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Measuring Marketing ROI

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Marketing Mojo
Marketing Mojo

This document outlines Janet Miller's presentation on measuring marketing ROI. It discusses the challenges of attribution and tracking marketing efforts across different channels. It recommends setting up Google Analytics and integrating your CRM and marketing automation systems to track metrics like cost per lead, cost per opportunity, pipeline, cost per acquisition, and lifetime value to evaluate the performance and ROI of different marketing campaigns. The presentation provides steps on implementation and suggests testing various attribution models to determine the best approach.

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@janetdmiller | @marketingmojo | marketing-mojo.com MEASURING MARKETING ROI Janet Driscoll Miller Marketing Mojo November 10, 2016
@janetdmiller | @marketingmojo | marketing-mojo.com ABOUT MARKETING MOJO • Digital marketing firm founded in 2005 › Search Engine Optimization › Paid Search Advertising › Display and Social Media Advertising › Marketing Automation › Analytics Consulting • Headquartered in Charlottesville, VA › Office in Charleston, SC
@janetdmiller | @marketingmojo | marketing-mojo.com ABOUT TODAY’S SPEAKER • Founder of Marketing Mojo • Over 20 years of marketing experience › Experienced in » Marketing automation » Analytics » Salesforce.com
@janetdmiller | @marketingmojo | marketing-mojo.com
@janetdmiller | @marketingmojo | marketing-mojo.com AGENDA • Challenges • Attribution • Tracking • Measurements
@janetdmiller | @marketingmojo | marketing-mojo.com CHALLENGES
@janetdmiller | @marketingmojo | marketing-mojo.com Source: American Marketing Association, 2016
@janetdmiller | @marketingmojo | marketing-mojo.com
@janetdmiller | @marketingmojo | marketing-mojo.com
@janetdmiller | @marketingmojo | marketing-mojo.com DATA, DATA EVERYWHERE
@janetdmiller | @marketingmojo | marketing-mojo.com ATTRIBUTION
@janetdmiller | @marketingmojo | marketing-mojo.com WHICH MODEL(S) WILL YOU CHOOSE? • Single source › First touch › Last touch • Factoral › Linear › Time Decay
@janetdmiller | @marketingmojo | marketing-mojo.com SINGLE SOURCE MODELS • First Touch › Gives all credit to the first channel/campaign › Set once and never changes • Last Touch › Gives all credit to the last channel/campaign › Always updating, but can be “locked” down 1 2 3 4 5
@janetdmiller | @marketingmojo | marketing-mojo.com
@janetdmiller | @marketingmojo | marketing-mojo.com FRACTIONAL SOURCE MODELS • Linear › Gives equal credit to all channels/campaigns › Always updating, but can be “locked” down • Time Decay › Gives most credit to the last channel/campaign › Always updating, but can be “locked” down
@janetdmiller | @marketingmojo | marketing-mojo.com WHAT IS THE BEST MODEL?
@janetdmiller | @marketingmojo | marketing-mojo.com NOT SURE? TEST THEM OUT!
@janetdmiller | @marketingmojo | marketing-mojo.com GOOGLE ANALYTICS ATTRIBUTION MODEL COMPARISON TOOL
@janetdmiller | @marketingmojo | marketing-mojo.com YOU DON’T HAVE TO SEE THE WHOLE STAIRCASE JUST TAKE THE FIRST STEP.
@janetdmiller | @marketingmojo | marketing-mojo.com TRACKING
@janetdmiller | @marketingmojo | marketing-mojo.com Website Visit MQL SAL SQL Closed Won HOW DO YOU TRACK IT ALL?
@janetdmiller | @marketingmojo | marketing-mojo.com Website Visit MQL SAL SQL Closed Won HOW DO YOU TRACK IT ALL? Google Analytics Marketing Automation CRM
@janetdmiller | @marketingmojo | marketing-mojo.com MQL SAL SQL Website Visit HOW DO YOU TRACK IT ALL? Google Analytics Marketing Automation CRM Closed Won
@janetdmiller | @marketingmojo | marketing-mojo.com HOW DO YOU TRACK IT ALL? • Step 1: Analytics › Set up a nomenclature › Tag your marketing campaigns
@janetdmiller | @marketingmojo | marketing-mojo.com GOOGLE ANALYTICS TAGGING • Passes information from your destination URLs into Google Analytics • Tagging is automatic in Google AdWords by default • https://support.google.com/ analytics/answer/1033867?hl =en
@janetdmiller | @marketingmojo | marketing-mojo.com HOW DO YOU TRACK IT ALL? • Step 1: Analytics › Set up a nomenclature › Tag your marketing campaigns › Set up goals and/or ecommerce tracking » Note: Limit of 20 goals per reporting view › Website » Ensure you have Google Analytics code on all pages of the website • Consider using Google Tag Manager
@janetdmiller | @marketingmojo | marketing-mojo.com SQL Closed Won MQL SAL Website Visit HOW DO YOU TRACK IT ALL? Google Analytics Marketing Automation CRM
@janetdmiller | @marketingmojo | marketing-mojo.com HOW DO YOU TRACK IT ALL? • Step 2: Marketing Automation › Make sure your CRM and marketing automation program are integrated. › Set up programs to update information and track clicks. › Set marketing automation to update fields accordingly. » i.e., first touch: never update the lead source field if it has a value in it.
@janetdmiller | @marketingmojo | marketing-mojo.com
@janetdmiller | @marketingmojo | marketing-mojo.com SQL Closed Won MQL SAL Website Visit HOW DO YOU TRACK IT ALL? Google Analytics Marketing Automation CRM
@janetdmiller | @marketingmojo | marketing-mojo.com HOW DO YOU TRACK IT ALL? • Step 3: CRM (ex: Salesforce.com) › Set up CRM to track appropriate attribution model › Also edit your forms! » If you’re using first touch attribution, you’ll want to only update the lead source field once. › For fractional attribution, create a custom field. » If you’re using time decay, add a date stamp. › Create campaigns to track in CRM » Tracks sales/value back to actual marketing campaigns
@janetdmiller | @marketingmojo | marketing-mojo.com
@janetdmiller | @marketingmojo | marketing-mojo.com
@janetdmiller | @marketingmojo | marketing-mojo.com
@janetdmiller | @marketingmojo | marketing-mojo.com
@janetdmiller | @marketingmojo | marketing-mojo.com Campaign Name Converted Leads Num Total Opportunities Num Won Opportunities Total Value Opportunities Total Value Won Opportunities 2017 Dig Mktg Checklist - Facebook 1 2 1 $ 8,000.00 $ 5,000.00 2016 ROI-2 Webinar 1 4 1 $ 23,500.00 $ 10,000.00 2016 ROI Webinar 2 6 2 $ 34,000.00 $ 14,000.00 Request a Quote 1 1 0 $ 5,000.00 $ -
@janetdmiller | @marketingmojo | marketing-mojo.com WHICH MEASUREMENTS ARE IMPORTANT?
@janetdmiller | @marketingmojo | marketing-mojo.com COST PER CONVERSION/LEAD • Helps to determine which platforms are driving leads at best cost • Good first step in measuring platform effectiveness • Most ad platforms include this measurement › Also measure in Google Analytics
@janetdmiller | @marketingmojo | marketing-mojo.com COST PER OPPORTUNITY • Not all leads are equal • Find out which channels drive the best quality leads • Measure via marketing automation or CRM report › Combine with cost data from that channel
@janetdmiller | @marketingmojo | marketing-mojo.com PIPELINE • Measures potential sales and opportunities for the sales team • How do various channels compare for improving pipeline?
@janetdmiller | @marketingmojo | marketing-mojo.com COST PER ACQUISITION • Cost per sale • Is the cost to acquire less than the profit margin? › Are you potentially spending too much to acquire new business? • Which channel(s) have the lowest cost per acquisition?
@janetdmiller | @marketingmojo | marketing-mojo.com LOST SALES • Are there channels that drive more losses than wins? • Perhaps these channels had less qualified prospects?
@janetdmiller | @marketingmojo | marketing-mojo.com LIFETIME VALUE • The ultimate ROI measurement • Initial CPA may be high, making a channel look less valuable, but average lifetime value (ALV) may indicate greater worth
@janetdmiller | @marketingmojo | marketing-mojo.com NEXT STEPS: ROI WORKBOOK • Measuring Marketing ROI Part 2: ROI Workbook • December 1 • https://marketing-mojo.com/part2
@janetdmiller | @marketingmojo | marketing-mojo.com CONTACT INFO JANET DRISCOLL MILLER President and CEO Marketing Mojo 434.975.6656 x101 jmiller@marketing-mojo.com @janetdmiller

