync cleanly with your ad platform. You’re stuck. LTV is now a Dream KPI - something you want to measure, but can’t optimize in real-time.
Instead, anchor your campaigns to a “proxy KPI” - the last trackable metric before visibility drops off.
Examples:
Lead Gen: Qualified form submissions
SaaS: Free trial sign-ups (for if the purchase conversion falls out of the platform attribution window)
Coaching: Booked calls with high lead scores
Avoid the trap of optimizing to something you can’t directly track or control.
How KPIs React When You Scale
What works at $100/day ad spend might fall apart at $1,000/day.
For example:
ROAS often drops at scale as you move from low-hanging fruit to broader audiences.
CPA may rise, but profitability per customer can remain stable if LTV increases.
Solution: Layer in deeper KPIs like:
Customer retention rate
Repeat purchase rate
Upsell/cross-sell volume
These secondary metrics can justify scaling even if ROAS appears to flatten.
Don’t Let Discounts Fool You
Discounting is a double-edged sword:
Short-term: Improves CPA
Long-term: Attracts price-sensitive, possibly low-LTV buyers
Better strategy: Offer value-based lead magnets or bundles that appeal to higher-quality customers - especially if you’re selling high-ticket items.
KPI Strategy: Align with LTV Without Losing Attribution
To get closer to LTV:
Use CAPI (Conversions API) for better data fidelity
Build Lookalikes from high-LTV cohorts
Segment your funnel to track top-to-bottom conversions
Retarget with value-building content, not just product pushes
This creates a KPI ecosystem that goes beyond general, standard metrics.
Conclusion: Track What You Can Optimize
Your KPI should be:
Closest to revenue
Reliable in real time
Aligned with your ideal customer’s behavior
📌 If it’s not directly trackable, it’s not your KPI for ads.
Frequently Asked Questions
What are the most common KPIs for marketers?
ROAS, CPA, conversion rate, AOV, booked calls, leads, engagement rates, CTR.
How do I track customer lifetime value (LTV)?
Through CRM systems and cohort tracking; hard to do inside ad platforms directly.
Is ROAS a reliable marketing KPI?
Yes, if it aligns with your business model and you can track it accurately at scale.
What’s the difference between ROAS and CPA?
ROAS = revenue/ads spent. CPA = cost to acquire a customer. Use both for profitability analysis.
Can I optimize Facebook Ads for booked calls?
Yes, especially if you gate form submissions and qualify leads pre-call.
What if I can’t track past the initial conversion?
Optimize for the last measurable step (e.g., form fill, page visit) and adjust your KPI expectations.
How do discounts affect LTV and ROAS?
They often boost short-term ROAS but can reduce long-term customer value if overused.
Stop Wasting Hours. Start Growing.
Every day you delay is revenue lost and hours you’ll never get back.
Join the business owners who’ve already claimed their time and profits back with our $40M+ proven social media ads system.
Book your free call now - before your next hour gets wasted.
Comments