Six Key Aspects of Inbound Marketing ROI: Part 3 Marketing Optimisation
Effective social and inbound marketing should begin with aligning core business goals with activities and channels to demonstrate ROI (Return on Investment). If you are a Director of Sales or the CFO (Chief Financial Officer) marketing optimisation is of no consequence. You will no doubt be clamouring for increased revenue whilst your customer service team will want to see improved customer experience. The question we are often asked is what kind of metrics can be placed around digital, mobile and social activities that can clearly demonstrate improved marketing and marketing optimisation.
Simply put, marketing optimisation is the improvement of the effectiveness of marketing programs, either do more with less or get a better result with the same level of investment. Measuring efficacy enables marketer to determine which channels perform better than others, which content is driving more engagement or conversions, and where the influencers and brand champions congregate. At a fundamental level, this activity can help the marketing team make data driven decisions and a ‘marketing by numbers’ approach. As such, best practice is now to incorporate a measurement strategy into the initial planning phase of any campaign.
Measuring marketing campaigns for ROI not only tells us how successful are initiatives have been, but relevant metrics collected correctly will help us segment and customise our message to our specific buyer personas. If we work out what each segment likes and does not like for instance, we can customise our communications and messages more effectively.
CASE STUDY: Mighty Media Group were planning with SSP –The Food Travel Experts and their brand Caffe Ritazza for their autumn drinks campaign. Leading up to the product to store date we launched a social campaign that gathered rich feedback and fostered pro-sumerism where customers could create a product name. Through an application we developed for Facebook, our fans were able to indicate that the display artwork of the new product was not visually aligned to consumer expectations around the flavour profile. The drink was an orange based coffee beverage, and the artwork eluded to mocha or chocolate. Before thousands of dollars of poster and in-store merchandising was printed to introduce this new beverage, we were able to revisit the creative, align the message to the product, and had a far better result in that fiscal quarter.
Knowing what to measure also challenges contemporary marketers. You should be measuring your Overall Campaign Performance compared to key targets as an indication of campaign effectiveness. We highly recommend campaign post-mortems, wherein you articulate the overall performance of the social channels when compared with traditional advertising campaigns, how the different segments perform and ensure that there is no cannibalisation on social channel from other successful channels.
The following are key metrics you should always review:
- Actual Revenue;
- Number of conversions;
- Leads per $ spent (when compared with traditional marketing)
You should also aim to deliver what people want. By monitoring your content performance you’ll be in a better position to develop content programs geared towards those consumers who are most engaged. Monitoring who and how your content is engaged with will help you identify your key influencers, loyalists and “fan-boys” and shape your advocacy campaign strategies.
Key insights you should review as it relates to content performance would are fairly easy to report on and should become a part of your campaign marketing dashboard. We recommend looking beyond simple impression numbers and track how many people shared, liked your content and how the different medias perform against each other (eg video, eBook, long form articles, infographics) and the number of conversions through call to action buttons.
Each marketing channel should be measured for its performance over that of other channels your business or organisation might use, especially as it relates to social media marketing. As you begin to market on Facebook, Twitter, Instagram, YouTube, LinkedIn or Slideshare for B2B marketers, it’s handy to know which channel is better for acquisition, retention or driving direct sales and it is best measured by campaign performance over time. Measuring channel performance will articulate which basket your proverbial eggs of effort should be placed. Understanding the behaviour of your target audience as essential to using the platform appropriately. Right message, in the right place at the right time for the right person – note, this takes practice.
Effective marketers should consider the 80/20 rule and know that it rings even truer in the realm of word of mouth and social media. Advocates play a pertinent role – and their amplification of your message is not to be discounted. To optimise marketing through social media identify which channels are frequented most by your loyal fans and customers. Know where your detractors are also lurking and monitor assets to ensure the integrity and atmosphere is never compromised. Measuring sentiment and passion can also give you further insight into a social net promoter score (NPS) – weighting the frequency and level of engagement you have with your community. Measuring this and using social as a feedback channel can prove useful for richer insights about your products and the effectiveness of your offline advertising.
The aspect of marketing optimisation will offer marketers a significant level of insight around planning, however has greater benefits of enabling segmentation to ensure greatest results at the ‘zero moment of truth’.
This was the third part of our 6 part series in the Six Key Aspects of Inbound Marketing ROI. The next instalment, Part 4 – is only a click away.
If you enjoyed this blog – please check out our latest ebook – “The Inbound Marketers Manifesto“
About the Author
Stephenie Rodriguez founded Mighty Media Group, a leading data-driven digital, mobile and social marketing strategy and solutions firm, in 2004 and is currently the company’s Chief Executive Officer. She is also the former publisher of Ocean Drive Magazine (Australia), a speaker and futurist on all aspects of social technology, an evangelist of engagement, and has advised companies including SSP – The Food Travel Experts, Austereo, JR/DutyFree, Radar Group of Companies, Transfield, Allied Mills, Lincoln Indicators, Income Solutions, and Bayer (Berocca), Toyota, Mercedes Benz, and the UN FAO. You’re likely to find her Tweeting here @digitalgodess or present at events such as #SXSWi, #TFWA, #Tedx and #SocialBiz.