KPI (Key Performance Indicator) is a measurable value that indicates how effectively a company or team is achieving key business objectives. KPIs are used to track progress and guide decision-making.
For example, a marketer may track email open rates, conversion rates, or website traffic to assess the success of a campaign and ensure progress toward goals.
KPIs provide clarity, helping businesses measure performance and make data-driven decisions. By setting clear, relevant KPIs—like customer acquisition cost or return on investment—marketers can identify strengths, optimize strategies, and demonstrate success. Regularly monitoring these metrics keeps efforts aligned with broader business objectives and ensures continuous improvement.