We spend so much time creating a marketing strategy, coming up with new and exciting pieces of content, and composing funny yet valuable social media posts, not to mention the amount of attention and energy we put into producing quality videos. Despite all this, what really matters at the end of the day is how all our efforts translate into new clients and sales.
Here is where marketing effectiveness takes center stage. It is not enough to have a great marketing strategy if you don’t know how it is performing. Moreover, you will not be able to improve your results if you are not aware of the efficiency of every single marketing action you create.
The key to marketing effectiveness is to define the campaign(s) and set up KPIs. Once you have this, you need define the channels you are using and have KPIs for each channel. By doing so, you will be able to pinpoint what is not working and what produces results, so you can stop actions that are not performing well and optimize the processes that are working, increasing your overall ROI.
Let’s say you are launching a new product and are using several channels to promote it:
- Blog posts
- Paid social media campaign
- Google ads campaign
- Strategic partners
You need to make sure you are collecting data from every single channel where you are running a campaign and analyzing this information. You will be able to establish the effectiveness of your campaign by measuring the conversion rate:
- How many clicked through the links in your content or social media campaigns actually finished the process by completing a form?
- How many people opened the newsletter and clicked on a call to action button?
- How many people converted to customers in your paid campaigns?
- How many leads did each partner bring in?
Tracking marketing effectiveness by these measures helps marketing departments and entrepreneurs determine if their campaigns have been successful in compelling the target audience to take a desired action. Marketers can then fine-tune their campaign strategies and have a real sense of the cost per client.
One last thing; to determine the success of your campaign, you also need to have a benchmark. Benchmarking will help you define success and identify areas of improvement. A benchmark can be your own results from previous quarters, years, etc. or even an industry benchmark.