How to Make Sense of Digital Marketing ROI
Digital marketing can be a very expensive investment. After all, it costs money to run ads on social media and search engines; it costs money to hire copywriters and SEO experts; and it costs money to conduct keyword research and to redesign your business’s website. However, it may not always be easy to tell if a marketing investment is actually worth it. Today, we’ll take a closer look at digital marketing ROI and explain how business leaders can determine the cost-effectiveness of their efforts.
Some business leaders invest in digital marketing measures with the expectation that they will produce results almost immediately. This, however, is not often the case. Rather, in most instances, it could take digital marketing campaigns months –– if not years –– to generate meaningful returns for a company. This is particularly true in regard to practices like SEO. Yet, in the long run, these investments could significantly boost visibility and business reputation.
All Marketing is Relative
This should go without saying, but the digital marketing needs of a medical clinic like Northwest Surgery Center and those of an auto body shop are going to be very different. Note that certain fields and industries are extremely competitive, while others are more open. It may seem obvious, but a company’s industry will have a big effect on their marketing returns. That’s why it’s typically a good idea to compare your own performance against your competitors’. If you’re outperforming your closest rivals in key metrics, then you’re on the right track!
Review the Right Data
No two marketing campaigns have the same goal. Some are designed to increase a business’s visibility on social media platforms. Others are crafted to target previous consumers. Still others are made to attract new audiences. Because marketing campaigns can have so many different objectives, it’s important for business leaders to review the correct data when they evaluate marketing performance. Ultimately, a brand awareness campaign is unlikely to directly lead to a huge spike in sales numbers. Looking at the appropriate intel will help you make better decisions regarding your marketing department in the future.
As we’ve established, digital marketing is a complex and nuanced field. Worse, it changes all the time! As such, it behooves business leaders to communicate with marketing professionals to determine the success (or lack thereof) of marketing strategies. Set clear expectations when you hire a new digital marketing agency, request detailed reports, and consult with marketing experts to help you measure marketing ROI accurately. Doing all this will require a lot of work, but it’s essential to the long-term success of your business.