What is Marketing Analytics?
The more technology develops, the more time and budget CMOs are allocating to understanding the performance and growth influence of their marketing efforts. In fact, a recent survey predicted spending in the area will increase by 200% in the next three years. Marketing teams can often struggle to demonstrate credibility, but the adoption of strategic marketing analytics can make it easier to show your marketing endeavors’ ROI.
Marketing analytics is the practice of managing and studying metrics data in order to determine the ROI of marketing efforts like calls-to-action (CTAs), blog posts, channel performance, and thought leadership pieces, and to identify opportunities for improvement. By tracking and reporting on business performance data, diagnostic metrics, and leading indicator metrics, marketers will be able to provide answers to the analytics questions that are most vital to their stakeholders.
Regardless of business size, marketing analytics can provide invaluable data that can help drive growth. Enterprise marketers at first may find the process too complicated, while small and mid-sized business (SMB) marketers assume a company of their size won’t benefit from implementing metrics, but neither perception is true. As long as marketing analytics is carefully curated and properly implemented, the data collected can help a business of any size grow.
With proper marketing metrics and analytics in place, marketers can better understand big-picture marketing trends, determine which programs worked and why, monitor trends over time, thoroughly understand the ROI of each program, and forecast future results. With 78% of B2B marketing executives currently measuring the impact of their marketing programs on revenue, it’s clear that more businesses are getting on board with marketing analytics, even if they were a bit hesitant before.
“Too often marketers talk about activities instead of outcomes—for example, how many campaigns they ran, how many trade shows they participated in, how many new names they added to the lead database. These are metrics that reinforce the perception that marketing is a cost center, not a revenue driver.”
— Glen Gow, Founder and CEO, Crimson Marketing