There are often talks on marketing strategies and the Return on Investment involved on the various platforms. But, there’s always a confusion in the later. One simple example was about a person from Cincinnati. Yes, a very famous story that I am about to repeat. So there was a guy in Cincinnati who used to carry around a card with details of the platforms he used for his business and the ROI that was achieved. So, whenever a marketing personal approached him with a new strategy about a growing platform, he would quickly reference his dog eared card and cross check the ROI (ever changing) on the same. This is just an example of the mistakes most business pros do when checking out other options. It is very clear that ROI on platforms change from time to time and cannot be determined with a card that has been written ages ago.
Taking a few factors into consideration Urbansoft has put together a few aspects to consider while analysing your ROI.
Identify the Purchase Path:
When a product is about to go live, a very obvious strategy that all apply is to go with a bang into the industry with content that spreads word on the product. Though this is the right way to go about it, there are a certain things that you might want to look up on before you dive in head on. This will involve a lot of detective work in identifying the basic path of a customer that leads to a purchase. Firstly, the customer views your product as an advert on television or on a platform and decides to look it up a bit, then searching through search engines and reviewing people’s comments he decides to purchase a product. So it all comes down to a driving ad that will help give your customers the needed push. Catering to that again would involve sharing a lot of comments and teasers on the product months before you even go live. You might also want to screen out the best performing ones and focus on that pattern of advertising when you plan on striking the market full swing.
Identifying the Target:
Every group of individuals have a different way of viewing things. A simple example is a mommy group and a teenager group. Understanding your target and focusing your ad in that direction also, including keen identification of the platforms they use would help you get the message across a lot easier and quicker.
Another aspect to consider is identifying the group that matters. A product that is in use by all might not be attractive to all groups. For example: Group A might provide a ROI of $8 while group B $1. By identifying your primary audience and focusing on selling your product to them, will help you achieve ROI as quickly as possible when the product hits the market.
Reach & Frequency:
This involves calculating the frequency at which the ad runs on every platform, the reach that it receives and customer reactions. The interest of your target audience is bound to shoot up when they view your ad for the first time, and slowly diminishes when seen periodically. Keeping this in mind you might want to space out your ad to keep your customers intrigued.
Working Out the Price:
ROI is calculated as the money spent on the advert to the income received. If you manage to cut down on the cost you spend on the ad, you will be able to see a higher ROI. There are several ways to work around this. Try working out deals with the channels you decide to use, a TV program or a particular Television channel. I have always found that working out a deal at the beginning of the year makes a difference. There are always ways to get things done.
Identifying the Right Channel:
Based on an article in the New York Times, a consumer is subjected to more than 10,000 paid ads on a daily basis. So it’s left up to the consumer to choose what is necessary to him. The key here is understanding your customer’s needs and catering to them to increase sales, identifying lost costs platforms to increase ROI and right purchase channels to help your customer complete the sale.
I hope you enjoyed your read. If you are looking for any assistance on digital marketing and branding, please don’t hesitate to give Urbansoft a call. Please visit us at urbanoft.co.