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Measuring Marketing ROI

  • 1. @janetdmiller | @marketingmojo | marketing-mojo.com MEASURING MARKETING ROI Janet Driscoll Miller Marketing Mojo November 10, 2016
  • 2. @janetdmiller | @marketingmojo | marketing-mojo.com ABOUT MARKETING MOJO • Digital marketing firm founded in 2005 › Search Engine Optimization › Paid Search Advertising › Display and Social Media Advertising › Marketing Automation › Analytics Consulting • Headquartered in Charlottesville, VA › Office in Charleston, SC
  • 3. @janetdmiller | @marketingmojo | marketing-mojo.com ABOUT TODAY’S SPEAKER • Founder of Marketing Mojo • Over 20 years of marketing experience › Experienced in » Marketing automation » Analytics » Salesforce.com
  • 4. @janetdmiller | @marketingmojo | marketing-mojo.com
  • 5. @janetdmiller | @marketingmojo | marketing-mojo.com AGENDA • Challenges • Attribution • Tracking • Measurements
  • 6. @janetdmiller | @marketingmojo | marketing-mojo.com CHALLENGES
  • 7. @janetdmiller | @marketingmojo | marketing-mojo.com Source: American Marketing Association, 2016
  • 8. @janetdmiller | @marketingmojo | marketing-mojo.com
  • 9. @janetdmiller | @marketingmojo | marketing-mojo.com
  • 10. @janetdmiller | @marketingmojo | marketing-mojo.com DATA, DATA EVERYWHERE
  • 11. @janetdmiller | @marketingmojo | marketing-mojo.com ATTRIBUTION
  • 12. @janetdmiller | @marketingmojo | marketing-mojo.com WHICH MODEL(S) WILL YOU CHOOSE? • Single source › First touch › Last touch • Factoral › Linear › Time Decay
  • 13. @janetdmiller | @marketingmojo | marketing-mojo.com SINGLE SOURCE MODELS • First Touch › Gives all credit to the first channel/campaign › Set once and never changes • Last Touch › Gives all credit to the last channel/campaign › Always updating, but can be “locked” down 1 2 3 4 5
  • 14. @janetdmiller | @marketingmojo | marketing-mojo.com
  • 15. @janetdmiller | @marketingmojo | marketing-mojo.com FRACTIONAL SOURCE MODELS • Linear › Gives equal credit to all channels/campaigns › Always updating, but can be “locked” down • Time Decay › Gives most credit to the last channel/campaign › Always updating, but can be “locked” down
  • 16. @janetdmiller | @marketingmojo | marketing-mojo.com WHAT IS THE BEST MODEL?
  • 17. @janetdmiller | @marketingmojo | marketing-mojo.com NOT SURE? TEST THEM OUT!
  • 18. @janetdmiller | @marketingmojo | marketing-mojo.com GOOGLE ANALYTICS ATTRIBUTION MODEL COMPARISON TOOL
  • 19. @janetdmiller | @marketingmojo | marketing-mojo.com YOU DON’T HAVE TO SEE THE WHOLE STAIRCASE JUST TAKE THE FIRST STEP.
  • 20. @janetdmiller | @marketingmojo | marketing-mojo.com TRACKING
  • 21. @janetdmiller | @marketingmojo | marketing-mojo.com Website Visit MQL SAL SQL Closed Won HOW DO YOU TRACK IT ALL?
  • 22. @janetdmiller | @marketingmojo | marketing-mojo.com Website Visit MQL SAL SQL Closed Won HOW DO YOU TRACK IT ALL? Google Analytics Marketing Automation CRM
  • 23. @janetdmiller | @marketingmojo | marketing-mojo.com MQL SAL SQL Website Visit HOW DO YOU TRACK IT ALL? Google Analytics Marketing Automation CRM Closed Won
  • 24. @janetdmiller | @marketingmojo | marketing-mojo.com HOW DO YOU TRACK IT ALL? • Step 1: Analytics › Set up a nomenclature › Tag your marketing campaigns
  • 25. @janetdmiller | @marketingmojo | marketing-mojo.com GOOGLE ANALYTICS TAGGING • Passes information from your destination URLs into Google Analytics • Tagging is automatic in Google AdWords by default • https://support.google.com/ analytics/answer/1033867?hl =en
  • 26. @janetdmiller | @marketingmojo | marketing-mojo.com HOW DO YOU TRACK IT ALL? • Step 1: Analytics › Set up a nomenclature › Tag your marketing campaigns › Set up goals and/or ecommerce tracking » Note: Limit of 20 goals per reporting view › Website » Ensure you have Google Analytics code on all pages of the website • Consider using Google Tag Manager
