KPI goals that actually deliver results

Far too many set KPIs just because “it’s expected.” They pick numbers without considering what those numbers are actually meant to guide. The result? Goals that are measured, but not used. KPIs that are collected, but don’t provide direction in daily work.

But KPIs aren’t just reporting tools – they’re management tools. When you know what you want to achieve and set goals you can actually influence, you create a direction for you and your team to navigate by. You spot what’s working earlier and can adjust course as needed.

What is a KPI – and why should you care?

KPI stands for Key Performance Indicator – a key metric that helps you measure progress toward a specific goal. It’s not enough to “do a lot” – you need to know if what you’re doing actually delivers results.

KPIs give you a numbers-based direction. When set up correctly, they don’t just show how things are going — they help you make better decisions, sooner. Good KPIs let you steer, not just report.

What are KPI goals – and why they matter

A KPI goal is a measurable result you want to achieve within a set time period.
It helps you know if you’re actually on the right track – not just busy doing things.

The difference between a KPI and a KPI goal is simple:

• A KPI is the metric, such as conversion rate.
• A KPI goal is the actual ambition, like “increase conversion rate to 3% by June.”

A good KPI goal is clear, focused, and tied to a specific activity you can influence.

Many miss the mark because they either:

• Set too many goals
• Copy other people’s KPIs
• Or choose something easy to measure, but hard to control

How to set effective KPI goals

Start with what you want to achieve – not the numbers. The goal comes first, the KPIs come after. Here’s a simple method for setting KPI goals that actually matter:

1. Start with a clear business goal

What are you trying to achieve? Increase revenue? Reduce churn? Improve customer experience?

2. Use the SMART framework

KPI goals should be:

• Specific – Clear and well-defined
• Measurable – Tied to a number you can track
• Achievable – Realistic based on your resources
• Relevant – Aligned with your business goal
• Time-bound – Set within a clear timeframe

3. Choose few but precise indicators

Two to four KPIs are enough for most teams. More than that creates confusion and makes it harder to know what really matters.

4. Set the goal based on data, not gut feeling

Use historical data or industry benchmarks as a starting point. Here are a few examples:

• Ecommerce: Last year, your average order value was NOK 820. After testing bundle discounts and free shipping over NOK 1000, the average rose to NOK 920. A realistic goal would be: Increase AOV to NOK 950 by Q3.
• Lead generation: You get an average of 25 leads per month from Google Ads at a cost of NOK 12,000. Your CAC is NOK 480. A solid goal could be: Lower CAC to NOK 400 without losing volume.

KPI metrics you should know

Without concrete numbers, you don’t know what you’re steering toward.
Here are some of the most important KPIs to track – especially in marketing and ecommerce:

• CAC – Customer Acquisition Cost: Total marketing and sales costs ÷ number of new customers
• AOV – Average Order Value: Total revenue ÷ number of orders
• AOF – Average Order Frequency: Total number of purchases ÷ number of customers
• REV – Revenue: Total revenue in a selected period
• AOI – Average Order Index: A metric for variation in buying patterns
• CV – Conversion Rate: Number of conversions ÷ number of visits × 100
• CLV – Customer Lifetime Value: AOV × AOF × number of years as a customer
• Margin: (Revenue – Cost) ÷ Revenue × 100

How to follow up and adjust your KPI goals

Setting KPI goals is just the beginning – it’s the follow-up that determines whether they actually create value.To stay on track, you need to set regular measurement points – weekly, monthly, or per campaign – depending on the type of KPI.

Use a simple and visual dashboard like Google Looker Studio, Power BI, Metorik, or a well-structured spreadsheet to keep a continuous overview.Don’t fixate on the number itself – focus on the trend over time. A positive trend can be just as valuable as hitting the target.
We often see that weekly follow-up leads to faster action than KPIs reviewed only once a month. It’s not about which tool you use – it’s about using it actively. Also, stay flexible: if conditions change – like a sharp rise in ad costs – be ready to adjust your goals. A KPI goal that was realistic in January might be completely useless by June.

Common mistakes and how to avoid them

• Too many KPIs: More goals don’t give you more control. Just more noise.
• KPIs without ownership: No one responsible = no progress.
• Goals you can’t influence: Choose indicators you can actually control.
• KPIs that don’t support the goal: Don’t measure what’s easy – measure what matters.
• Using KPIs for documentation, not direction: KPIs should be a compass – not a report card.

Several of our clients start with 10–12 KPIs. When we cut it down to 3–4 clear goals, we see faster progress and stronger ownership in the teams.

Conclusion

To make KPIs work, you need to start with the goal, choose the right metrics, and follow up consistently.

Three things to remember:

• KPI goals should be few, clear, and tied to something you can influence.
• Metrics like CAC, AOV, and CLV give you real insight – not just data.
• Adjust along the way – don’t stay locked to numbers that no longer make sense.

Need help finding the right KPIs and setting goals that actually deliver results? Get in touch – we’ll help you take control of the numbers that matter.