The Importance of Being Earnest…About Your Cost Per Conversion

Filed under: Internet Marketing,Pay Per Click — Brennan

The average business owner has been bombarded for the last 5 years with the idea that search marketing has the highest ROI of any marketing available, and to a point that is true. However, if you’re running any type of search campaign without any metric for results, how do you measure success?

Detailing out your cost of customer acquisition; be it a lead, purchase, or subscription, will go a long way in determining if your search campaigns are being self funded. However, determining customer acquisition from a lead generation stand point can get very long winded but, is well worth the time spent.

By determining the total traffic a campaign generates, the total traffic that submits a lead form, and the total number of lead forms that generate sales. A marketing specialist can effectively determine the return on investment that specific search marketing has provided. However, this formula is only effective in after the fact analysis.

Search marketing exists on a micro level, and because of this the ROI must be determined by the product or service promoted, and not based on a total traffic analysis. By determining several cost/goal variables for a given product or service, a search marketer can plan for success.

Advertising Cost as a percentage of sales

Product Price

Disc/Fees = Real Value of A Sale

Overall Marketing Budget

Conversion Rate Target

By determining these inputs the map for success has been drawn, and can assure a business owner that they’re marketing campaigns are self funded, and the ROI goal is determined before any dollars are spent.

The success of any marketing is based on tracking the number of customers acquired, and in the B2B world that can be a difficult metric given the length of time a conversion takes, and the fact that the most valuable conversions take place by phone. Ecreative IM can provide you with the expertise needed to not only succeed in your marketing campaigns but, make sure every conversion is tracked, analyzed, and credited towards the correct marketing investment. Contact us today for your free consultation.

Share this post:
Facebook Twitter Pinterest Snailmail Linkedin

No Comments | Leave a comment

No comments yet.

Leave a comment

 

RSS feed for comments on this post     TrackBack URL