Just because you can measure your digital marketing does not mean you know if your efforts are paying off, warns David Rogers. So you’ve added a thousand Facebook fans, but what are those fans worth? How much value does your blog generate for your firm? There is no silver bullet to measure the impact of all digital marketing, so businesses should develop a variety of metrics to assess the return on their digital marketing efforts.
What’s the Big Idea?
Rogers says the first key to developing good metrics is to know your objectives. The second is to understand how close your metrics are to measuring a financial value delivered to your business. Digital marketing metrics fall into one of three broad stages: Activity metrics (the lowliest level), engagement metrics (an over-used, under-defined term to cover anything that measures the level of customer’s involvement, attention, and commitment), and business metrics (the impact of digital marketing on critical business outcomes). “Only when you get to stage 3 can you actually answer the most important question: is my digital marketing paying off?”