When it comes to digital marketing, people place a lot of emphasis on aspects such as “viral content” and “user engagement.”
While these two play an important role in your marketing strategy, often, they don’t provide a clear picture of your business performance.
Essentially, they don’t help you determine how the money, time and effort that you’re putting into your business impact its overall performance. If you want to have a better understanding of how the different pieces of your marketing puzzle, calculate your return on investment (ROI).
The ROI is the surest way of assessing whether you’re allocating your budget effectively. In this post, I’ve compiled key statistics that you should know regarding digital marketing ROI.
Key Digital Marketing ROI Statistics
The average return on investment from email marketing stands at 4,200%.
Based on Litmus report, email marketing ROI stands at 4,200% or 42x. For every dollar brands invest in email marketing, they receive $42 in return.
But, it’s important to note that you can only achieve this ROI if you’re going about email marketing the right way. Here’s a comprehensive guide on this marketing strategy.
Individuals who use blogging as a marketing tool are 13 times more likely to get a positive ROI.
If you blog regularly, there’s no doubt that you’ll reap the benefits that come with it. Blogging increases the probability of being discovered online.
Thus, you’ll be able to reach your audience and possibly convert this to leads. This saves you cost in that you won’t have to think about hiring a sales team or other forms of advertising to achieve the same results.
Marketers who compute their ROI are 1.6 times more likely to be awarded higher budgets for their marketing activities.
According to a HubSpot report, marketers should familiarize themselves with how to calculate rates of return on their marketing events. This way, they can show their supervisors and managers the positive impact of marketing, which will in turn confidence in their work and make them entitled to a higher budget.
Companies generate an average of $2 in earnings for every $1 they spend on Google Ads.
If you’ve been hesitant to embrace Google Ads because you’re not certain of its potential, you’ll be pleased to know that it’s pretty rewarding. For every $1 that a business spends on Google Ads, they’re guaranteed of doubling their investment.
72% of marketers improve their engagement through content marketing.
This proves that an effective way to increase traffic to your website and get a higher ROI from your online activities is to prioritize your content marketing efforts. As an example, Tiger Fitness Inc. realized a 60% returning customer rate simply from video content marketing.
For every dollar spent on email marketing, businesses get an ROI of $40.
According to Smart Insights, email marketing has one of the highest returns on investments, yielding $40 in revenue for every $1 spent. By comparison, the ROI of SEO is $22.24 and just $10.51 for mobile marketing.
72% of companies attribute their success to keeping tabs on their content marketing ROI.
Based on a study done by Content Marketing Institute, 72% of the most prosperous companies compute the ROI of their content marketing compared to 22% of the least successful companies. This shows that it’s important to determine whether the content you’re producing is helping you make any progress.
According to VentureBeat, the median ROI on CRO tools is 223%.
Conversion rate optimization (CRO) is the process of optimizing your digital and mobile marketing to boost your conversion rate. The more you invest in CRO tools, the higher the rate of return from this investment.
89% of marketers claim that the ROI they get from influencer marketing is almost the same if not higher than that from other platforms.
A majority of business owners, especially those who own small businesses, are wary about sinking their money into an upcoming channel. But based on the experiences of those who have tried influencer marketing, the reward is pretty good with an ROI that’s comparable to similar marketing avenues.
64% of Internet users are more likely to purchase a product online after watching a video.
If you’re concerned about your digital marketing ROI, one of the things you should focus on is creating quality videos. Keep your tone informal, friendly while still providing as much information as you can.
According to HubSpot, at least 64% of individuals will proceed to buy an item once they’ve watched a video explaining more of the product’s details.
Dynamic video retargeting boosts your business ROI by up to 49%.
Dynamic video retargeting entails the customization of existing videos to reach specific audiences. Based on research done by Treepodia, this marketing technique can increase your ROI by 49% and improve your CTR by 74%.
Videos incorporated on landing pages boost the conversion rate by up to 86%.
You’ve spent a ton of time and money creating a responsive website for your business. The next thing you should do is look for ways to optimize your landing page.
According to EyeView Digital, one such technique is to add videos that can boost the conversion rate by 86%. Depending on the action these visitors take, you may be able to increase your ROI from these conversions.
The cost of content marketing is 62% less than traditional methods.
There has never been a better time than now to invest in content marketing. Research shows that this marketing platform costs 62% less compared to traditional methods, yet it results in 3 times as many leads. This translates to a higher ROI.
Fun Facts About Digital Marketing
The average time that a human being can pay attention is 8 seconds.
This is a sharp decline from 12 seconds in 2000. The research done by Microsoft reveals that businesses now have to put more effort into creating quality content that can capture their readers’ attention within that time frame.
Infographics are 3 times more likely to be shared than other forms of content.
Infographics are one of the best ways to share content visually. This explains why they are shared more than any other type of content -such as video or text- on social media platforms.
Mobile marketing dominates the digital landscape.
At least one-third of Internet users access it via smartphones and other mobile devices. This reveals that companies should make their channels as mobile-friendly and responsive as possible.
Seamlessness plays a vital role in customer engagement.
In an era where nearly all industries are filled with dozens of competing brands, an easy way to make yours stand out is to prioritize on seamlessness. Research shows that customers prefer brands that offer a seamless and flawless experience.
60% of customers expect brands to provide consistent and precise information across online platforms – be it their website, third-party sites or social media platforms.
Conclusion
Regardless of how big or small your business is, the secret to improving your ROI is to keep abreast of digital marketing trends. Brands that focus on just one strategy year after year experience very slow progress.
To avoid this, dedicate some time each month or week to review the latest trends and statistics relating to digital marketing ROI.
