Marketing is expensive; ensure your internet efforts bring in more business.
Interactive marketing draws upon direct marketing for much of its strategy and is often referenced as "below-the-line" marketing. However, I refer to it as "measurable" marketing. In reality, all marketing should be measurable; however, the measurements sometimes get lost in the definition of marketing.
The term "marketing" describes all the activities associated with identifying the desires, wants, and needs of a target group of customers. In short, marketing means new opportunities for your business.
Marketing is not the equivalent of sales, so one might ask how they differ. From the sales perspective, sales are transactions that occur today; marketing is largely responsible for creating tomorrow's transactions.
Since interactive marketing is measurable, lets take a look at which measurements mean nothing and which ones really matter.
TRAFFIC AND IMPRESSIONS
It's important for you to know where your Web site's traffic/people come from, where they enter your Web site, and where they leave.
Important traffic questions you should ask yourself include: What are the top 10 spots visited on your site? What are the bottom 10 pages visited? We have examined sites and search engines before, but I mention it again because it's an important part of measuring your Internet marketing efforts. You need to know who is (or what sites are) directing traffic your way and why. Once you learn what works, you then need to replicate that pattern from other sites to increase your traffic.
In addition to measuring the number of visits, monitor how long the average person stays on your site and keep this in mind as you make changes. Look at both your entire Web site and the important, high-traffic areas and monitor the amount of time people engage in those areas. Also, keep an eye on the sections that tend to draw short visits (1-5 seconds). This is usually indicative of a navigation problem, or what I call a "false start," where people don't find what they expect.
Think of your Web site as a physical store and merchandise it accordingly. Ensure the things that make a difference to your customers are easily found and navigation throughout your site is largely consistent.
IMPRESSIONS AND CONVERSION
Impressions are the currency with which every marketing channel works. Impressions are about eyeballs. How many eyeballs are exposed to my ads, promotions, or Web site? This is the point where most marketing channels end; however, this is also where interactive marketing begins. Impressions mean nothing unless some of them convert into something more than merely an impression—usually sales. To me, impressions alone mean very little. There is no measure of quality and potential business until I see conversion.
Conversion can be measured in terms of time spent on your Web site learning about your product or company. Conversions are also measured in terms of engagement. Do visitors spend time in a high-value area of your site and how many impressions or visitors want to be contacted to learn more? Do they provide their contact information so you can e-mail or call them? Do they call you? When customers volunteer their personal information, it is a vote of confidence. React and respond quickly and sincerely when Internet visitors contact you. Every piece of marketing should be measured from a conversion standpoint. It's all about generating customers. The people you talk with today are the same ones who will walk into your store (and purchase products) tomorrow.
THE COST EQUATION
As we talk about conversion, cost must be brought into the equation. We all want more customers, but what we really want are profitable, long-term customers who are incremental or new to our business. From a scientific perspective, you can hold control groups from your marketing campaign. However, if your advertising references a Web site or phone number and you experience spikes in activity to those intersection points, then you have identified a result. Interactive marketing is at the intersection of science and art and you must employ both your left brain (analytical) and your right brain (creative) to be successful.
Marketing is expensive. The money you spend should be allocated to effective efforts. Be scientific about your marketing efforts; every unit you sell is associated with a marketing cost. If it is too low then your business is probably not hitting its full potential; if it is too high then you are eating into your profits. A good target for a successful marketing budget is between 5-10 percent.
Until there are scientifically proven and agreed-upon measurements available, you are the best source for measuring Internet results. Remember, your site must be clear and easy to navigate. As with an automobile in which the controls must be intuitive, your Web site's navigation should also be intuitive. A potential customer should not have to be a skilled or trained computer technician to find the information or parts they need.
Take what you have learned in your face-to-face sales and put it to use in your Internet efforts. Online customers need answers to the same questions your face-to-face customers ask. What does this part do? Is it available? Can I install it myself? (Installation instructions available for download usually answer this question.) Why should I buy it from you? And finally, how much is it?
