As per statistics, 47% of B2B marketers do not measure ROI from their content marketing efforts. Surprising, isn’t it?
Whether you are a digital marketer or simply the head of a content team, it is crucial to know how to calculate your content marketing return-on-investment (ROI) precisely. Many times, marketers consider brand awareness as their primary content marketing goal. However, seeing a return on investment is essential to justify the amount spent even in that case.
That said, measuring the ROI of content marketing is a slightly complex process. Measuring metrics such as the lifetime value of new customers or the impact of search engine optimization on eCommerce product pages is often not very easy. Nevertheless, you may consider various factors to gauge the efficacy of your content marketing strategy.
In this guide to content marketing ROI, we will look at how you can determine ROI and understand the specific metrics you must measure.
What is Content Marketing ROI?
In simple words, content marketing return-on-investment is the percentage that shows the amount of revenue you have earned from content marketing compared to the amount you have spent. If you regularly measure the ROI of content marketing, you can measure its success. This, in turn, can help you establish content marketing goals and define a better strategy to achieve those goals.
Many marketers struggle to track their ROI. Creating revenue from content is not a linear process, but if you become one of the few marketers who measure ROI, you can get a unique competitive advantage.
Measuring the ROI of Content Marketing
Step 1: Define the Purpose of your ROI
Before defining your metrics, you need to get this preliminary step right. So, ask yourself, why are you measuring your content marketing ROI?
The answer to this question often helps you identify the wrong marketing strategy. If you are measuring your ROI only to justify your content marketing spend, you will barely be able to get a correct picture.
Let’s take an example. If you use your web traffic as a metric to track your content marketing ROI instead of looking at revenue or increase in subscribers, you will get a blurry picture. Even if you are getting many website visitors, you aren’t sure if your content is compelling enough.
Hence, understanding the reason behind measuring the ROI of content marketing is essential to ensure accurate results.
Step 2: Define your Metrics Strategically
There are tons of performance metrics to choose from to track your ROI. And selecting the right ones is precisely where most marketers feel lost. Marketers often try to evaluate too many metrics altogether, thus getting distracted by numbers.
Remember, you must choose metrics that tie to your content marketing goals. Below are some metrics that can help you measure the ROI of your content marketing strategy.
Traffic: This is a great metric to check if you are looking to build an audience for your website.
Leads: Your content must focus on informative pieces such as eBooks, newsletters, white papers, case studies, etc., to nurture leads. This metric will help you understand how long your leads stay with you as customers.
Retention: This metric is a great way to measure the qualitative response to your content.
Step 3: Identify your Content Consumption Metrics
Several online tools are available that help measure the efficiency of your website’s content. For instance, you can use Google Analytics to determine if your content reaches the right audience. You can also measure the total number of website visits and whether they increase over time.
These tools also help measure the bounce rate and the time spent on the website. If most of your customers spend more than 30-40 seconds on your website, your content marketing strategy is probably working.
Apart from these, many other content consumption metrics serve as an indicator of the value of your content.
Step 4: Establish Benchmarks
Once you know the performance metrics you want to target, you can create your benchmarks. Essentially, it means deciding what a successful content marketing strategy looks like. If you know your end goals, you can quickly identify whether your content marketing return is meeting those goals or not.
Then, you can determine your content marketing ROI, which is costs vs. revenue (or a specific value if you cannot tie a metric directly to revenue). This will help you identify what is working and what is not.
For instance, you can track the different content channels and identify which channel is bringing in more conversions and the one that is not. Consequently, you can alter your content marketing strategy and fine-tune it to enhance the results. You can also use the Kohbee app to create your content marketing course and promote it to a worldwide audience.
Keeping track of the ROI of content marketing is a sure-fire way to guarantee long-term success. However, most marketers don’t get early returns. Even great content sometimes starts with a negative ROI and scales in returns over time. So, don’t panic and keep working on your content marketing strategy. You can even use dedicated services of the Kohbee App to keep track of your efforts and results.