  • 27. @janetdmiller | @marketingmojo | marketing-mojo.com SQL Closed Won MQL SAL Website Visit HOW DO YOU TRACK IT ALL? Google Analytics Marketing Automation CRM
  • 28. @janetdmiller | @marketingmojo | marketing-mojo.com HOW DO YOU TRACK IT ALL? • Step 2: Marketing Automation › Make sure your CRM and marketing automation program are integrated. › Set up programs to update information and track clicks. › Set marketing automation to update fields accordingly. » i.e., first touch: never update the lead source field if it has a value in it.
  • 29. @janetdmiller | @marketingmojo | marketing-mojo.com
  • 30. @janetdmiller | @marketingmojo | marketing-mojo.com SQL Closed Won MQL SAL Website Visit HOW DO YOU TRACK IT ALL? Google Analytics Marketing Automation CRM
  • 31. @janetdmiller | @marketingmojo | marketing-mojo.com HOW DO YOU TRACK IT ALL? • Step 3: CRM (ex: Salesforce.com) › Set up CRM to track appropriate attribution model › Also edit your forms! » If you’re using first touch attribution, you’ll want to only update the lead source field once. › For fractional attribution, create a custom field. » If you’re using time decay, add a date stamp. › Create campaigns to track in CRM » Tracks sales/value back to actual marketing campaigns
  • 32. @janetdmiller | @marketingmojo | marketing-mojo.com
  • 33. @janetdmiller | @marketingmojo | marketing-mojo.com
  • 34. @janetdmiller | @marketingmojo | marketing-mojo.com
  • 35. @janetdmiller | @marketingmojo | marketing-mojo.com
  • 36. @janetdmiller | @marketingmojo | marketing-mojo.com Campaign Name Converted Leads Num Total Opportunities Num Won Opportunities Total Value Opportunities Total Value Won Opportunities 2017 Dig Mktg Checklist - Facebook 1 2 1 $ 8,000.00 $ 5,000.00 2016 ROI-2 Webinar 1 4 1 $ 23,500.00 $ 10,000.00 2016 ROI Webinar 2 6 2 $ 34,000.00 $ 14,000.00 Request a Quote 1 1 0 $ 5,000.00 $ -
  • 37. @janetdmiller | @marketingmojo | marketing-mojo.com WHICH MEASUREMENTS ARE IMPORTANT?
  • 38. @janetdmiller | @marketingmojo | marketing-mojo.com COST PER CONVERSION/LEAD • Helps to determine which platforms are driving leads at best cost • Good first step in measuring platform effectiveness • Most ad platforms include this measurement › Also measure in Google Analytics
  • 39. @janetdmiller | @marketingmojo | marketing-mojo.com COST PER OPPORTUNITY • Not all leads are equal • Find out which channels drive the best quality leads • Measure via marketing automation or CRM report › Combine with cost data from that channel
  • 40. @janetdmiller | @marketingmojo | marketing-mojo.com PIPELINE • Measures potential sales and opportunities for the sales team • How do various channels compare for improving pipeline?
  • 41. @janetdmiller | @marketingmojo | marketing-mojo.com COST PER ACQUISITION • Cost per sale • Is the cost to acquire less than the profit margin? › Are you potentially spending too much to acquire new business? • Which channel(s) have the lowest cost per acquisition?
  • 42. @janetdmiller | @marketingmojo | marketing-mojo.com LOST SALES • Are there channels that drive more losses than wins? • Perhaps these channels had less qualified prospects?
  • 43. @janetdmiller | @marketingmojo | marketing-mojo.com LIFETIME VALUE • The ultimate ROI measurement • Initial CPA may be high, making a channel look less valuable, but average lifetime value (ALV) may indicate greater worth
  • 44. @janetdmiller | @marketingmojo | marketing-mojo.com NEXT STEPS: ROI WORKBOOK • Measuring Marketing ROI Part 2: ROI Workbook • December 1 • https://marketing-mojo.com/part2
  • 45. @janetdmiller | @marketingmojo | marketing-mojo.com CONTACT INFO JANET DRISCOLL MILLER President and CEO Marketing Mojo 434.975.6656 x101 jmiller@marketing-mojo.com @janetdmiller

