Tracking ROI provides you with a point of reference so that you can improve your advertising campaigns as needed. However, many advertisers aren't sure how to measure ROI correctly without in-depth knowledge. Here are 5 quick, beginner-friendly marketing ROI tips you can start using today.
Track Multiple Touchpoints
To successfully reach your target audience, you need to follow your target through each step of the customer journey. Customers often must make contact with multiple touchpoints before they make a final purchase.
A customer may have visited your website after hearing a CTA, but did they act on it? Did they receive satisfactory assistance upon visiting your company's physical location? Tracking these metrics paints a bigger picture of your brand's performance.
Check How Your Content is Performing
Accurate, well-written blog content on your website can build brand trust and lead to increased sales. However, it won't be of use to anyone if the right people don’t see it. Fortunately, marketing software allows you to track how many people visit any webpage on your site.
These trackers can also reveal how long a user spends on any given page. With this information, you can see which content is more popular with your target audience.
Ensure that You're Tracking Sales!
The growth of your business's sales and revenue is probably the most concrete way to track ROI. However, one bad sales period doesn't necessarily translate to an unsuccessful advertising campaign. What's important is the consistency of your revenue over time.
It's better to compare revenue figures from year to year and base your strategy on these results. Some businesses can also determine a more accurate advertising ROI when tracking income during certain seasons. For example, an ice cream store's revenue will likely be lower during colder months.
Soft Metrics Can Fill the Gaps
Monetary gains are essential to sustain your business, but you can't get those without returning customers. Tracking soft metrics gives you a better idea of your brand's reputation. Customers have repeatedly shown that they value trustworthiness rather than cheap products from the brands they support.
Soft metrics you can track include customer satisfaction, brand awareness, brand trust, and customer loyalty. When customers feel valued and trust your brand, they're more likely to make repeat purchases.
Measure Risks Avoided
When it comes to marketing, there is no one-size-fits-all marketing strategy. Taking risks is unavoidable, especially if you want to grow your target audience. Don't focus heavily on lost profits due to unsuccessful campaigns. Tracking your ability to bounce back with new tactics and how well you manage available capital during a crisis is more critical.
The Most Accurate Ways to Measure ROI
ROI is an important metric to measure your brand's success, but sometimes even seasoned advertisers don't use it correctly. Profits and frugal ad spend are both important, but these are not the only indicators of success. You should also take brand awareness, positive customer experiences, and the evolution of your campaign into account.