Measuring the Results of Your Marketing Efforts

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This session on Marketing Metrics was presented to the Southeast Wisconsin Chapter of HCPRMS (the HealthCare Public Relations and Marketing Society) on April 16, 2009.

Marketing

Introduction
•  Kevin A. Barnes, Creatonomy

Agenda
•  Why Measure Marketing?
•  Marketing Measurement Hierarchy
•  What is Marketing ROI?
•  Marketing Metrics in Action - Examples:
• Email Marketing Campaign Metrics
• Social Media Metrics
•  Why Now?
•  Resources
•  Questions

The Problem
“I know half of my advertising doesn’t work. The problem is,
I don’t know which half.”
John Wanamaker

If You Remember One Thing …
Every time you start a marketing initiative, ask yourself:
1.  What am I trying to accomplish?
2.  How will I know whether I’ve accomplished it?

Marketing Measurement Hierarchy
Tier Measure Goal
1 ROI Maximize Profits
2 Conversion Rate Maximize Customer #s
Cost Per Sale Minimize Marketing Expense
3 Cost Per Impression Track Performance
Awareness Track Performance
Source: James D. Lenskold, Marketing Management, May/June 2002

What is Marketing ROI?
ROI = Return On Investment

The Basic ROI Formula
Return ( Gross Margin - Marketing Investment )
Investment Marketing Investment
ROI = =

The Basic ROI Formula
Return ( Gross Margin - Marketing Investment )
Investment Marketing Investment
( $150,000 - $100,000 )
$100,000
ROI = =
=

The Basic ROI Formula
Return ( Gross Margin - Marketing Investment )
Investment Marketing Investment
( $150,000 - $100,000 ) $50,000
$100,000 $100,000
ROI = =
=

The Basic ROI Formula
Return ( Gross Margin - Marketing Investment )
Investment Marketing Investment
( $150,000 - $100,000 ) $50,000
$100,000 $100,000
ROI = =
= = 50%

The time is now …
This is the time for marketing metrics:
1.  Easier
2.  Less expensive
3.  More accurate

Resources
•  Marketing Metrics, Paul W. Farris et. al., 2008
•  Marketing Calculator, Guy R. Powell, 2008
•  Marketing ROI, James D. Lenskold, 2003

For More Information
•  Kevin A. Barnes
•  kevin@creatonomy.com
•  414.223.7500 ex. 124
•  Twitter.com/kevinabarnes
Thank You!

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Measuring the Results of Your Marketing Efforts

1. April 16, 2009 Measuring the Results of Your Marketing Efforts

2. Introduction •  Kevin A. Barnes, Creatonomy

3. Agenda •  Why Measure Marketing? •  Marketing Measurement Hierarchy •  What is Marketing ROI? •  Marketing Metrics in Action - Examples: • Email Marketing Campaign Metrics • Social Media Metrics •  Why Now? •  Resources •  Questions

4. The Problem “I know half of my advertising doesn’t work. The problem is, I don’t know which half.” John Wanamaker

5. If You Remember One Thing … Every time you start a marketing initiative, ask yourself: 1.  What am I trying to accomplish? 2.  How will I know whether I’ve accomplished it?

6. Why Bother??

7. Why Bother??

8. Why Bother??

9. Marketing is scaleable / flexible

10. Marketing Measurement Hierarchy Tier Measure Goal 1 ROI Maximize Profits 2 Conversion Rate Maximize Customer #s Cost Per Sale Minimize Marketing Expense 3 Cost Per Impression Track Performance Awareness Track Performance Source: James D. Lenskold, Marketing Management, May/June 2002

11. What is Marketing ROI? ROI = Return On Investment

12. The Basic ROI Formula Return ( Gross Margin - Marketing Investment ) Investment Marketing Investment ROI = =

13. The Basic ROI Formula Return ( Gross Margin - Marketing Investment ) Investment Marketing Investment ( $150,000 - $100,000 ) $100,000 ROI = = =

14. The Basic ROI Formula Return ( Gross Margin - Marketing Investment ) Investment Marketing Investment ( $150,000 - $100,000 ) $50,000 $100,000 $100,000 ROI = = =

15. The Basic ROI Formula Return ( Gross Margin - Marketing Investment ) Investment Marketing Investment ( $150,000 - $100,000 ) $50,000 $100,000 $100,000 ROI = = = = 50%

16. It’s equations all the way down!

17. Examples of Specific Metrics •  Ad Awareness •  Gross Ratings Points (GRPs) •  Web Page Unique Visitors •  Clickthrough Rate •  # Blog Posts about your Brand •  Sales / Purchases

18. Example: Email Marketing Campaign

19. Example: Email Marketing Campaign

20. Example: Social Media Campaign

21. Example: Social Media Campaign

22. Example: Social Media Metrics Fundamental Metric Source Influence Time on Site Web Analytics: Google, Omniture, Web Trends Engagement Comments/Posts Google, Omniture Diggs, bookmarks DoubleClick, Digg Podcast Listens Feedburner Loyalty Blog Posts on Brand BlogPulse Recommendations Cymfony, Techrigy Tweets, etc. Cymfony, Techrigy

23. Is Heath Care Marketing Unique?

24. The time is now … This is the time for marketing metrics: 1.  Easier 2.  Less expensive 3.  More accurate

25. If You Remember One Thing … Every time you start a marketing initiative, ask yourself: 1.  What am I trying to accomplish? 2.  How will I know whether I’ve accomplished it?

26. Resources •  Marketing Metrics, Paul W. Farris et. al., 2008 •  Marketing Calculator, Guy R. Powell, 2008 •  Marketing ROI, James D. Lenskold, 2003

27. Questions?

28. For More Information •  Kevin A. Barnes •  kevin@creatonomy.com •  414.223.7500 ex. 124 •  Twitter.com/kevinabarnes Thank You!

Measuring the Results of Your Marketing Efforts

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