Metrics & ROI - Although the exponential increase in the availability of customer and business data has enhanced our ability to measure success, it has also increased our chances of misunderstanding and misinterpreting it. ...
The following are five common errors to avoid when setting out to measure your marketing efforts.
1. Neglecting to Set Expectations
Without setting expectations with the team about what specific tactics can and cannot accomplish, you run the risk of skewing the perception of how your marketing efforts are truly performing. By setting expectations with your team at the outset, you'll save yourself a lot of misunderstandings and explanations when the data rolls in.
2. Failing to Set Measurable Goals
To set realistic, measurable goals, you should...Set benchmarks for context.Sit down with all of the partners involved (you may be surprised by the differing expectations).Change or tweak goals on the go if they've been set erroneously at the beginning.
3. Flawed Attribution
There is no cause-and-effect relationship in marketing. There is only inspiration and correlation. Drawing straight lines between a tactic and an outcome is dangerous, not only because there are so many variables involved but also because it encourages a mindset that devalues the power of the sum of the parts via integration. A high-functioning marketing plan will take all of the company efforts into consideration and look for positive trends rather than cause and effect.
4. Believing in One-to-One Digital Analytics
With all of the middlemen and variables involved, it's impossible to have perfect, one-to-one digital analytics. The only safe way to evaluate the numbers is to keep an open mind and look for changes and correlations.
5. Reducing Humans to Numbers
Unlike much of the data we analyze, human behavior is not binary. When consumers see a tactic such as a Web banner, they can choose to click on it, enter the company URL directly into the address bar, use a search engine to investigate the company or product, or simply mentally note the brand. Hopefully, all of those behaviors culminate in an uptick in Web traffic, awareness, and sales—but there is simply no binary way to evaluate it.