Is your leadership consistently concerned about your marketing spend, and regularly asking for metrics and information?
If so, you’re not alone. And they have good reason to ask. Most marketing departments have a hard time measuring and proving their return on spend.
According to a 2017 study, Hubspot reports that 40% of marketers feel that proving the ROI of their marketing activities is their biggest challenge. Another 28% struggle to secure the budget they need to implement their strategies. Other departments within an organization tend to have an easier time proving their profits and funding their activities. So how can marketing do the same?
Unfortunately, a large number of marketing efforts are nearly impossible to prove in terms of ROI. While we all know that brand awareness has inherent value, there’s absolutely no financial metrics tied to the success of your branding efforts. So we have to turn to leads in order to capture the true value of marketing efforts.
- Determining Value
What actually turned your lead into a customer? The only way to know is by creating an attribution system to evaluate your leads and their touchpoints. Performance metrics are great, but the values we need to focus on are:
- Once we can assign values to these, we can determine ROI easily using data.
• Potential leads (Target)
- • Leads who have interacted once (Alive)
- • Leads who have engaged with multiple touchpoints (MQL)
- • Leads who are ready to convert (SQL)
- Integrating Systems and Collecting Data
This step is one of the biggest challenges facing marketers, but it’s an integral part of properly tracking ROI.
Quality lead scoring requires an integrated tech stack to give a true picture of marketing ROI. All of the platforms we use to track and assess our incoming leads have to be able to interact with one another for a proper attribution system to work efficiently. All data should also be consistent so that all systems can use it.
Once an integrated system is established, we have to begin collecting intensive data on leads and prospects. We’re not just talking demographics here; we need meaningful behavioral data as well. With this information, we can continue to evaluate leads down to the dollar.
With an attribution model and synced system in place, the final ingredient in your ROI proof pudding is accurate analysis. Your attribution tracking should give you the ability to show exactly how many leads are in each bucket and what their values are.
From here, you can accurately assess your marketing ROI and prove out the return on your efforts to management and other departments.
If you’re struggling to prove your return, Advantage can help. The Mobius Platform is a closed-loop system that takes lead generation to the next level. Find out more here.