For businesses that are just beginning to use a digital marketing strategy, things can get overwhelming fast. Unfortunately, once you get solid on a single platform, trends change.
In addition, there is a major blessing and a major curse with digital marketing.
Data can be your best friend or your worst enemy. Data allows for great marketing analytics, but your company can easily get pushed off course.
Without a strategy to use data, it's just noise. Data can become overwhelming, confusing, and ineffective at driving your business to where it needs to go.
We can help.
We've put together a guide on how to use analytics to drive action in your business.
Turning Data Into KPIs For Marketing Analytics
Of course, every organization has different challenges. There are ways to engineer your analytics to reflect specific goals.
Developing key performance indicators for your marketing analytics is one way to begin to measure your data effectively.
One rule of thumb for developing the right marketing analytics for your business is to begin with your greatest challenges.
What are the roadblocks to your growth? It's best to get as specific as possible and tie marketing to overall operations.
- Focus on a small set of KPIs that are the core of your goals as a marketing strategy.
- They should translate strategy into manageable actions.
- KPIs should be tied to corporate objectives.
If your business is getting plenty of leads but has a terrible close rate then closing the ratio between lead to close would be a great KPI to utilize.
That said, getting as granular as possible will help drive action. Analytics can assess each lead and their sector, generation, time to close, campaign, referral, internal manager, and cost.
As with many analytics strategies, your business can get far too general when developing KPIs from your analytics.
Adjust and Adapt
If your analytics aren't giving a good picture that ties into the rest of the company they need to be refined or abandoned. Counting the number of customer reviews is irrelevant unless you can tie this to a return.
This is not to say the return needs to be immediate. All of us are aware that branding campaigns take time and their return can generate through multiple channels.
But your analytics approach should inform your business in the now. In fact, as your business challenges change, so should your analytics.
If last year's challenge was qualified leads and this year's problem is retention rate your measures should change as well.
Reconsider your marketing analytics on a quarterly and annual basis. They should be feeding your marketing team with action items to increase productivity.
A great place to begin is in analyzing traffic and conversions. In terms of digital marketing, this is the ratio of qualified leads to closing rate.
Traffic Versus Conversions
Some of the many analytics businesses new to digital marketing focus on are Facebook likes, inbound traffic, or search engine rankings. While these may be indicative of serious marketing efforts, your data can definitely do more for the health of your company.
Here's an example: A company named Segue Technologies used marketing analytics to track the connection between their investment in digital content and visitors arriving on their pages.
Over the course of a year, the company increased visitors arriving on their pages by 3,000% by creating an average of 4 blog posts a week.
This is interesting information but it falls short in terms of a marketing strategy in the digital world. A company can raise traffic in the wrong sectors and court web traffic that has nothing to do with the goals of their business.
Using analytics to focus on actual conversion rate is essential. If your company could raise web traffic by 300% by creating digital content that had a 50% conversion rate it has significance to your strategy.
This would be vastly preferable to 3000% with 0 conversions.
A business can actually do marketing work for their competitors if they aren't savvy about their approach and measurement of data. You are investing in the success of your rivals without a honed tracking system.
Too often businesses don't refine their analytics to help their strategy adapt over time.
To go beyond basic analytics, return on investment should be an element of every measure of your data.
Return on Investment (ROI)
Digital marketing analytics might be difficult to navigate but they have revolutionized the history of marketing in one essential way. With marketing analytics, you can track ROI precisely.
There is no greater measure of the success of your marketing that tying each sale to its branding, marketing, overhead, cost, and delivery.
Marketing is no longer an abstract cost center in today's digital marketplace. Tying your marketing efforts directly to revenue and margin will create a dynamic marketing approach.
Digital strategies allow marketers to justify their contributions to the bottom line. Return on marketing investment can be measured now using analytics.
Make sure your tools are creating a direct link between marketing and sales. You will know exactly where to invest heavily in strategies, and which approaches to abandon by focusing on ROI.
ROI will also begin to tie together all elements of your business into a single dashboard. This type of data networking is how agile companies use marketing analytics most effectively.
Analytics should tie your entire organization together at a fast, adaptable pace.
Putting It All Together
Knowing what you need to look at to improve your marketing strategy is a great first step. But you might need expert assistance in integrating analytics into your overall strategy.
We can help you take marketing analytics to the next level.
At Blirt, we are the new breed of marketers. We help clients create a unified vision, strategy & technology platform to fulfill their marketing needs.
We're helping businesses grow all over the world.
To begin, we will book a discovery call with you to understand your needs and take you through our approach to transformational growth through digital marketing.
Don't wait to gain control over your marketing strategy and edge out the competition.
Contact us now so we can get started implementing the technology and marketing solution your business needs.