Analytics and reporting: How to define metrics that actually mean something to your bottom line.
We hosted a webinar on January 25, 2011, with presenters Chris Knoch and Kyle Grant. You can view the webinar online now.
Chris set the stage by describing two main situations for direct marketing:
- Unlimited Budget: Set target ROI/CPA and maximize order volume or revenue
- Limited Budget: Spend entire budget at best possible ROI/CPA
In both cases, there is a need to determine the “true” ROI. This can be particularly challenging in a situation where, for example, the sale started online but finished offline. Chris breaks it down with possible solutions and their effect on ROI metrics. See his presentation for the details.
Kyle Grant was up next, and focused on using analytics to tell a story. The story elements include where you are now, where you’re going, and how fast everyone else is moving in relation to you. Analysis should reveal the linkages between analytics data and its significance to (impacts on) the business.
Kyle explained how using analytics can move us from hindsight, to insight, to foresight. Next, he discussed defining Key Performance Indicators (KPIs), and avoiding data paralysis. He then went on with some examples and charts demonstrating results of an actual paid search campaign.
Very importantly for marketers, Kyle also discussed a simple formula for calculating the opportunity and justifying the cost of online advertising.
If you would like help assessing the opportunity gap in your own online paid search marketing, contact for a free consultation. Be sure to include your URL.