As marketers it is important to understand that Return On Investment (ROI) is not the ‘Holy Grail’ of determining the success of business goals. In a recent study published in Forbes.com, ROI is not what matters most in the business clime today. It seems that more and more companies are finding more success engaging in customer acquisition (42% of respondents) and continued customer service (36% of surveyed respondents) or maintaining happy customers. Big corporations are obviously putting more money here compared to companies who still focus on ROI as their gauge of success — which only registered 21% score.
The study is also saying that more and more business owners appreciate the purpose by which marketing is being conducted now unlike yesteryears where ROI is the main criteria for successful campaigns. Why the different trend? Competition. The market is now facing more choices and companies offering similar services will be against other businesses, which will compete for attention and retention of customers’ loyalty. You can say that customer preferences have become more complex given the amount of information where buyers compare brands and search for reviews on the Internet. This is especially true when our region in Southeast Asia will integrate and tariffs removed creating a huge outflow of companies competing for attention in a region of 600 Million citizens.
How can your company survive in such a climate? By studying data streams that can produce insights — data streams that Analytics will form to create information, which translates to a richer understanding of your market. Before, it used to be beneficial to reach millions of eyeballs to create brand awareness knowing after that a few can help your brand grow further. These few are called brand evangelists or to some, Super Fans, who has the ability to influence more customers and use their network of influence that can boost more awareness, more parity, and perhaps even more sales for the brand.
Business Owners, CMOs, Brand Managers, and those in-charge of communications should appreciate the importance of Analytics so metrics can be formulated to produce Key Performance Indicators (KPis) that will measure performance of online marketing efforts. From Banner Ads, to Mobile Apps, to Search Engine Marketing, to Google AdWords, to Social Media — each one can be used to reach your desired market and potentially reach ROI.
The time to appreciate Marketing in this digital age is now. Businesses need to realize that being part of the trend to keep customers happy is more important than catching the trend after. I cannot emphasize enough the veracity of creating frameworks that will churn more customers in the process. Contact points consumers use today is evidently no longer exclusive to Television, Radio, and Print. Customers are now using Smartphones and Tablets — and soon Internet Television, Google Glasses, and others — as mediums where each one can carry your brand’s message through different touchpoints such as Social Networks, Search Engine Marketing, AdWords, Banner Ads, and Email Marketing to name a few.
So it is true today that the success of a brand to remain profitable in the future is hinged in using the right channels, which stems from analyzing mined data that we need to gather today in order for businesses to survive tomorrow.
I invite you to join the 7th Internet and Mobile Marketing Association of The Philippines (IMMAP) Summit this coming Thursday, 29th and Friday, 30th of August to take part in a conference where further discussions will center on Return on Investment (ROI) in this age of Digital Marketing. Register here for more details.