Measuring advertising results from media campaigns can be challenging. Fortunately, there are a few ways to go about measuring advertising results to determine your return on investment. In this article, we will list a few tips that will help ease the challenges of running an effective marketing campaign. Let’s get started!
Analyzing Campaign Performance
Some variables are harder to control than others. However, collecting sales data before, during, and after the campaign can go a long way with regard to determining return on investment.
Timing is everything! Target a specific date range to see if there was any lift during the time period in which an ad campaign was running. For a basic formula, ROI = gain from investment – cost of investment divided by the cost of investment.
Tone of voice is also an important variable to consider. If you know you ran a variety of ads, examine the results of each to determine which ones resonated the most with a target audience. Did messaging and tone change from one ad to the other? Was music played? What did the imagery look like when you ran the ad? In TV or radio broadcasts, for example, tone of voice can vary greatly depending on the time of day and audience segment.
Measuring Digital Advertising
Measuring digital advertising is more straightforward so long as you have access to reliable data. For example, if your brand has an online presence, you can measure the amount of website traffic during a campaign period to determine the effectiveness of an ad.
Taking it a step further, one can specify unique URL parameters to identify the traffic source of a campaign to tie results back to specific copy, CTAs, imagery, and layout.
The key to success with digital measurement is having access to reliable analytics, so it’s best to sync with other members on your marketing team who may have access to better data.
Business Outcomes and Customer Experience
A recent study conducted by the CMO Council found that marketers are now shifting their focus away from ad metrics towards measuring business outcomes. Ad personalization, for example, has become a great variable when measuring advertising results using the following metrics:
- Retention rate
- Lifetime value
- Acquisition rate
- Upsell/Cross-sell engagement
- Revenue Per Transaction
Examining broader metrics allows marketers to zoom out and better understand the buyer journey, which can be a more effective marketing approach to tailoring messaging to the right time and place.
Defining Objectives, and Measurement
Defining objectives and measurement is of the utmost importance. Is your end goal to drive sales? Brand awareness? Retention? Having a clear set of objectives mapped out will pave the way to more measurable and actionable ad campaigns. The goal of this process is to drill down to the truth. What about a user’s behavior are we examining? Are key performance indicators (KPIs) actually representative of campaign success?
If the answer is yes, then you are on the right track. From there, you can begin to audit, analyze and tweak ad campaigns accordingly. The bottom line: Without a north star, it’s hard to determine a path to your specific goals. You can use data all day long, but reaching new or potential customers requires a more holistic approach. Measuring advertising results begins with defining your objectives and KPIs beforehand.
It’s important to remember never to settle. Continually analyze which platforms, publishers, or partners are performing best to identify gaps as well as what needs to be done in order to improve return on investment. As long as you work towards improving the value proposition of the brand, the easier it will be to measure the impact of your work.
Bloom Ads is Here to Help
Is your team looking to outsource its media buying and planning? Bloom Ads has a team of professionals standing by to help your brand create, administer, and measure effective media campaigns that truly deliver! Give us a call today at (818) 703-0218.