12 Ways to Work out Your Digital Marketing ROI
Figuring out your digital marketing return on investment (ROI) is an important part of any campaign but it can be tricky. Here's some advice on how to go about it.
As digital marketing budgets grow, businesses are now spending an average of 35% or £53,000 a year on digital marketing alone. As marketing budgets continue to skyrocket and digital marketing becoming more abstract, it's important to know you're getting a reasonable ROI. Measuring your digital marketing ROI might be more complicated than a traditional ROI.
Digital marketing can seem abstract to digital non-natives. Most users and many executives don't realise how much data is collected and disseminated with every click or swipe. Metadata, geotags, and browser histories allow marketers to target clients more accurately than ever before.
The main purpose of digital marketing is to generate leads and with the right kind of data manipulation and digital outreach tactics, you can see exponential growth. In order to ensure that your next campaign yields a high digital marketing ROI, try implementing these 12 strategies.
1. Influencer Marketing
For the last few years, major brands have been bankrolling the influencer market. While this has allowed more pedestrian brands to seem cool or lesser known brands to get some attention, it's not paying off for everyone. As search algorithms and traffic analytics have developed, organic traffic is becoming the premium approach to marketing.
Brands are spending less time and money on paying influencers to show off their goods. They aren't seeing the returns they'd like and are finding new, lower-cost ways to get clout in the digital realm.
If you have access to low-cost influencers who have lots of organic followers, buy in. Otherwise, you could be paying top-dollar for middle-tier influencers who just won't give you the digital marketing ROI your brand deserves.
2. Live Video 2.0
As every social media channel has taken the opportunity to add a live video option, it's now being used by everyone from celebrities to the average user. Brands and media figures use it as an opportunity to show a behind the scenes view of what they're working on.
Soon we'll see live video used for product launches, celebrity appearance announcements, and live album listening parties. No matter what industry you're in, you can find a way to use live video to connect with your audience. As the look of holding a phone in your hand doesn't lend to very high-quality videos, we are sure to see the market begin to become more premium.
Bigger brands will start creating professional events through the use of live video.
3. A more Granular Customer Path
Because so much user data is so easily accessible, the path to purchase is mapped out better than ever. Understanding how your customers first encounter your products, where they purchase them from, and how they get your services delivered gives great insight. You can see where the weak links in your chain are and where customers drop off you can start supporting those links to strengthen your lead-to-sales ratio.
Knowing where your customers first encounter your company gives you insight into their interests. If they encounter you via Instagram more than Facebook, you can start strengthening your Instagram presence. By following them through each step of their path to purchase, you'll be able to increase your connection with your customers every step of the way.
4. More Specific Ads
Rather than spending big money on gigantic campaigns, the future of digital marketing ROI is going to be in smaller, tightly focused advertising. The ability to get a stronger insight into your customers' path to purchase means you can create ads relevant to them.
Smaller campaigns are more flexible and manageable. They can pivot mid-stream if that's what customers are clamouring for. Small digital ad campaigns can take risks and fail without the pressures on traditional media campaigns. Your desktop and your mobile customers will even have different wants and needs. You'll get digital marketing ROI by passing customers the experience they expect based on the specific device they're using. Amazon's Alexa, Google Assistant, or Microsoft Cortana have entered the daily routines of your customers' lives. While in use, they provide valuable user information that forms a picture of what your customers look like.
The conversational aspect is a natural part of the user interface (UI). As they're casually dropped into this conversational UI, brands receive a strong digital marketing ROI. When users want to get information or if they're being entertained, chatbots and conversational user interfaces can take robust data and use it to generate ads.
Ad placement based on a user's interests will allow brands and services to hit harder, where customers need them when they need them.
6. Personalisation, Big Time
Generic email blasts and impersonal ads are for the birds. Customers see right through them, know how to ignore them, and even find ways to block them within their browsers. Brands and services need to get smarter to see a strong digital marketing ROI.
The rise of social media shows us that more users are expecting a unique and personalised experience every time they log on. Cold user interfaces, sites that don't know if you've ever visited before, and disconnected experiences are a thing of the past. The future is in apps that integrate with your other apps and predictive consumer experiences.
Giving a personalised login or landing page should be a big part of your digital marketing push. Attention is hard to come by and so when you get it, you should roll out the red carpet for your clients.
7. Augmented Reality
With the smash success of Pokemon Go, augmented reality was suddenly the term du jour of online experiences. Rather than the creation of resource heavy and poorly executed virtual reality, augmented reality (AR) allows you to integrate into space you exist in daily.
Going to certain areas, near certain retail spots, or where your products are could unlock sponsored AR content. Integrating your ads into your customers' everyday experiences is a great way to see strong digital marketing ROI. It won't be long before all the social media channels have an AR outreach. Be ahead of the pack by staking your claim in the world of augmented reality.
8. More Video Marketing
Figures show that in the next few years, video will comprise more than 80%of all internet traffic. More companies are finding ways to create high-quality videos that combine their customer's interests with branded content.
Showing customers how they can use your products in a new way or how your services benefit the community can give you a strong digital marketing ROI. People spend more time watching videos than looking at any other kind of media online. Video also boosts search engine rankings by keeping people on your site longer. Watch your click-through rates soar with branded videos.
9. Voice Marketing is Growing
Search engines are now reporting that nearly a quarter of their mobile searching is done via voice search. When native apps and search engines respond to users, they could list branded content to recommend products to customers. A customer asking "what is the best detergent for my stains" could just as easily get your company's detergent or cleaning services as a response.
Marketers are preparing to see some digital marketing ROI from these searches by increasing their search engine optimisation (SEO). Making sure your site and your content is optimised for searchengines ensure you get the hits you're looking for.
High-quality organic traffic will come when you find conversational ways to talk about your products. Including keywords that sound the way customers speak will make your brand ready for the voice search revolution.
10. Predictive Algorithms
Machine learning and search engine algorithms are now focusing more heavily on being able to predict what users need and want. Positioning your research to find what your customers need will give you a strong digital marketing ROI. Leave some research in your budget to research predictive algorithms.
11. Native Advertising
In order to get that ideal digital marketing ROI, use native advertising. This is where websites and search engines integrate your ads into their design. This gives a tacit endorsement of your services to an audience who has already come to trust a given website. In order to build a stronger relationship with your target market, try native advertising strategies.
12. Offline Integration
Offline experiences like cooking and cleaning will soon be connected via the reach of IoT. The Internet of Things will allow products to tell you when refills need to be replaced, when you're out of milk, and when your floor needs to be mopped. This will be a great opportunity for your company to reach into your customers and potential clients' offline life.
Digital Marketing ROI Just Takes Practice
Getting the right return on your digital marketing investments just takes practice and some slight pivoting. It actually offers more opportunities for experimentation and low-risk, short-term projects. If you're ready to start seeing a return on your marketing efforts, contact us for tips on how to put together an action plan today.