Computational guide for digital marketing plan

For any business strengthening and profiling, its web presence is crucial in this technological era but for this purpose, the right digital marketing agency selection is not an easy task. There are many obvious and hidden aspects to be considered while planning and finalizing the digital marketing campaign with the help of available marketing company options. Promise fulfillments, cost factors, success stories, timelines, etc. are some of the major factors to be worked out here. Whether you are a proud owner of a small startup or a medium-sized enterprise or even a global player you require appropriate guidance for planning and executing your digital marketing campaign successfully.

 

We Dreamworth Solutions is ready to guide, mentor and educate our readers and customers about the selection of right digital marketing firms for expanding their business online. As usual Dreamworth Solutions show a research-based, positive approach to deliver this premium quality guide to its web users that will help them in planning their digital marketing campaigns.

 

For any entrepreneur following aspects are of utmost important to plan the digital marketing campaign through the right source i.e. the digital marketing partner capable of fulfilling your marketing requirements, in a cost-effective manner and maximum ROI accompanied by proven results.

 

• Proper Understanding Of Client’s Website: Basically, marketing is all about connecting and communicating with your customers and prospective customers in their language on the platforms and channels where they hang out. For the right marketing plan, the prerequisite is that you need to understand your audience properly.
• Well structured processes/ operations and documentation: When you’re starting a business, it is not any unorganized task but a very well planned and structured process that requires proper documentation and processes around your workflows.
• Use of appropriate tools : Inbound marketing campaigns necessitate a range of tools from start to finish, such as Aweber or MailChimp powered with a variety of features to help automate emails and associated tasks, run your email list, and tools such as Google Analytics or KISSmetrics for more sophisticated patterns, analysis, and data. Sophisticated tools will account for user training sessions, and cost for training.
• Consistency: The average time it requires to observe consistent organic traffic to your web portal from SEO is approximately 5 to 6 months. Accordingly, you have to be consistent and regular with your content delivery and creation plans for months at a time until you reach the expected ROI.
• Quality: Maintaining content quality is not an easy task and it’s not just about writing random blog posts but it is a lot more than it. It covers many aspects like targeting audience, crisp and relevant content, creativity in content forms, and last but not the least content that will be loved by “Google” and acknowledged with high ranking.

 

This is all about the guiding factors while choosing the right digital marketing partner.

 

Computational Aspects For ROI

 

Now, we take pride to introduce you with more technical aspects like calculation of ROI for various digital marketing tasks.

 

Calculating ROI for an SEO Campaign

 

According to experts, ROI for an SEO campaign can be calculated with the help of the following formula.

 

Anticipated ROI = (Anticipated Revenue from SEO efforts – Proposed Cost of SEO Project)/Proposed cost of the SEO project

 

Let’s elaborate on this with an example. Suppose you run your business with a web-portal here your anticipated ROI can be computed based on various parameters like the average monthly visits to the business website, the average conversion rate of the portal, and average order value.

 

For example, consider your average monthly user visits are 50,000, the conversion rate for the business is 0.68%, and the average order value through the business portal is $176. In this situation, your marketing agency tells you that you might require spending $20,000 for SEO projects in order to boost SEO ranking of your business website.

 

At this stage, we recommend you to determine your “break-even” point. Forget about the classical and technical definition of breakeven point, in our scenario, it is the point at which the business will generate a positive ROI from a partner agency and can be finalised by the proposed cost of project / average order value. So in your case breakeven point is 114 sales.

After finalising your breakeven point you can work on additional traffic you need to break even by applying the following formula—

 

The number of orders needed to break even / e-commerce conversion rate.
So with given statistics, your website will require 16,765 visits for breakeven point. However, you will not assure the expected ROI by reaching the only breakeven point. As a prominent name in the Digital Marketing industry, we suggest you double the results to reach the maximum ROI. Hence, after doubling the breakeven point’s value for the number of visits i.e. 16,765 we get the ideal value of the number of users i.e. 32000 for attaining maximum ROI.

 

Computing ROI for Social Media

 

Social media is one of the significant and toughest domains of marketing. In many cases, most marketers don’t know how to compute real ROI of social media platform beyond basic metrics such as “likes”, “shares” and “favorites.”

 

We Dreamworth Solutions an excellent Digital Marketing Partner is ready to simplify your journey of right digital marketing firm selection by providing proven calculation methods that well-equip you with a scientific approach and precise computations.

 

While calculating ROI for social media you should first decide your end goals. What do you finally want to accomplish through a social media platform?

 

According to Buffer following goals you could track:

 

• Clicks on the link in the update
• Online purchases
• Filling out the contact form
• Signups for newsletter
• New followers
• Downloads of.PDF file
• Time spent on the important web page

 

The further step is to actually monitor and track your selected goals. E.g. You can monitor website actions (i.e. sales, resources downloads, registrations) in Google Analytics or other sophisticated tools like KISSmetrics to receive better insights on who user visits and user actions.

