True ROI Measurement in Google Analytics
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With a properly connected Google AdWords account sending data into Google Analytics, establishing ROI for e-commerce websites is a breeze! Simply navigate to the AdWords clicks report, send a report with the provided ROI number and you are golden, right? Hold up! You are having a case of TBAGD (tool blindness and Google dependence), and you are not alone. I had a wicked case of TBAGD once, but now I have kicked the habit and formed a support group. Our first meeting is this Saturday. Attendees will learn how to calculate the true ROI for their paid media activities, understand important data that needs to be collected outside of Google Analytics, and where to find the goods. The result? Effective end-to-end measurement and a cure for TBAG. An informal poll shows that 9 out of 10 executives recommend TBAGD support to their analysts and marketing folks, with the 10th simply asking “What is the Internet?” Jeff Sauer
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True ROI Measurement in Google Analytics
- 1. True AdWords ROI Measurement For E-Commerce Websites
- 2. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Your Guide 2 Jeff Sauer Marketer and Entrepreneur Jeffaly.cs and Knowledge Land Minneapolis, MN, USA google.com/+JeffSauer knowledge.land
- 4. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng What is TBAGD? Tool Blindness
- 5. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng What is TBAGD? Tool Blindness Google Dependency
- 6. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng What is Tool Blindness? Photo Credit: mirror.co.uk
- 7. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng What is Google Dependency?
- 9. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng ROI Does Not Stand For: • Regal or Idiot • Roided Out Imbecile • Randy ‘Ol Ins.gator • Rager on Ibiza
- 11. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Return On Investment How Much Money Did We Spend? Investment
- 12. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Return On Investment How Much Money Did We Spend? How Much Money Did We Make? Investment Return
- 13. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng
- 14. Yet We Send Reports Like This
- 15. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng ROI According to Google Analytics
- 16. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng And We Think To Ourselves
- 17. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng But Executives Think of Us Like This
- 19. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng It’s Not Your Fault
- 20. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng It’s Not Your Fault
- 21. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng It’s Not Your Fault
- 22. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng You Simply Have a Case of TBAGD Tool Blindness Google Dependency
- 23. Time to Evolve
- 24. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Evolution of Man Photo Credit: wallpapersus.com
- 25. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Since We’re an Un-Conference
- 26. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Let’s Remove the Google Goggles Let’s Remove the Beer Goggles
- 27. Sidebar: Google Image Search for Ugly to Pretty
- 28. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Ugly to Pretty = Goldmine
- 30. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng This is ROI in a Vacuum
- 31. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng ROI by Very Definition, That’s All By Defini.on, This is Return on Investment
- 32. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Investment and Revenue Are Important Investment
- 33. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng But… We Forgot About Profit We Forgot About Dre Profit
- 34. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng We’re Still Far From Supermodels
- 36. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng How ROI Should Really Be Calculated Revenue
- 37. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Subtract Our Ad Spend Revenue Adver.sing Investment
- 38. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Subtract Cost of Selling Each Product Revenue Adver.sing Investment Product Cost
- 39. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Subtract Fixed Costs of Business Revenue Adver.sing Investment Product Cost Fixed Costs
- 40. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Now You Have Net Profit Revenue Adver.sing Investment Product Cost Fixed Costs Net Profit
- 41. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Here’s an ROI Equation to Use Gain From Investment (Net Profit) Cost of Investment Cost of Investment ROI
- 42. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Pulling It All Together Revenue $82,730 100%
- 43. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Pulling It All Together Revenue $82,730 100% Ad Spend $10,942 -‐
- 44. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Pulling It All Together Revenue $82,730 100% Ad Spend $10,942 -‐ Return on Ad Spend $71,788 656% AKA ROI in AdWords
- 45. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Pulling It All Together Revenue $82,730 100% Ad Spend $10,942 -‐ Return on Ad Spend $71,788 656% Cost of Goods Sold $62,021 75%
- 46. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Pulling It All Together Revenue $82,730 100% Ad Spend $10,942 -‐ Return on Ad Spend $71,788 656% Cost of Goods Sold $62,021 75% Gross Revenue $9,767 12%
- 47. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Pulling It All Together Revenue $82,730 100% Ad Spend $10,942 -‐ Return on Ad Spend $71,788 656% Cost of Goods Sold $62,021 75% Gross Revenue $9,767 12% Total Fixed Costs $5,000 6%
- 48. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Pulling It All Together Revenue $82,730 100% Ad Spend $10,942 -‐ Return on Ad Spend $71,788 656% Cost of Goods Sold $62,021 75% Gross Revenue $9,767 12% Total Fixed Costs $5,000 6% Net Profit $4,767 6%
- 49. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Pulling It All Together Revenue $82,730 100% Ad Spend $10,942 -‐ Return on Ad Spend $71,788 656% Cost of Goods Sold $62,021 75% Gross Revenue $9,767 12% Total Fixed Costs $5,000 6% Net Profit $4,767 6% True ROI 44%
- 50. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng We’re Getting Closer
- 52. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Future Purchases = No Ad Spend? Assume No Future Spend
- 53. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Future Purchases = No Ad Spend? Assume No Future Spend AND Customer Has 1.5 Life.me Purchases
- 54. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng We Find the True ROI of our Efforts Revenue $124,095 100% Ad Spend $10,942 -‐ Return on Ad Spend $113,153 1034% Cost of Goods Sold $93,031 75% Gross Revenue $20,122 16% Total Fixed Costs $5,000 6% Net Profit $15,122 18% True ROI 138%
- 55. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng We Have Cured Measure Blindness!
- 56. Thank You, Old Chap! Source: hkps://answers.yahoo.com/ques.on/index?qid=20080201184249AAHqd5l
- 57. Jeff Sauer | @jeffaly.cs | #measurecamp| True AdWords ROI Repor.ng Jeff Sauer Marketer and Entrepreneur Jeffaly.cs and Knowledge Land Minneapolis, MN, USA google.com/+JeffSauer knowledge.land Thank You! 57