What is a Key Performance Indicator? (KPI)

A key performance indicator (KPI) is a measurable value that demonstrates how effectively a company, team, or individual is achieving a specific business goal. KPIs are used to track progress over time and make informed decisions to improve performance. For example, common KPIs for websites might include metrics like conversion rates, bounce rates, or traffic growth.

KPIs are important because they help businesses focus on what's most important for success. By monitoring the right KPIs, companies can measure their progress, identify areas for improvement, and ensure they are on track to meet their objectives.