ROI In Marketing
A serious question in the recent past with social or online marketing is where is the ROI [Return on Investment]? Another question might be, “What is ROI in marketing? Does online marketing even have an ROI?” This question mystifies those in traditional marketing circles. Heck, even within social media marketing there is a lot of confusion here. Some social and online marketers have tried to spin ROI’s meaning to things like “Return on Influence”. This is completely absurd if you are investing money into these areas. You need dollars and cents to make sense of this.
So what is the answer to ROI in Marketing?!
This is easy to measure with PPC or pay per click because there is a definitive dollar amount associated with your ads. Google can definitely answer this question succinctly with AdWords. Recently I wrote about Facebook’s paid ad platform that I’ve been experimenting with recently and have been pleased so far.
Determining ROI in marketing is actually easier than you think. You just have to change how you implement your marketing strategies online. Google provides you a free tool in your Google Analytics account that will help you set goals for this. I’m not going to do a tutorial on this tool in this post so I’ll give you an overview.
First you have to identify what a conversion looks like for your business. How does a transaction take place on your website. If you aren’t selling retail products online you may be wondering how to do this. You may need to track offline with your sales team or you may need to create a “call to action” on your site. Something that provides a trigger to notify you who the buyers are.
Once you’ve done this with an eBook or something like that then you can create a subdomain to track who is filling out a form or downloading a free offer. After the new friend has filled out the form or clicked download you will need a thank you page or message after the action has been performed.
Enter that URL in your Google analytics goal tool then you can track it. Like I said, if you don’t sell your product online or if it’s a service you may have to match up your results with your sales team monthly. There are so many solutions that could be customized to your business and most are free. Just get creative! Did this trigger any ideas that I missed? If so what?