In 2015, digital marketing will be more valuable to businesses than ever before.
The proliferation of social media and email marketing, coupled with the rising popularity of mobile devices, will drive explosive growth in 2016.
This white paper examines the most important email marketing metrics to determine the effectiveness of your strategy and whether or not you should continue with your current approach.
So, you’ve decided to implement an email marketing program and you’re wondering whether or not it’s been a success. Before getting to the details, let’s take a step back and examine some general guidelines for measuring the success of a digital marketing campaign.
Understand the Purpose of the Campaign
The first and most critical step to effectively implementing an email marketing campaign is to understand its purpose. Why are you emailing your customers? What is the end goal? Do you want to generate more leads? Do you need to raise brand awareness?
You cannot properly measure the success of a digital marketing campaign without first understanding its purpose. Some marketers may argue that you can implement a digital marketing strategy without a clear idea of what you’re trying to achieve, but it’s usually the case that you’ll struggle to find the right metrics and you’ll end up in a complete deadlock.
Gather Key Performance Indicators (KPIs)
The next step is to identify the key performance indicators (KPIs) that you’ll use to determine the effectiveness of your strategy. Throwing hundreds of thousands of dollars at a TV ad campaign may generate great results, but if you don’t have the right metrics, you’ll quickly find that it was all a waste of time.
In the world of digital marketing, the key performance indicators (KPIs) that you’ll use to gauge your success are basically the same. You may decide to use page views as your main metric, but you’ll also want to track the number of leads generated, the amount of newsletter sign-ups and the like.
Determine the Quality of Your Leads
Even though you may have used automated tools to generate your leads, you’ll still need to weed out the bad apples from the good. The easier and more efficient way of doing this is to determine the quality of your leads using key performance indicators (KPIs).
If you’ve ever bought a piece of merchandise as a result of an online ad, you’ll know that not all the leads that you generate may be of high quality. That’s why it’s important to examine your KPIs and use metrics such as the conversion rate and the number of closed deals to determine how effective your strategy was.
Understand the Strength of Your Existing Social Media Networks
The strength of your social media networks will also be a major factor in the success of your email marketing strategy. If you have a large and engaged audience on social media, your odds of successfully converting them into leads will be much higher. You may decide to use metrics such as the number of engaged followers, likes, retweets and the activity that you receive on social media to determine the strength of your existing audience.
Look For Inspiration From Global Brands
When it comes to implementing a successful email marketing campaign, you may want to look towards brands that have been in the game for a while and have a decent amount of data to work with. More and more brands are realizing the power of email marketing and they’re using it as a main form of communication.
When you’re looking for inspiration, the best place to go is the big brands that have been around for a while and have a solid reputation. Take Apple, for example, which has been using email marketing for years to accomplish their end goal — acquiring more customers.
Keep A Close Eye On The Economics of The Campaign
One of the most critical things to keep in mind when it comes to measuring the success of a digital marketing campaign is the economics. You’ll want to look at things such as the cost per lead, the average order value, the average order amount, the value of the email marketing emails, the number of refunds and the like. This is especially important if you’re running a commercial campaign, as you’ll want to make sure that you’re recovering your costs. This means that you must be generating enough leads to make it worth your while.
Plan For The Future
Finally, you’ll want to look towards the future and consider what enhancements you may make to further improve the success of your email marketing program. Maybe you’ll try and improve your conversion rate or generate more leads. Some marketers may even decide to integrate text messaging into their strategy, which could prove to be highly effective as well.
In summary, implementing an email marketing program can be extremely effective if you do it right. To make sure that your investment is paying off, you must be looking at the right metrics and you must be comparing your results to similar industries.