Thought Leadership

10 Ways to Prove a Return on Marketing Investments

Direct Marketing News

July 17, 2015

By Sloan Gaon

Marketers understand the importance of evaluating campaigns for both brand impact and tangible performance goals, such as direct sales. For marketers to demonstrate a clear ROI they have to stop thinking in traditional ROI terms and embrace a new way to measure return on marketing spend: return on engagement (ROE). We believe ROE is a way to rewrite and rewire the marketing playbook as we know it today. ROE is a way to look at the performance of a campaign. New, sophisticated technologies have helped the ad ecosystem to solve for previous measurement and tracking gaps so we’re now able to determine ROE using metrics like time spent, scroll rate, and shares. ROE as a campaign metric is particularly important considering the rise of content marketing. Savvy content marketers know that the results of a campaign need to focus on meaningful conversations—true engagement. Tracking marketing performance can be like a winding road, and ROE shifts us away from the traditional sales funnel toward a new consumer engagement loop. This loop focuses on continual awareness and the interactions and conversations that lead to conversions. Think of it as a continuous engagement cycle that moves the marketing industry away from focusing measuring performance by “getting that click” and instead to focusing on time spent and deeper interactions, drawing consumers toward your brand and enlisting them as loyalists and evangelists. ROE allows the brands of the future to measure what really matters: meaningful conversations and brand engagements.

*The excerpt above was featured in the Direct Marketing News eBook 10 Ways to Prove a Return on Marketing Investments. To view the complete eBook, visit: http://media.dmnews.com/documents/136/otq-marketingroi_ebook_2015__33808.pdf

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