It’s not always simple to see how figures like direct traffic translate to ROI, metrics can’t always tell you the full story. That being said, marketers should always strive to connect the dots between activity and revenue.
Regardless of your sector or size, without that insight, you might be throwing money at branding that just doesn’t resonate with your target audience.
The importance of ROI can’t be understated. Use our budget calculator so you can get some concrete numbers and identify where best to allocate your next spend. It's easy to use and gives you clear figures to take away.
A staggering 39% of marketers say proving the ROI of their marketing activities is their number one challenge. With our helpful tool, you have a better understanding of the success (or failure) of your marketing efforts. This invaluable information can be used to shape future campaigns and justify budgets to decision-makers.
The return on investment marketing metric should come as no surprise - it serves as a true baseline for success. Basically, ROI equates to how much you spent (investment) vs. how much you earned (return).
Simple - we know - but it’s easy to lose track of exactly what you’re spending on marketing. Ensuring you properly calculate your online marketing campaign’s ROI will be the key to determining if it was an overall success or not. Here's a simple formula you can follow.
ROI = Return / Investment
You might have tried your hand at maths and realised you’re much better at marketing. Don’t worry, we won’t be mad if you just use our calculator instead.
To figure out something's profitability, many marketers look at that all-important return on investment. ROI compares the amount of money you spend on a campaign with how much revenue you gain from it.
To keep up with the latest trends, you need to constantly optimise campaigns and events to see what worked and what didn’t. Budgeting works the same way.
Yes, your fantastic branding campaign might have attracted lots of attention and customers. However, at what cost? This is when customer acquisition costs and that all-important lifetime value figure is crucial. Knowing this is key to identifying if you should carry on generating business that way.
It’s not always easy to calculate the revenue generated by your marketing efforts but we’ve given you some food for thought. It’s difficult, but it’s not impossible.
One effective way to set a ‘good ROI’ benchmark for each marketing strategy is to look at the return from similar tactics you've tried in the past as well as your current sales numbers. That information should help you create ROI benchmarks that are realistic for your company.
Aside from looking at cold hard cash, you might also want to consider other factors that play a part in the success of your marketing strategy. Sometimes, it’s easier to track something a little more tangible like audience growth or event visitors.
While this doesn't offer an immediate financial return, they have the potential to indirectly boost customer relationships which can have a major effect on ROI. You always need to look at improving the customer experience to strengthen their loyalty to your brand, as up to two-thirds of a company’s profit relies on effective customer engagement.
Don’t neglect those loyal brand advocates who will spend an average of 67% more than new ones. Or, brand activations and experiential marketing, which 52% of marketers say drives more business value than any other marketing channel.
