How do you measure the impact and ROI of your marketing campaigns across different channels and platforms?

Measuring effectiveness and efficiency goes beyond direct ties to ROI. 【Old Way】 → Using ROI for all investments and activities, even when attribution is unclear → Thinking that the highest ROI corresponds to the best spending level → Using ROI as the sole strategy driver 【New Way】 → Prioritizing effectiveness over efficiency → Getting big first, then worrying about your margins → Focusing on metrics like ROO (return on objectives), eSOV (excessive share of voice), and ROMI (return of marginal investments) instead

Rule number 1: 'Beware of the vanity metrics'. From that perspective, start your strategic approach to goals and KPIs. Focus on essential metrics per channel, campaign phase, and especially for each engagement type. Plan ten steps ahead and define metrics that will bring tangible results. Data carries a unique compass for growth—be tactical when determining goals that you will pursue.

Define Key Metrics: Clearly outline the specific key performance indicators (KPIs) relevant to each channel or platform. Attribution Modeling: Use attribution models to understand the contribution of each marketing channel to conversions and overall ROI. Analytics Tools: Leverage advanced analytics tools to track user behavior, conversion paths, and engagement metrics across various platforms. A/B Testing: Conduct A/B testing to compare the effectiveness of different approaches within a channel and optimize based on results.

The key is to start with clear campaign KPIs, tailored for each platform. Then, connect these channels to robust analytics tools. By cross-referencing data, you can gain insightful analyses. Don't forget to consider any cross-channel overlapping, which can offer a more comprehensive view of your campaign's effectiveness.

Measuring Impact and ROI: Use analytics tools to track key performance indicators (KPIs) like conversion rates, engagement, and sales. Attribute conversions to specific channels using multi-touch attribution models. Calculate ROI by comparing the revenue generated from campaigns against the costs.

A tracking system is vital because you need to learn—the best way to learn how your campaign works is to make trackable markers and continuously monitor. UTM method is convenient and super easy to use. Define target channels, mediums, and campaign parameters that will exhibit your performance in your monitoring platform. This approach will clear the view for you and eliminate all unnecessary questions about collected data you might ask if the tracking system is not structured. Think strategically, team up all metrics from all engaged channels, and funnel all metrics to one united data lake. The next phase is optimization and campaign improvement. Leverage the presence of all collected data.

In a way, the system used to track performance will be conditioned by the type of marketing project or campaign being implemented. Capturing data from the full array of touchpoints can be challenging. While digital media and channels facilitate tracking through different tools, everything outside the "digital world" has to be measured as accurately as possible. RFID, NFC, old-fashioned coupons, vouchers, eye-tracking systems, and QR codes are only some of the options to trace impact. Once robustness is built around data collection, a credible attribution model will define the real economic impact of those marketing performance indicators.

The most popular way to track your campaigns is Google Analytics, it provides you with accurate information that can help you to understand and measure ROI of your campaigns. Additionally I would say that you should also go micro on those analysis by analysing for example influencer campaigns not only on conversion but on engagement and awareness through the appropriate platforms.

In my experience, there is a great risk of only evaluating the short-term ROI of the campaign and losing sight of the profit generated in the long term. What happens is the following, often in the short term a campaign makes a loss, with its CAC being greater than the value brought by the lead. However, in the long term the LTV can far exceed that initial “loss” and in the end the ROI becomes positive. This is especially true in B2B markets with long, complex sales of high-ticket products. So, my conclusion is that always look at the long-term value of the lead before making any decision whether the ROI was good or bad.

When analysing ROI, you should be very careful about the attribution model you're using. e.g. Just because someone came direct to your website, doesn't mean that's solely responsible for the revenue and margin created. If your business is big enough, far better to go down the econometrics route of Marketing Mix Modelling (MMM) as well as undertaking some testing.

He aquí uno de los temas más controversiales del momento… ?La data lo es todo? Para mí, no. La data no habla generalmente por sí sola, es necesaria la intervención para convertir esos datos en información valiosa para la empresa. Esto lo hacemos a través de un análisis exhaustivo y un pensamiento orientado a la mejora, hacernos muchas preguntas es vital para optimizar nuestras acciones y poder tener mejores resultados.

Double down on what works and improve underperforming areas. Shift budgets and tactics towards high-ROI activities. Enhance campaigns for relevant KPI lifts. Build on successes by scaling campaigns, reiterating them, or applying strategies to new channels.

A deep understanding of the 'why' is most important and then mapping the 'how'. Based on the answers of why a particular campaign is significant , the ROI metrics can be defined. In the most critical campaigns , there will not be a one size that fits all.

Here's a fresh idea to toss into the mix. Think of our marketing campaigns as members of a soccer team. Now, to keep track of how each member performs, we've got this neat tool called the "Marketing Scorecard." It's like having a quick look at the scoreboard during a game. With this, we can easily see which campaigns (or "players") are scoring goals and which need a bit more coaching. We can set common rules to judge them, dive deep into what each campaign is best at, and make fast moves based on how the game (or market) is going. In simple words, it’s like having a cheat sheet to always know how we're doing and where to kick next!