You probably have heard of the old adage that says, “If it ain’t broke, don’t fix it.”
While this statement might hold true for a couple of life scenarios, it might not apply to businesses. For instance, a healthy marketing campaign might need “fixing” to improve it or to channel it to a market with better prospects.
But when it comes to business decisions, assumptions are not enough. You need to know exactly what’s working and what’s to drop at all times so you can make the best out of your marketing efforts and resources.
You wouldn’t want to leave to chance a marketing decision that puts your money at stake, right? That’s why you need marketing analytics. So what is marketing analytics and why do you need it? Keep reading to find out.
What is Marketing Analytics?
According to Peter F. Drucker, (the father of management theory), marketing analytics is the process of measuring and analyzing data to understand the impact on marketing activities, improve ROI, and identify areas that need improvement.
Analytics employ statistics, machine learning, and predictive modeling to reveal insights and answer questions. In business, marketing analytics employ metrics gathered from various sources to measure the performance of marketing initiatives and trends. It’s also important to understand what marketing trends to ignore and to follow. Otherwise, you are risking ending up in a situation when you have to track everything without getting anything from it.
As such, marketers use marketing analytics to determine how their marketing efforts are performing. Without marketing analytics, it would be difficult to measure ROI or determine the effectiveness of your marketing campaign.
If you want to be able to see data about how your campaigns are performing, you’ll need marketing analytics software. The best marketing analytics tools can connect all your marketing channels to one platform and manage all your campaigns in a central place. They are also able to provide end-to-end business intelligence including SEO, performance reporting, etc.
Why Do You Need Marketing Analytics?
Your “To Do” list is long enough.
You’re launching campaigns, raising brand awareness, nurturing leads and scheduling follow-ups. As long as you’re getting quality leads, it’s safe to assume you’re doing everything right. However, that might not be entirely true.
Sure. You might have a gist of what works and what doesn’t (and you might even be right) but measuring your campaigns is the only way to prove it. That being said, a comprehensive marketing analytics tool will help you to:
- Measure how your marketing campaigns are performing
- Understand your target audience
- Monitor trends
- Identify areas that need improvement
- Understand the ROI of each program
With marketing analytics, you get a clear picture of the effectiveness of your marketing campaign and insights into what programs to improve or drop.
How to Get Started
To get started with marketing analytics, the first thing you need is to know what to track and where to track it. When it comes to measuring marketing KPIs, many marketers concentrate on the usual parameters: leads, revenue, and cost per acquisition.
However, there is much more you can track. Here’s a list of important metrics that can give you a clear diagnostic picture of your marketing performance:
- Organic traffic
- Sales revenue
- Cost per lead
- Inbound marketing ROI
- Landing page conversion rates
- Social media engagement
Once you’ve laid down what you want to track and identified the right channels for your campaigns, the last step is to look for robust marketing analytics software. Choosing the right tool can make the difference between making a win and failing to reach your marketing goals.
For more information on how to choose the best marketing analytics software, contact TapClicks or visit their website.