“Key performance indicator”, KPI sounds like a phrase concocted in a lab or something that a teen came up with trying to add more words to their high school term paper.
But we use “KPI” all the time — myself included — mostly because that’s what we’ve heard other people say.
But I’m calling it. It’s time to retire “KPI” – Even though this article could be a dangerous drinking game if you sipped every time you saw the acronym.
But why?
Let’s start with the fact that thousands of people don’t even know what it stands for. Check out these monthly search volume numbers for KPI-related keywords.
Source: Keyword Surfer[1]
As marketers, we know better than anyone that we need to speak in plain, easy-to-understand terms. And if you’re thinking, “the people searching this aren’t our potential clients”, then here’s a surprising data point.
A survey of 300+ business owners revealed only 40% knew what KPI meant[2]. For context, 70% knew what domain authority was, and 58% knew what a backlink was.
KPI, a widely used business acronym — still isn’t even as clear as digital marketing industry terms. This is a sign, my friends
And if using jargony acronyms is in the same realm as using big words to sound smarter (which doesn’t really work[3]), we’d be better served relying on more layman’s terms.
Practicing what we preach
Going on a rant about an acronym might seem a little dramatic. But it represents something we can all take the time to improve upon, communicating clearly.
Instead of strictly talking KPIs, focus on these two things:
1. Having the right conversations about metrics with clients/stakeholders
In some cases, I’ve seen identifying and focusing solely on KPIs have a blinding effect on the greater