Learning how to measure the effectiveness of your online marketing plan can be extremely difficult if you do not know where to begin your research and analysis. How would you start to find out if the money you’re spending is benefiting your business goals? For small and medium sized business owners, a Return on Investment (ROI) value can provide one of the simplest and most direct means of evaluating an online marketing plan. It’s easy to spend hundreds of dollars on marketing programs and assume you’re receiving enough leads and traffic to justify the investment, but what if the ROI of your current plan is negative?
How to Use Marketing ROI Formulas to Report Online Marketing Effectiveness
Calculating the ROI of your online campaign is vital to ensuring that you’re efficiently allocating the marketing and advertising budget of your business. In the simplest terms, ROI is the increased revenue directly gained from an investment minus the cost of the investment. The difference from the equation is then divided by total costs of the project, which will yield an ROI percentage. ROI values are helpful in determining profitability and rate of return.
Calculating ROI can be tricky, and enlisting the help of a knowledgeable team of specialists can help clients understand the complexities of properly determining digital marketing ROI. If not analysed carefully, then a ROI value could depict a skewed view of an investment and its profitability. Simple ROI formulas subtract profits from investment, but many online marketing plans require a more inclusive rubric. When calculating the profitability of a marketing plan, all the resources, and services used in support of the program must be deducted from earned revenue to paint a clearer picture of the actuals gains from the marketing campaign. For small and medium business owners with limited marketing budgets, ROI values are valuable tools that can be used to catch revenue loss and negative impact early into an online campaign. Having access to reporting tools that examine whether a marketing plan is working as prescribed can help mitigate financial loss.
At Quikclicks, we provide easy to use marketing programs that provide clients with the flexibility to try new ideas without the hassle of a long-term contract or obligation. Unlike many marketing agencies, our services are tailored to provide small and medium sized business with online marketing services at an affordable price. We understand the stress of trying to keep up with the latest trends in digital marketing, which is why we provide online marketing solutions that are tailored to fit your specific needs. We have a proven track record of success, and our friendly staff of knowledgeable specialists are ready to help you take your business to the next level. Take the next step to growing your business by calling today for a risk-free quote and phone consultation.