If you’re struggling to prove the ROI of your inbound marketing strategies, you’re not alone. Inbound marketers identify proving the ROI of their inbound efforts as their greatest challenge, according to the 2014-2015 State of Inbound Marketing Report. As the use of inbound marketing strategies has grown, so too has the demand for proof of the ROI of these strategies. Relying solely on intangible benefits, such as brand recognition, awareness, reputation, and community goodwill, to prove the value of inbound marketing strategies simply isn’t enough anymore. The pressure to prove ROI is understandable: companies are putting more of their marketing money into inbound marketing strategies, and they need make sure they are investing their money wisely. As a dedicated inbound marketing company, Blue Interactive Agency understands just how critical it is that you know how to prove the ROI of your inbound marketing strategies. In one of our earlier blogs, we provided a step by step guide to proving inbound marketing ROI though analytics; combine it with the following inbound marketing ROI tips and facts to deliver a winning presentation that will impress the toughest boss or board.
The importance of proving return on investment (ROI)
When you take a close look at inbound marketing statistics, the importance of proving the ROI of your inbound marketing strategies is undeniable. Some of discoveries in HubSpot’s State of Inbound Marketing Report reveal why the ability to prove the ROI of your inbound marketing strategies is such a critical skill for today’s marketers. Key takeaways show that proving the ROI of your inbound marketing strategies allows you to:
Generate higher ROI
Inbound marketers that measure ROI are more than 12x more likely to be generating greater year over year ROI (vs. lower ROI). When you’re monitoring the ROI of your strategies, you can adjust your approaches as needed, focusing on the more successful strategies and tweaking poorly performing channels to make them more effective.
Safeguard your budget
The report found that proven past success with inbound marketing strategies has the greatest impact on inbound marketing budgets, even more than economy.
Knowing exactly what results your inbound marketing strategies are achieving is vital to your company’s success. Being able to convey those results in clear and understandable way is just as important, so you can give your board members concrete proof that inbound marketing efforts are working.
Proving the ROI of your inbound marketing efforts
Marketing analytics software can provide you with all the information you need to prove the ROI of your inbound marketing strategies. As a general guide, you will need to provide the following metrics to demonstrate ROI:
- The number of contacts your inbound marketing strategies are generating, channel by channel
- The number of conversions accomplished by each of your inbound strategies
- The quality of the conversions
- How much profit your inbound marketing strategies are generating
There are several key tips to keep in mind when proving your inbound marketing ROI:
Focus on incremental changed values
Show incremental changes on a monthly or quarterly basis, such as the number of new leads each of your inbound marketing channels brought in, or the number of conversions each channel generated.
Look at profit, not revenue
A common mistake is to measure returns in terms of revenue instead of profit. Neglecting to factor in the cost of your inbound strategies will skew the numbers, set unrealistic expectation, and hurt your credibility.
Proving the ROI of your inbound marketing strategies has become an essential ability for marketers today. As the HubSpot Partner Boca Raton companies rely on for expert marketing advice, Blue Interactive Agency is always ready to provide complete support and assistance with every aspect of your inbound marketing strategies. Whether you are interested in using HubSpot for your marketing automation needs or are looking for a one-on-one tutorial in using your current analytics to prove your ROI, we can provide you with comprehensive marketing support services to ensure you achieve your goals.
Contact us at Blue Interactive Agency today at 954-779-2801 for more inbound marketing tips along with expert marketing support services to help you achieve your marketing goals.