How Startups Can Achieve a ROI on Their Marketing Campaigns
Regardless of the size of your business, your marketing efforts still need to be a priority. Budget is always a factor, and your return on investment (ROI) also needs to be a assessed. One of our contributing writers shares a few tips to consider on how to get the most out of your marketing campaigns.
As a startup, it’s likely you’re on a budget. Especially if you’ve recently launched or you’re preparing to launch in the upcoming months, you’ll want to make sure you’re utilizing your resources in the most productive ways possible.
When it comes to implementing a marketing campaign, you want to guarantee the best results for your business. Not only should the marketing campaign create awareness of your startup, but it should also attract loyal customers. The best way to measure this success is to understand how to achieve a ROI for every marketing campaign you implement.
Measuring the success of a marketing campaign is hard. Research by Content Marketing Institute found only 21 percent of marketers have successfully measured ROI on a content marketing campaign. As a startup, it’s essential for you to know how to measure ROI. Here are four tips that will help you measure results:
Assign a measurable goal.
The foundation of any marketing campaign is its goal. Without a goal, you won’t know what to measure or determine the results you produced from your marketing efforts.
When setting a goal, it’s important to be very specific with how your goal relates to your marketing campaign. For example, let’s say you create a monthly newsletter signup in order to boost conversions. When you launch your newsletter campaign, you’ll want to set an objective such as “Obtain 100 newsletter signups each week” and pay attention to how many subscribers convert into customers. This goal will make it easier for you to measure the success of your marketing campaign.
Understand the sales funnel.
To measure the success of your marketing campaign, you must understand where your customers come from and why they engage with your content. It’s also important to understand the lifespan of relationships with customers and how to create engagement with your audience.
The sales funnel for a marketing campaign is quite simple to understand. First, your marketing campaign will start with a piece of content, such as paid social media ads or blog posts. If your content is engaging, people will click on your content and hopefully remember your brand. In the case your audience remembers your brand, they’ll continue to click on your content and visit your website. Once customers find trust in your content and brand, they’ll be more likely to purchase your product.
Test your marketing campaign.
A great way to measure the success of your marketing campaign is to put it into action and test results. By creating a proper test design, you’ll be able to measure what marketing campaigns are the most effective for your target audience.
For example, let’s say you’re implementing a paid social advertising campaign and you want to determine your best audience. Select two of your targeted audiences and use them as a metric for your campaign. When you launch your campaign, pay attention to which audience clicks more on your ads and purchase your product. After the test is over, you’ll be able to determine which audience responded best to your paid social advertising campaign.
Now that you have the basics of measuring ROI, you need to track the success of your campaign. This will help you determine the best channel to reach your audience and what converts them into customers.
Let’s say you’ve decided to send your newsletter subscribers a discount code for your product. After launching the campaign, track how many customers use that discount code when purchasing your product. By tracking these numbers, you’ll be able to determine whether the code was effective in boosting sales for your business.
While ROI can be tricky to measure, it can be obtained by implementing the right strategy. If you follow these tips for measuring the ROI on your marketing campaigns, you’ll be able to determine what marketing tactics are the most effective for your campaigns.
What metrics do you use to measure the ROI of marketing campaigns?