Tips for Manufacturers: How to Measure The ROI of Digital Marketing

October 23, 2018 / By Bruce McDuffee

Digital marketing is ever-evolving, and the reason for that mostly comes from Google, as the juggernaut keeps on changing their algorithms that affect the overall performance of marketing. They mainly do this because the competition is only getting bigger and bigger.

With that being the fact, it’s not always straightforward to calculate your return on investment (ROI). It’s even harder when you take into account that you want to calculate the ROI of the digital marketing campaign only. And you have to do this because this form of marketing is the most important one.

Thankfully, there are several tips that manufacturers can employ to measure their digital marketing ROI accurately.

Understand the Metrics

The first thing that you must do is learn all the metrics that affect your ROI. When it comes to digital marketing and Google analytics, nothing is ever simple. There are several primary and more complex metrics that you need to grasp correctly to start measuring your ROI effectively. From the cost per lead, through average order value, to landing page performance and conversion rates, there are several things to learn.

Know Your Key Performance Indicators (KPIs)
The easiest thing you can do when measuring ROI is only to gauge your clicks, likes, etc. However, to have a more successful marketing campaign, additional elements need to be taken into account.

When trying to achieve better results and thus better calculations, you need to have clear goals for your digital marketing campaign. When you do, you can set up your KPIs which are related to these goals.

Have Professional and Skilled Analysts
It’s not enough to have detailed metrics and comprehensive statistics. Sometimes the sheer amount of data won’t lead to anywhere good unless you have skilled analysts who understand your business.

These people can combine everything they know about analytics and marketing and uncover some more profound insights from all of those metrics that will eventually end up benefiting your entire digital marketing campaign.

Connect Compensation with Metrics
If you want the metrics that affect the success of your digital marketing to lead to great compensations, it’s a good idea to connect the two. You can do this by making sure that your employees are carefully monitoring the metrics. This way they will always try to optimize the performance of the market with the knowledge they gained from the metrics.

Look at Everything Separately
As the top channels in digital marketing are websites, social media, and emails, you should be focusing on them when measuring your return on investment.

These three are unavoidable, because all of them together if appropriately used, will create a very smooth and positive experience for your overall marketing campaign.

In essence, once you start calculating your ROI, consider looking at each of these separately, and then combine all of them to form your entire digital marketing ROI.

All in all, every manufacturer should consider and implement all of these tips to adequately measure the return on investment for their digital marketing campaign. Some learning will be involved, but with enough persistence, and maybe some outside help, you will end on top.

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