If your company is like most, you probably track some aspects of your marketing performance; but manual processes, fragmented technologies, and the perception that not all marketing can effectively be measured makes monitoring KPIs (Key Performance Indicators) a daunting task. And most importantly, are you even tracking what’s most important?
Ready to make a New Year’s resolution? How about: "I will start to measure my marketing KPIs to better understand what works for my distributed organization.”
Sounds exciting…impossible...futile? Never fear, here's how to get a firm grasp on the types KPIs that you should be tracking.
Today, KPIs Are Equally as Important as Brand Image
Modern Brand Managers and CMOs are more focused on achieving KPIs than the traditional marketing priority of simply "brand building."
Today’s marketing requires defining and executing the correct marketing mix to gain consumer engagement that ultimately drives sales or generates leads. But how can you as an astute marketer learn and tweak what works as you go?
Your marketing should be designed to yield data that you can use to evolve your campaign themes and distribution plans to offer programs that your local partners will find valuable and help drive sales.
The Two KPI Buckets to Measure in Distributed Marketing
As a brand in a B2B2C channel, you have 2 main sets of metrics that you’ll want to measure: the engagement of your network members and the conversion/redemption rates of your offers by consumers.
1. Network Enrollment
Before you can determine the success of your marketing campaigns, you need to know how many of your network members are embracing and distributing your messages. Its important to know whether your theme or distribution method is relevant to your local business partners. After all, how can you expect to succeed at the brand level if your message isn’t reaching potential consumers?
And don’t forget that what used to work 2 years ago often doesn’t anymore in terms of marketing message engagement. With today’s deluge of media and information, consumers are fatigued or have changed the way they respond to marketing. Your network members are your front-line partners and understanding what they want in terms of marketing support can help craft more effective campaigns for your brand.
It’s simple too, you really just need to measure the quantity and percentage of network member enrollment in a campaign to be able to draw some important conclusions.
What Can You Learn?
- What is your member appetite or timing for specific offers?
- Are your members more interested in ongoing programs (set it and forget it) or are they actively engaged in managing and controlling their local marketing?
- Are your marketing campaign themes relevant to your network partner’s business goals and objectives?
- What is the desired frequency that they want to publish messages to their audience?
- Are single-channel or multi-channel campaigns more enticing?
2. Consumer Conversions
This probably seems obvious -- but it can be difficult to administer at the brand level, especially if you don’t have a robust technical platform that can link and attribute all the steps in the sales funnel. It is especially tough to assign dollar values, especially if your CRM/POS system doesn’t record redemptions.
Coca-cola might know how many 2 liters they sold last month, but even they probably can’t map it down to every coupon, special or offer. So relax and just do your best to capture the consumer data you can. Analytics is an imperfect science, but you can still learn enough to be able to get better and better as a marketer.
Most modern marketing now falls into 3 buckets for conversions:
Description: This would encompass sending outbound marketing communications to a “home grown” (opt-in) or purchased (not so opt-in) list and asking for the recipient to take some kind of action. Typically this is in the form of either a landing page action or through a download of some kind of asset or coupon.
Degree of Difficulty: Easy to implement and measure but must have a good list to target.
Description: This would include inbound interactions with consumers from a website, social media platforms and other 3rd party sites or mobile apps. As with e-mail conversions, the actions are measured through a landing page or online action -- the main difference is that these interactions primarily rely on the consumer to find you.
Degree of Difficulty: Easy to implement and measure, but your online presence has to be optimized for maximum engagement. Without it, its like having a store with no sign out front. Its not really difficult -- it just takes a little effort.
Traditional In-Store Conversions
Description: The traditional method of measuring conversions is to promote an offer and then track the number of incremental phone calls or traffic it generated.
Degree of Difficulty: Easy to implement but tough to measure. It becomes unwieldy to query every phone call and person that makes an in-store visit to determine if their action was driven by your advertising.
Making Your Data Work For You
Once you start evaluating adoption of your marketing campaigns with your network members and the subsequent conversions of your offers with consumers, you’ll be able to draw some distinctions about what is successful and isn’t.
Continue to measure, adapt and evolve your campaigns, always keeping in mind that you have 2 audiences to entice. If you can’t provide value to both, then your campaigns will fail to penetrate the market.