Marketing helps bring in customers, but not all marketing campaigns are successful. After each marketing campaign, you should be analyzing your return on investment (ROI) to determine whether a similar campaign should be completed in the future.
No matter what your business’s size is, knowing how to calculate your ROI can help you determine how well your business is doing. For marketing purposes, call tracking can provide valuable information that you can use to improve your ROI.
Why is ROI important?
As mentioned above, ROI is particularly beneficial when it comes to marketing. Since marketing campaigns are how you are reaching out to customers and bringing new customers in, you can use ROI to determine which campaigns are worth investing in.
How can ROI be used?
To calculate ROI, you need to take the return of investment and divide it by the cost of the investment. You’ll then get a percentage. The return of investment formula is ROI = (Current Value of Investment – Cost of Investment) / Cost of Investment.
When calculating ROI for marketing campaigns, you’ll eventually have enough data to compare different campaigns. From there, you can figure out what your business should continue to do or what they need to do differently.
For example, if a particular campaign led to an increase in sales, you know that you should repeat a similar campaign. If you notice that you don’t have a high ROI for your current campaigns, you might realize that you need to hire a new employee specializing in marketing. Or maybe you can try new software to develop your marketing materials and then look at ROI to determine if you should continue using that software.
What is call tracking?
Call tracking is when you gather and analyze data from incoming phone calls. If you’re running an online or offline campaign, you can use a unique call tracking phone numbers in your marketing materials. Typically, each campaign would be assigned a different number for tracking purposes. When customers call that number, we will direct it to your team. Data from analytics will then tell you which campaign the customer saw, where they were when they placed the call, the amount of time they spent on the phone, and more.
How can call tracking increase ROI?
Call tracking allows you to determine which marketing tactics are causing your customers to pick up their phones. This can provide you with insight into who your customers are as individuals and allow you to reach your target audience better. Not only can you determine what campaign made them call, but you can also determine their location, age, gender, and more.
Another unique feature beyond analytics that calls tracking allows you to do is record phone calls. If you have your sales team taking calls, you can listen to the calls afterward to determine how your team provides customer service. If there is a particular representative with more sales than others, you can figure out what strategies they are using. You can also determine if some representatives could use additional training.
By looking at the analytics of what campaigns are catching customers’ attention and determining how your sales team is responding to calls, you can figure out where to place your attention to increase ROI. You can determine if you need to run similar campaigns, work on your marketing assets, or focus on training your sales team.
Another great benefit of tracking customer information and recording calls is determining if your customers might be interested in a new product or a new service! If customers are showing interest in a product you don’t have yet, you can begin developing a plan to meet their needs.
Is call tracking for everyone?
No, call tracking might not be for every business. Small businesses that are just starting might not have the resources to invest in call tracking. Businesses that primarily communicate with their customers through digital communication forms (and rarely over the phone) should put more effort into using Google Analytics to understand their customer base. If you’re interested in investing in phone call tracker software but aren’t sure if it is for you, look for a software company that will provide a free trial before you commit.
Businesses that primarily communicate with their customers over the phone and use a variety of marketing campaigns will benefit from call tracking software. Analytics that are collected by the software will allow you to gain valuable information that you can use to increase your marketing ROI.