The Best Way To Measure Your Digital ROI
Many tend to see marketing as an imprecise science, where marketers try some tactic — a newspaper ad, a billboard, etc. — and see if the associated product sales go up accordingly. But though we do like to run tests and try new things, there are actually very precise, data-driven ways to measure your return on investment (ROI) from digital marketing tactics, especially now in the digital age. The best way to go about learning how well your marketing efforts work is conversion tracking.
Simply put, conversion tracking is collecting information about consumers’ interactions with you online. A conversion is, at its most basic, any desired action you want people to take, which can come in many forms. Here are a few examples of what conversions can be:
- Someone purchases a product on your website
- A website visitor signs up for your email list
- A member of your target audience sees your digital ad and signs a petition
- A volunteer signs up to work with your organization
Whatever your end goal is for your marketing campaign, you can track it online through conversion tracking methods.
Why conversion tracking?
By capturing the right information about exactly what you want to measure—whether it’s sales, leads, donations, volunteers, etc.—conversion tracking helps you to understand how much you’re getting from your marketing strategy, which can help you to figure out what works best for your brand and your audience. From there, you can decide what marketing tactics work for you and which don’t—and you can stop spending unnecessary money on campaigns that underperform.
How do you track conversions?
There are a number of different ways to track conversions, depending on exactly what it is you want to track. At its most basic, though, conversion tracking usually requires putting a piece of code on your website — or wherever your conversions will take place – and collecting information that way. You can then use the collective information from your website and advertising campaigns to see what lead people to become conversions – whether it’s from searching, from social media, from an ad campaign, etc.
This may seem complicated, but it’s not so high-tech and confusing in practice, as long as you know where to go (and take it from us, you don’t need to be a developer to track conversions). The two main ways to track conversions are through specific digital advertising platforms, such as Facebook and Google AdWords, and through website tracking tools like Google Analytics.
Digital advertising platforms can track conversions specifically from your ad campaigns (FB and AdWords):
- Track conversions from your Facebook campaign easily with the Facebook Pixel.
- Track & measure your conversions from your AdWords campaign.
- Get an overview of all of your conversions by setting goals in Google Analytics and learn how to access your goals in our Basic Beginners’ Guide to Google Analytics.
- Finally, if you have multiple goals to track, organize all the various pieces of code without having to access the backend of your website again and again with Google Tag Manager.
Do you have questions? We are always available and happy to help! Leave a comment below or contact us at firstname.lastname@example.org to learn more!
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As CMG’s Crafter of Strategic Communication, Amy Libka combines strategy and creativity to help clients communicate as effectively as possible. She is passionate about clear, effective communication, and enjoys crafting messages that help individuals and groups achieve their goals. She specializes in creating content and managing digital advertising campaigns for a diverse group of clients.