Secrets to Marketing Success 9 tips for measuring performance

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1 internet made easy Secrets to Marketing Success 9 tips for measuring performance There s more to bouncing than what the rubber balls do. Conversion: it s not just for churches anymore. OCTOBER 2012

2 i Introduction How do you know if your marketing is making a difference in your inbound marketing strategy? You don t really know how well a strategy is working until you can measure it with objective data. By analyzing the data, you ll be able to measure the overall success of your marketing and find out which types of s perform better than others. You don t really know how well a strategy is working until you can measure it with objective data. Your marketing provider should provide statistics detailing each of your campaigns. We ve compiled a list of the top 9 metrics you should be measuring and why they are important to the success of your marketing strategy. Share this whitepaper: snapagency.com 2 OCTOBER 2012 SNAP AGENCY.COM

3 1 Bounce Rate What is a bounce rate? The bounce rate tells you how many s could not be delivered. A hard bounce refers to an invalid address. A soft bounce is the result of server issues. The bounce rate reveals potential problems for your list. s can bounce because of problems with the recipient s server, a full inbox, invalid address, or a closed account. Using a valid, updated list of addresses will reduce the bounce rate. Avoid buying or borrowing lists, since the bounce rate will be higher. If the bounce rate is too high, it means you need to clean your list. marketing providers like MailChimp will automatically remove hard bounces from your list. If your provider does not offer this service, you ll need to remove these addresses manually. Too many bounces makes you look like a spammer, which triggers a red flag for your marketing provider. Your account may be shut down temporarily if the bounce rate is too high. If this happens too many times, your account could be shuttered permanently. If you ve been collecting s for several months or years before you send out your first campaign, your list will be at risk for a high bounce rate. Some recipients who signed up for your s may not remember who you are, or they may no longer want to hear from you. Sending s on a regular, consistent basis will reduce the risk of a high bounce rate. 3 OCTOBER 2012 SNAP AGENCY.COM

4 2 Delivery Rate What is a delivery rate? The percentage of s that were actually delivered to inboxes is your delivery rate. You can calculate this manually by subtracting hard and soft bounces from the total number of s sent; then divide this number by the total number of s sent. The higher your delivery rate, the more customers or clients will see your campaigns. Shoot for at least a 95% delivery rate. Getting your message into the customer s inbox is the first step in a successful inbound marketing campaign. It s how you establish contact with your customers and how you can begin to build value for your brand in their minds. If your delivery rate starts to slip, check for problems that may be causing corporate firewalls or ISP providers to mark your messages as spam. It may also be a signal that you need to clean up your list. Your message in the customer s inbox is the first step in a successful inbound marketing campaign. 4 OCTOBER 2012 SNAP AGENCY.COM

5 3 List Growth Rate What is the list growth rate? A healthy list is a growing one. The list growth rate tells you how fast your database is growing. You can calculate this rate manually by subtracting the number of hard and soft bounces from the total number of s sent; then divide this number by the total number of s sent. If your list is shrinking, it s a sign that your customers or clients aren t interested in what you are sending them. Find out exactly what your customers are looking for. Is it information? Discounts? News? Do they want a monthly from you rather than weekly, or vice versa? Use segmentation to help you meet the needs of specific groups of clients without lumping the whole list together and possibly annoying some of your clients. There are multiple ways to build your list. Include a signup form on your website, link to the signup form on your signature, promote it on print marketing materials, and include a forward and subscribe button in each campaign. A healthy list is a growing one. 5 OCTOBER 2012 SNAP AGENCY.COM

6 4 Click Through Rate What is the click through rate? The click through rate shows you how many people clicked on one or more links in your message. You can calculate this rate by dividing the number of unique clicks by the number of s delivered. The click through rate gives you an idea of how much interest your generated and whether the message and content were on target. The links with the highest number of clicks indicate what type of content interests your clients the most. Use that information to create your next campaign and tighten the focus of your marketing strategy. If you have a low click through rate, you might be sending your clients information that they don t want or need. Reevaluate your marketing strategy and find out exactly what your clients want to receive from you. If you have a low click through rate, you might be sending your clients information that they don t want. 6 OCTOBER 2012 SNAP AGENCY.COM

