How to measure your ROI with Advertising, Marketing, and Lead Capture
How many of you have advertised, and not known if it worked for you? The world wide web is making it really simple for us to track our efforts, measure our costs, and optimize great messages to market. There are three simple steps to getting the most out of your campaign efforts.
Message to Market is the first step in all forms of advertising and marketing. You want to make sure you are in the right place at the right time. If you are not sending out the right message to market, all the tracking and measuring in the world won't help you. Start the process by asking yourself questions to get you on the right track. Who are you trying to reach? What are your customer's goals? How many people will see the targeted ad? You have three seconds to be clear and make an impact for your audience to connect. Are you in the right place to connect with the leads that will convert to sales? Are you able to stand out and be clear so your audience takes action?
Once you know you are in the right place, with the right message, it is time to start tracking your efforts. There are many ways to track advertising. Some traditional methods use asking the customer when they walk in, or maybe using a promotional code, or a specific phone number. All of those are great, but most of the time you cross your fingers that everyone in the office will remember to track, and often it doesn't happen. We love to use the internet as a tracking tool. We recommend setting up a site or URL that you will send your customers to that is exclusive to an ad campaign. Once they are sent there, you can use a sales funnel with a customer segmentation landing page, Google Analytics, and an opt-in form to do the math for you.
The rubber meets the road when you analyze the data. The bottom line is about finding out how much you are paying for leads and sales conversions. To analyze the data, you specify a period of time you drove traffic. Next you look at how much you spent on advertising for that time period. Then you ask, how many leads did you get from that ad during that time? That will allow you to look at how much each lead cost. Then you look at how many of those leads converted to sales. If they did convert, how much did that conversion percentage cost you? Bottom line, what are you willing to pay for a lead, and were you happy with the cost? Most importantly, how much did you pay for that sale? Only you as a business owner can decide what a lead and sale is worth to you based on your profit margins.
Just remember, business is about making a profit, and you don't want to have "Gold Fever", and not care how much you spend for a lead and sale. Once you find out what your costs are, optimize what is working by scaling it up. If something isn't working, go back to your message to market, and improve your strategy. When you really get it right, you will love your cost per lead and sale, and will have people knocking down your door.
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