Editor's Notes

  1. First off, I’d like to apologize to all of you. As we developed this webinar, we realized there was so much information to cover that we decided it should be split into two webinars. So we’ll be having a follow up webinar on December 1 that will be a walkthrough of our ROI Workbook. I’ll have details on that webinar and how to register at the conclusion of the presentation.
  2. The reason you track is to Prove marketing value See what is most efficient – what’s doing well – and what is not How do I get better? What is the best marketing mix?
  3. Some data we own Some we don’t The challenge is getting to the data we need to make informed decisions POLL NEXT!
  4. This is only a lead/contact lead source This is the simplest way to look at this – for a single contact or lead You may have multiple leads/contacts that affect a sale Therefore we’ll talk about how to look at this data across an opportunity shortly
  5. We use both first touch and last touch First – what brought them in? We created an original lead source field As seen here, it is only updated once However, the main lead source is updated every time
  6. Most people cannot do this, but it is the goal It is closed loop reporting It’s why you want to integrate all the way through THIS IS NOT EASY! Many times Marketing does not own the CRM BUT CRM holds the key to much of the data we need to get actual ROI and tie marketing to sales and revenue Drilling down to the CRM level gives us actual revenue that we can tie to our efforts And that’s why this is so hard to do
  7. You are giving sales visibility into what marketing is doing. It shows your value directly to sales. Shows all of the effort marketing is making around the opportunities that sales is working. This is especially helpful for CMOs and top level marketing execs to show value at this level.
  8. Know what marketing activities created pipeline Know what created closed won and lost opportunities What created revenue?