7 5 Sharing What is the sharing rate? sharing tells you how many people shared your message with others by clicking on the forward or share this button in your message. You can calculate this rate by dividing the number of unique shares by the total number of s delivered. Just like the click through rate, sharing indicates the level of interest in your message and how relevant or compelling the content is. Sharing with others indicates a high level of interest and relevance. sharing is valuable because it extends your influence beyond your own list and provides the opportunity to grow your list through referrals. Make sure you include a subscribe button in your campaigns to allow recipients to sign up for your newsletter. Keep an eye on which campaigns get shared the most. This is the type of content your customers want the most. Make sure you include a subscribe button in your campaigns 7 OCTOBER 2012 SNAP AGENCY.COM

8 6 Conversion Rate What is the conversion rate? The conversion rate measures the number of people who clicked on a link in your and performed a desired action, such as filling out a lead generation form or making a purchase. The higher your conversion rate, the more leads you will generate and the more products or services you will sell. A high conversion rate is the ultimate indicator of an effective marketing campaign. The conversion rate is a bit tricky, since it depends both on the effectiveness of your message and the effectiveness of your landing page. A simple, relevant landing page with a clear call to action and easy steps to follow will increase your chance of generating more leads and sales. 8 OCTOBER 2012 SNAP AGENCY.COM

9 7 Revenue Per Sent What is the revenue per sent? The return on investment for a specific campaign tells you the average amount of revenue that you received per that you sent out. You can calculate this number by dividing the total revenue for a specific campaign by the total number of s sent. The revenue per gives you a hard-and-fast idea of how your marketing affects your bottom line. Typically, this data is only relevant for businesses based on an ecommerce model. If your customers purchase goods or services from you online, you can measure the ROI through your service provider and your ecommerce or web analytics platform. If your goal for marketing is to generate direct sales, this is one of your most important metrics to follow. Pay attention to which types of s generate the most sales, and use this information to plan future campaigns. 9 OCTOBER 2012 SNAP AGENCY.COM

10 8 Open Rate What is the open rate? The open rate tells you how many individuals clicked on your in their inbox. If an individual selects the and deletes it without opening, it won t count towards your open rate. While the open rate can give you a general idea of how many people are interested in your s, it s not a very reliable metric for gauging the success of your campaigns. This statistic is often skewed, since it doesn t count an as opened if the image display is turned off. Since a large number of recipients automatically block images in their , your open rate will be smaller than the actual number of s opened. Catchy subject lines can increase your open rate, but be careful not to oversell your . Exaggerated or irrelevant subject lines can lead to disappointment if the s content is not what the recipient expects it to be. Exaggerated or irrelevant subject lines can lead to disappointment 10 OCTOBER 2012 SNAP AGENCY.COM

11 9 Unsubscribe Rate What is the unsubscribe rate? The unsubscribe rate tells you how many individuals clicked the unsubscribe button in your . Just like the open rate, your unsubscribe rate can be misleading. Although some of your recipients will hit the unsubscribe button, most of your recipients who are no longer interested in your s will simply delete or ignore your messages rather than go through the process of unsubscribing. Although the unsubscribe rate is not always an accurate gauge of the interest generated by your s, it does give you a benchmark for how many individuals no longer wish to receive information from you. If your unsubscribe rate jumps up, you need to rethink your marketing strategy to make sure the content and frequency of your s is on target with what your customers want. 11 OCTOBER 2012 SNAP AGENCY.COM

12 a About Snap Agency Snap Agency is a marketing company based in Minneapolis-St. Paul that partners with small to medium sized businesses to increase sales and brand awareness through online marketing. Our services include Internet Marketing Strategy, Web Design and Development, Search Engine Optimization (SEO), Paid Advertising (PPC), ecommerce, Social Media, Local Search Directory Listings, Marketing, and Analytics. Share this whitepaper: Snap is the Internet marketing services division of Probus OneTouch, a multi-year Inc company in Minneapolis. Through managing the digital marketing and social media needs of Probus s six online retail stores, Snap has developed best practices for using the Internet to drive revenue growth. We know how to turn clicks into dollars. Marketing Services: Do you want to generate more leads and sales through marketing? We d love to talk strategy with you. Give us a call at (763) or contact us by . Contact Us: snapagency.com Phone: (763) Website: 12 OCTOBER 2012 SNAP AGENCY

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