In marketing, you want your return on investment (ROI) to be as high as possible. But you may reach a point where your return on investment has stopped growing. That’s why you need to look for new ways to make your marketing strategies more effective.
ROI often stops going up or down at some point. A steady return on investment (ROI) can be good sometimes. It’s nice to have numbers that don’t change much. But a consistent ROI doesn’t always mean that it’s the best. If you don’t try out different ways to get more out of each campaign, you could be leaving a lot of money on the table.
These marketing strategies will help you get a better return on your investment.
How can you improve the return on your marketing? Try out these five ideas that you might not be using right now.
1. Put a lot of effort into coming up with ways to keep customers
It’s about five times cheaper to keep a customer than to find a new one. This is where marketing efforts that try to keep customers coming back can pay off.
There are many ways to keep customers coming back so they keep buying and maybe even tell their friends about you. One way is to use “abandonment recovery” strategies to get customers to come back to your store. Retention.com, a company that makes email marketing tools to help e-commerce brands get back money from abandoned carts, says that bringing back visitors who may have left your site can increase sales by up to 10 times. Why? They are brought back to your brand in a way that is unique to them.
Another way to keep customers from leaving is to make exclusive communities. Many companies offer memberships that people can choose to join to keep people interested and involved. Don’t forget that special deals and coupons only for members can also help keep customers coming back.
2. Make every piece of content worth more
To make and share marketing content, you will always have to spend money. Having said that, your content shouldn’t just be “one and done.” The best thing is to get as much as you can out of each marketing tool.
Take the case of videos. A lot of marketers don’t get the most out of their videos. Yes, 87% of them know that videos are a sure way to get a higher return on investment (ROI). But when they think about all the ways each video could be used, they don’t always come up with anything new. For example, a single FAQ-style video can be broken up into pieces so that each FAQ can be published on its own. Or, the text of a video could be turned into a blog post.
Getting a lot of use out of every piece of collateral you buy is a good way to manage your money. Don’t be afraid to look at the marketing materials you already have and see if they can be used to make new emails, articles, etc.
3. Use the 80-20 rule to narrow down who you want to reach
Even though the Pareto principle isn’t always right, it usually is. It says that 20% of your customers will bring in 80% of your income. In that case, you want to find the 20% and make sure that they see about 80% of your marketing.
How can you find the 20% of your customers who are just right? Check your key performance indicators and maybe talk to your sales team. Try your best to make customer personas for each of the 20% of customers. Once you have your personas, you can figure out how, when, and where to use marketing to introduce them to your brand.
You might be used to setting up marketing tools like PPC campaigns that reach a large number of people. If so, you might be worried that this method of marketing won’t bring in enough leads. It’s possible that the total number of leads you get will go down, but the number of qualified leads should go up. The ones that matter are the qualified leads, because they will be the key to a better ROI.
4. Automate all your repetitive processes
Most marketing departments have the same problem as other departments: they rely on a lot of manual processes. Manual processes could be anything from transferring data by hand to working on multiple systems that aren’t connected. These tasks that you do over and over again can only hurt your ROI because they waste time and money.
You and your team can enjoy the benefits of efficiency on a large scale when you use automation. Many cloud-based tech stack solutions that use AI can handle simple, repetitive tasks. You only need to set them up so that they run based on certain parameters.
When you don’t have to worry about small things like moving information to a database, you have more time to think of new ideas. Many marketers say they never get a chance to show their creative sides. More automation of your tasks could give you the push you need to come up with ideas for successful and profitable campaigns.
5. Be picky about which social media sites you use the most
You need to use social media marketing, that’s a given. People of all ages connect with each other and with businesses through social media. Many social platforms now let you sell right from them, which makes them an even better way to market your business.
But here’s the thing: your business doesn’t have to be on every social media site. Say you mostly sell to people 50 and up. Even though TikTok is fun and exciting, it might hurt your ROI. On the other hand, you might get more for your money on Facebook or YouTube.
The real key to mastering social media marketing is to choose the right platforms based on your audience and what you sell. See if your top 10 competitors who are also doing well are on the site. This is a good way to figure out if you belong there or not. A low level of engagement could be a sign of a bad social fit. On the other hand, high engagement could mean that they are getting a return on investment (ROI), which means that you can too.
Each budget cycle, you only get a certain amount of money to spend on marketing. The better the return on investment (ROI) of your marketing strategies, the easier it will be to ask for a bigger budget next time.