What started as a pretty normal year has turned into a nightmare, as the COVID-19 pandemic reared its ugly head to put an end to a decade’s worth of global economic progression. With so many brands and businesses being shut due to rolling lockdowns across the globe, now is the time to ensure that – if you’ve survived the worst of it – your marketing is actually worth the money you’re spending, and that it is bringing in quality leads that you can convert to sales. This article takes a look at eight things you need to keep your eyes on in 2020:
Return on investment (ROI)
What is the amount of money which you have thrown at your business marketing in the past year? Can you compare that to the amount of money that has come indirectly attributable to the marketing activities? Brands that keep eyes on their ROI are able to make the tough decisions regarding marketing campaign continuation.
Everyone’s a potential lead, right? Not quite. Leads are hot, and leads are cold, but leads are also qualified and unqualified. An unqualified lead is one that has come to the brand’s attention, but that will likely not result in a sale. A lead who is qualified, on the other hand, is someone that has the means and inclination to do business with you.
How many people in your community know that your business exists? Brand awareness is the extent to which people (identified as target audiences by brands) are aware of a company and its offerings. Studies on brand awareness can easily be orchestrated with in-person or online questionnaires.
There are multiple online destinations where customers can review the brands they come into contact with. Google reviews are seriously considered by many internet users before committing to a brand, so it is up to brands to field any online reviews and respond to them as soon as possible.
Does your business website show any of your kind-worded customer testimonials? Very few businesses showcase their testimonials because they aren’t that easy to obtain. It takes actually asking a client to send a testimonial, but they speak volumes about your business and the way you handle it.
A business that is thriving and offering real value to its customers will be referred to other potential customers. It’s just the way word-of-mouth marketing works. However, do you know who is referring to you? And who are you being referred to? Are they qualified leads? Take control of your referrals with a referral programme, and reward people for referring you.
Cost of acquisition
An important metric to keep in focus in 2020 is the cost of acquisition. This refers to how much it is costing you to obtain every lead that you get from your marketing campaigns. This is worked out as follows:
Amount spent on lead generation / Number of new customers as a result of lead generation = cost of customer acquisition.
Customer lifetime value
This exercise will show a business just how much revenue each customer brings to your business throughout your relationship. It gives insight regarding how many customers a brand needs to break even and to eventually make a profit. Customer lifetime value is calculated as follows:
Customer revenue per year X Duration of the relationship in years – Total costs of acquiring and serving the customer = Customer lifetime value.
There has never been a more perfect period of time to thoroughly audit your brand’s marketing activities, ensuring that you are keeping tabs on your returns, your customers’ needs, and the general health of your brand. Social media is one avenue that can easily be tracked and monitored, with tools like Facebook Business Manager and the like.
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