The capability of determining how effective are the activities involved in marketing and to prove that value to the bottom line of the company is more important than ever before for professionals in the field of marketing. Marketing personnel must be able to place quantification markers on the effectiveness of existing programs and to trace and judge the return on the investment made in marketing over a period of time in order to be able to document that the budgets for the department or group are worthwhile.
In perhaps no other area of business activities, marketing personnel must have quantification so they will know whether the investment is providing expected and anticipated returns. Marketing definitely is a business activity that requires tracking in real time.
As with many of the performance metrics developed by a company, it’s important that all levels of management be aware of the role of marketing in the business before attempting to set metrics which reflect how well the marketing group is meeting the satisfaction of the goals.
In order for the business marketing group to be successful, they must improve the return on investment and must be able to prove that their methods are working.
One of the measures of accomplishment of any campaign is the use of a survey. This can be tied effectively as one of the measurement devices for determining whether or not the customer has found and is using the marketing information which has been developed by the company.
Obviously marketing is related to the bottom line revenue figures but to wait until an entire campaign is finished before checking to see if it worked or not makes it difficult to respond early in the campaign to tweak something which is not working as well as it could be.
Instead of measuring the success of the marketing campaign by how many sales have been made, use metric on increasing the sales list through such methods as a direct marketing email list. If the marketing group is effectively reaching and developing leads then having people joining an email list of some sort would be an effective way of determining whether or not you are reaching for target audience.
You can determine the success rate of the marketing campaign by measuring the number of people who are responding to an email request for free information. As your marketing group learns more about the potential customer, the products which you offer are more tailored to the people who are most likely to respond to that particular offer.
The assumption is always that the more contacts a certain individual has with your organization, the more likely he is to purchase from you. So if you are measuring various factors and features which together make up an effective marketing plan, you can use metrics such as the growth of your email distribution list as one very effective metric. As your mailing list grows, it is almost inevitable that your customer list will grow as well.