by: Jake Blumes,
Marketing, Advertising & Research Consultant at Grants International Inc.
You know the old John Wanamaker quote: “Half the money I spend on advertising is wasted; the problem is, I don’t know which half!”
Well, it doesn’t have to be that way. I have run hundreds of traditional and digital advertising campaigns in my career and have never launched a single campaign I couldn’t measure.
In my job to generate 10,000 new leads a year, I rely on all sorts of traditional mass media channels and, more recently, several different online platforms.
The key to not wasting your advertising budget is to always ask every lead: “Where did you hear about us?”
I can go back to the first campaign I launched in 2006 and tell you where every one of those leads came from. It’s ingrained to ask new leads this question and we have tracking codes on all print material, the website form has a drop down to ask this question which we keep updated to the current sources. Nowadays we pass along url parameters to track the customer journey from the ad until they become a lead in our CRM database through to when we close the sale.
Whether it’s a digital or traditional advertising campaign, it is critical to know exactly where all your leads come from so you can track key metrics like volume of leads, cost per lead and conversion rates from each campaign or platform.
By knowing which campaign or, at least, which platform is generating leads you can avoid wasting precious advertising dollars. You can also make advertising decisions to spend more on sites that are generating good leads that convert well or to stop spending on sites where the volume of leads has dried up or where the cost per lead has gone up too much.
Most companies reward their sales staff with commissions, and by tracking where the leads come from, you get to know and can predict lead volumes to staff accordingly and you can set accurate sales targets for each month too.
If you have a budget for testing, you can find new channels to diversify your lead sources by knowing if the new channels are working or not. Testing new channels and finding ones that work, helps you keep ahead of your competition too.
Here’s a cartoon of two men standing at the urinal where on says: “…it doesn’t matter where an ad appears, as long as it’s the right audience.” This is true but I would add: “And as long as you can measure it!” I would try buying bathroom ads, in fact I have here in Calgary. Unfortunately, they didn’t work well for us. I knew this because we were set up to track leads that came from our bathroom ads. But if they had worked, I would have found a new source and bought up all the bathroom ads across the country. That’s the benefit of knowing exactly where all your leads are coming from.
There are just so many benefits to measuring and monitoring your leads.
What other benefits do you find?