Marketing that promotes business growth depends on knowing how each media touchpoint adds to the overall strategy. Making the most of your advertising budget requires access to analytics that reveal how people are responding to your adverts.
Adapt your budget to new realities intelligently
You need to revise your marketing budget since the numbers from the beginning of the year are inaccurate. The impact of new regulations and a collapsing economy on revenue will be substantial even if you meet or exceed your first-quarter sales targets.
Do not take this chance to shift resources away from your marketing efforts and toward your daily business operations. In spite of the fact that advertising costs might add up quickly, the vast majority of your earnings come from that one area. People who are housebound tend to spend more time interacting with virtual environments. They might not spend as much, but they stick to firms that make an effort to connect with them.
Recent years have seen an increase in the use of marketing attribution models by marketing departments as a means of making sense of the myriad variables their departments are tasked with monitoring and linking to tangible business outcomes.
As defined by the Harvard Business Review, “marketing attribution is an analytical approach for determining how various marketing channels and touchpoints along the customer journey affect sales funnel growth and revenue.” To say it another way, “it helps you get to a place where you can account for every dollar you spend on marketing and know what works so you can spend more on what works and less on what doesn’t.”
To demonstrate Marketing’s worth in terms of won contracts, it is essential to implement a marketing attribution model. The many attribution theories are discussed in this post.
Though simple to grasp and apply, single-touch models only tell half the story by assigning all of the credit for a customer’s purchase to either the very first or very final touchpoint on their path.
Although they provide greater insight than single-touch attribution models, traditional multi-touch attribution models assign purchase intent to specific marketing activity along the customer’s path to buy.
However, first impressions aren’t usually followed up with purchases. Businesses that try to reach the widest possible audience with brand messaging in the hopes that doing so will keep them at the forefront of consumers’ minds are likely to go under as soon as they rose to prominence in the boom times. When faced with the unexpected, consumers’ attention is diverted from marketing advertisements, and they won’t recall even one of them. Spend money wisely and effectively by directing funding toward initiatives for which you can establish measurable metrics of success.
It’s easier for companies to keep spending money on mediocre marketing strategies when circumstances are good. Brands may still increase their visibility with a diversified strategy if some of their marketing channels aren’t producing very impressive results. However, the benefits of diversity decline relative to an “all or nothing” approach during economic downturns.
Put more resources into your best-performing channels and think about where your customers are headed: online. Keeping a low profile on average channels is a viable option. Concentrate more resources on the campaigns that have shown the most promise, and keep an eye on your return on investment every week. Even your greatest channels will experience a significant drop in profits due to the current economic climate. Sometimes additional money doesn’t follow from scaling up.
Businesses that don’t optimize their spending in the meantime won’t make it to the morning. Maximize your advertising expenditures now so that you can better use your knowledge when the economy improves.
In the long run, your company won’t survive if you stop investing. For more details, lets connect on one on one call.