Giving Marketers the Tools to Finally Conquer the Great “Marketing ROI” Challenge

 

Commentary:

“Marketing ROI” — scary words for marketing professionals, as getting a clear picture on how marketing campaigns directly relate to larger company KPIs is one of the most persistent challenges in the industry. Marketers are vocal about it, too. Marketing intelligence companies surveying marketers find that 80% of marketers self-report facing internal ROI pressures, yet 60% lack confidence in their marketing data, and 47% believe they don’t have the skills or ability to calculate ROI on their campaigns at all.

Why do marketers feel it’s so hard to measure and prove their ROI on marketing investments? Is it an internal miscommunication? Is it a lack of resources? Are campaigns themselves lacking the proper definitions for useful ROIs? Peter Mahoney, Founder and CEO of Plannuh, a marketing operations company, gave us his perspective on the challenges marketers claim to have around measuring ROI, and breaks down some ways to rethink marketing campaigns to make their impacts easier to analyze.

Abridged Thoughts:

So people often ask me why marketers think it’s so hard to measure and prove their return on investment for their marketing investments. It turns out that it seems simple, but it’s much more complex than you might think. First of all, what’s the big deal? It’s return divided by investment. That seems like a very simple equation. So let’s break it down a little bit and look at the individual elements to see what it takes to actually calculate ROI. First of all, on the return side, if you ask your CFO, the CFO would say that return is actually the marginal return of profit based on the investments that I made. And that’s not the language that marketing people think of most of the time. Best case, they think about revenue. Sometimes they think about pipelines, sometimes they think about leads. So you really need to translate that. So what happens if your campaign is focused on early stages of the sales funnel? You need to think about how that will translate to, ultimately, pipeline, to revenue, and then to marginal profit sometime in the future. And that can be difficult for people to do.

More Like This Story:

How to Track ROI with your Content Media Channels

Should AV Marketers Treat Content Creators as Prosumers or Professionals?

Follow us on social media for the latest updates in B2B!

Image

Latest

innovations in healthcare
Innovations in Healthcare: A Discussion with Dr. Craig Joseph at HIMSS 2024
May 24, 2024

Innovations in healthcare were easy to spot at the recent HIMSS 2024 conference. Healthcare Rethink’s Brian Urban caught up with one of those innovators for a live discussion at HIMSS 2024. podcast, Their conversation opens a window and dialogue into the cutting-edge trends reshaping healthcare technology today. This episode features Dr. Craig Joseph, the…

Read More
Preventing burnout
Achieving Professional Growth and Preventing Burnout: The Importance of Time Management and Support Networks in a Fast-Paced World
May 23, 2024

In today’s fast-paced world, balancing professional growth with personal well-being is more crucial than ever. With the rise of remote work, digital transformation, and the constant hustle culture, finding this balance has become a significant challenge for many. A survey conducted by Deloitte suggests that a whopping 77% of professionals experience burnout at work….

Read More
Fan-Centric Business Transformation
Prop Room
May 23, 2024

In this episode of the Fans First series, Jesse Cole, the mastermind behind the Savannah Bananas, shares with us that in the vibrant world of marketing, creativity knows no bounds—a philosophy embodied by a prop room and studio teeming with eclectic costumes and outlandish ideas. This creative hub, seemingly disconnected from conventional themes like bananas,…

Read More
Ace Gardner and Jacob Lewis discuss NIL Deals and Transfer Portals
NIL Deals and Transfer Portals are Also Impacting College Staff and Their Roles
May 23, 2024

College sports is undergoing a significant transformation with the advent of Name, Image, and Likeness (NIL) rights and the increasing prevalence of transfer portals. These changes are reshaping how college staff operate, presenting both opportunities and challenges. With the rise of NIL deals and transfer portals, understanding the behind-the-scenes impact on college coaching staff…

Read More