Friday, July 08, 2011
Friday, July 08, 2011
Marketing is getting so complex that sometimes it makes more sense to take a step back and get a clear idea of what really matters. I was reminded of this after reading a recent article (online) from eMarketer.com.
As marketers, we need to constantly think about and provide tangible metrics that prove our worth. It's not all bad though. By being forced to pay attention to metrics, we can do our jobs better - focusing on the tactics that work and moving away from those that don't.
As was noted in the article, "Marketers are desperate for a clear, comprehensive and effective set of metrics and measurement systems for driving marketing performance." I couldn't agree more. In fact, without an understanding of performance metrics, I wonder how you can tell if you're successful.
There are only a handful of key metrics you need to evaluate to determine the effectiveness of your digital marketing campaigns. There are tons of other distractions, but if you're not focused on these primary metrics, you're missing the boat.
Qualified Reach or Visits: Qualified reach captures two important dimensions of internet marketing that no other measurement does and that's quantity (number of individuals) and quality (the users have performed a desired interaction). When users take an action, their behavior suggests a true desire or interest. This type of quality is essential for identifying real prospects.
Clickthrough rates: One of the more popular metrics, clickthrough is the primary metric used by online advertisers. Click through rate, a.k.a. "CTR" should continue to be used to measure the effectiveness of direct response initiatives but shouldn't be the only metric used.
Brand perception lift: The actual metric of "lift" is calculated by determining the change in brand perception among a specific audience. Results can be compared to a control group or previous studies. This metric is a little more difficult to calculate without market research or a carefully designed survey. Even though it takes more work and can be costly, it's quite valuable.
Engagement Score: I love engagement. In fact, engagement score is one of the most valuable metrics you'll find. It's built upon a set of integrated metrics that captures the degree of interest with your content. Engagement score works across all digital media, from videos and mobile apps to landing pages and social media.
End Action Rate and efficiency metrics are also important. However, I tend to rely more on ROI as a key measure. When you walk into the CEO's office, that's what they want to hear. What is the return on our marketing investment? Tt's a critical financial metric that indicates the value created by your marketing initiatives.
The most effective marketers are focused on utilizing metrics that improve the results of their campaigns and validates their marketing initiatives. If you want to be a successful marketer, take the time to learn more about measuring and tracking your marketing activities.