4 Business Growth Benchmarks Marketers Need to Follow
Digital marketing is a vast and ever-growing industry. With so many evolving methods of promoting your brand and attracting new customers, it’s hard to know what’s working and what isn’t.
What if you’re investing time and money into strategies that aren’t quite working for you? And how can you measure what’s getting you the best result?
Different companies and industries use different ways to benchmark business growth. Whilst retailers focus on in-store visits and online purchases, others might focus on social media engagement and brand awareness.
There are some key benchmarks however that most companies will be able to use in order to track their success.
1 – Revenue
This is probably the most obvious of all. For 99.9% of companies, revenue is key. Even not-for-profits have a certain focus on making money in order to be able to re-invest it in their cause.
One simple way of tracking your progress is by seeing whether your overall revenue has increased. If the company isn’t making money, then obviously there’s something wrong.
Understanding the specific impact of your inbound marketing strategies on your revenue, however, is paramount.
Whilst your overall sales might be going up, if the sales revenue generated by your inbound marketing is low or non-existent then you are probably wasting your money or need to change your tactics.
Analyzing the revenue generated specifically by your inbound marketing campaigns is key to making the most out of your marketing budget and maximizing your ROI.
2 – Social Media Conversion Rates
Social media is an undeniable force in the marketing industry. Ignoring these channels will do you no favors. If you’re not already utilizing social media as a major part of your marketing strategy, you should get started ASAP!
With numerous channels and apps available like Instagram, Facebook, SnapChat, Twitter, LinkedIn, Pinterest and many more, it’s hard to know where to focus your efforts.
If you’re using a broad range of social media channels, you can look at the overall numbers but if you have the time and means to do so, you should inspect each channel individually to analyse their value.
Depending on your customer base and demographics, some social media apps or channels may be far more beneficial to you than others. Using data to analyse which ones are most fruitful will help streamline your marketing efforts, lower your costs and boost your results.
When analyzing your social media output, consider the following:
- Number of lead conversions
- Number of customer conversions generated
- Percentage of traffic associated with the channel
3 – Organic Traffic
How many people are finding your website organically by searching on Google and other search engines? If you can create high organic traffic, you will minimize your digital marketing costs as users find your website or products without advertisements or costly campaigns.
The term “organic” here is a little misleading however as in order to be easily found on Google and other search engines, you must have invested some time and effort into your SEO (Search Engine Optimization) strategies.
SEO is a huge part of your visibility and success in the digital world. No matter what your business entails, SEO should be a key part of your marketing strategy.
Whether you’re a plumber or an online retailer selling novelty cupcakes, you should be utilizing keywords and other basic SEO practices to maximize your visibility. For example, if you’re a plumber providing a blocked drain cleaning service then your website and content should include those keywords wherever possible.
4 – Landing Page Conversion
A landing page is a stand-out page created specifically for a particular marketing campaign. Your landing page is the first thing a customer will see when they engage with your product. You may have more than one landing page depending on the campaigns or products you are promoting.
You must have an engaging landing page with a simple and clear call to action in order to make a sale. Having a great looking page is one thing but if it doesn’t convert the visitor in some way (whether that’s signing up to a free trial, buying a product or joining your mailing list), it’s not as effective as it should be.
To track the success of your landing pages, you should monitor the following:
- Traffic vs conversion – if your page gets a lot of traffic but very little conversion, it isn’t working.
- Bounce rates – in simple terms, this is the number of users who briefly visit the site then leave
- Average time on page
- Traffic source
- Form abandonment rate
By analyzing user interaction with your landing page you can identify the weak spots in your sales process.
If your form abandonment rate is high for example, it indicates that customers are interested in your product but the process of purchasing or signing up is too lengthy or complex.
You can easily fix this and increase sales and conversion rates by making the ‘check-out’ process simpler.
The key to your success in marketing your business will be in identifying what’s working for you and what isn’t.
If social media posts are getting you more website traffic and increasing your sales, then it’s a no-brainer to keep investing a large portion of your budget in social media to maximise this.
Likewise, if your organic website traffic isn’t converting into actual sales, try utilising other tactics.
If a method isn’t working well straight away, try refining your approach. The method itself might end up working just fine but a small part of your process isn’t quite right yet. Ultimately, however, some things might just not work for you and if that’s the case, don’t be afraid to let it go and focus on the marketing methods that are getting you results.
There are endless different ways of marketing online these days and there are many ways of tracking their success.
Ultimately, as long as you focus on conversion rates and tangible results, you’ll be able to clearly see what works best for your business and tailor your approach accordingly.