 

Thereafter you need to finalise a specific monetary value to the actions fulfilled by the users. Lets elaborate in brief--

 

• Lifetime value — It refers to the average dollar amount earned per customer.
• Lifetime value x conversion rate — This figure tells you how much each potential visit is worthwhile.
• Average sale — This is the average purchase transactions through your business site.
• PPC costs — This digit represents how much to pay to use ads to fulfill the same social media actions.

 

Case Study

 

The following chart presents the ROI of different media platforms.

 

 

One way to compute the ROI of business’s organic social media follower count, shares, likes, etc., is by estimating how much it would take for you to achieve the same figures via paid ads. For example, if you are an option to pay $0.25 per follower, and you carry 1,000 followers, then the calculation is simple with a return of $250.

 

Now, you can subtract the cost of time, the cost of the tools employed, and ad spend from this number to compute the real return on investment (ROI) that marks as the bottom line.

 

Buffer has defined some benchmarks on how much popular social media channels costs based on their performance and results:

 

• Facebook reach average — $0.59 per thousand impressions
• Facebook like average — $0.50 per page like
• Facebook click average — $0.50 per click
• LinkedIn — $2.00 per click
• Promoted tweet — $3.50 per thousand impressions

 

Estimation of ROI for an AdWords Campaign

 

Estimating your ROI for your AdWords Campaign isn’t a simple task.
Google Analytics users would have noticed that there’s a default tab that presents the ROI of AdWords.

 

• Google Analytics merges your total revenue from both website transactions and goals and hence leads to double counting. A simple example, if a user on your business web site adds something to the cart; it turns to be a “monetised goal.”
• Also, Google assumes that all your revenue is considered as a profit since it can’t add in the costs of your business.

 

Here’s an example of a Google AdWords ROI report:

 

 

ROI here is calculated as revenue – cost/cost.

 

In the example illustrated by Brian, you’re getting a 500% ROI if your revenue is $600 from$100 ad expenditure. However, you also should notice that--

 

• When a commodity or service on your portal is purchased, you might get both e-commerce revenue and a goal value considered for a single transaction mostly determined by how Google Analytics is configured on your business website. Here the twist comes, the default ROI calculation offered by Google Analytics covers all types of revenue .i.e. transactions & goal values. This calculation can throw off your numbers.
• Please note that in “Keyword 1” in the first row of the Google Analytics report screenshot, the ROI column has the number 823.33% implying that you can spend 9x as much on AdWords and still observe positive ROI. This is obviously contradictory and false.

 

Aa per Brian’s analysis, there’s a huge difference between the default ROI shown in Google Analytics for every keyword compared to the actual ROI.

 

Now real ROI calculation should also cover your profit margin. The computing would be easy with the formula revenue x margin – cost/cost.
In Brian’s example, if your profit margin is 0.4 and your revenue and cost are $600 and $100 respectively, then your ROI would be 140%.
Or in simple words, you can afford to use 140% more on AdWords and still get positive ROI. However, if you just relied on Google Analytics report, you’d think it would be 500%.

 

Content Marketing—ROI Computation

 

It is important to have the right and precise metrics in place when calculating the effects of a good content marketing campaign. There are a few key factors that you should be sure to work out and measure from time to time.

 

• Unique visits - Unique visits are referred to measure how many individual people viewed your website/content in a definite period of time.
• Geography - It’s also crucial to get insights on where your readers are located. By getting these insights, you can plan more targeting with various options like paid advertising and other campaigns that will suit your business requirements. Mobile readership - You should also track if readers are actually reading and using your content or just landing on the said page. Bounce rates/time spent - High bounce rates denote that the content on the page that your audience is looking at doesn’t match their expectations or reference. Heat maps - Heat maps can prove beneficial to determine user engagement on each of your articles. E.g. CrazyEgg helps you create heat maps to observe which sections of a web page are getting the maximum views. Pageviews - A page view is another simple digital marketing KPI and matrix that’s applied frequently. Counting your total number of page views against your unique page views shows the audience engagement factor. Comments - Comments are a great tool to gauge direct feedback from a web audience, and monitor how expressively compelling and appealing your posts were. Shares - The best form of marketing is word of mouth in the traditional marketing approach, and social sharing is a superb way of mouth publicity on the web.

 

Wrap Up

 

This is all about the computational side of the decision—who is my best digital marketing service partner. Dreamworth Solutions is a well-known digital marketing company in Mumbai and it also offers several other allied IT services like web design, development, app development, content writing, SEO, software maintenance and ORM to name a few. We attempted an innovative way to guide our readers about the computational side of different metrics needed for a successful digital marketing plan. I hope you like and enjoyed the content. Feel free to share your IT and digital marketing requirements at any time. We will be always there help you without any doubt, and prejudice. You can also see our success stories on our website. Once you choose Dreamworth Solution as your service partner, we assure you that the further journey will be long-lasting, productive and very delighting.

 

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