ROI has a meaning in today’s market, it doesn’t only stand for return on investment for monetary tracking, but it also stands for return on impression. It has two principles that it goes by: a hard metric and a soft metric. These two values together are very powerful than just calculating marketing performance and this new ROI provides insight on engagement, objectives, and opportunity something the old ROI lacked.
The newest (soft) metric you can track is the impressions that are returned that people see your marketing material that you’ve launched. This type of advertising can be tracked by the number of times a person is displayed campaign material. If you’re running a type of campaign particularly PPC (Pay per Click Ads) this would be one of the easier ways to track that type of campaign.
Another soft metric that is new to ROI is a focal point on perceptions on branding. This type of metric measures the type of way how consumers look and perceive the brand. Some examples of this include talking to the brand, how consumers connect with the brand, and how consumers talk about the brand to other people. This kind of metric is vital with social networks being one of the vital ways to connect to consumers and develop a brand.
Another type of metric is that evaluated through ROI is called Return on Opportunity (ROO) which is measuring an opportunity through the evaluated time and money it presents. It basically means the return on the opportunity makes you evaluate the potential of your investments indirectly. This type of metric can be specifically being beneficial when marketing takes off on the web. This kind of opportunity may not be beneficial right now but the rewards later can be rewarding. It could lead to people sharing your content on the web or even by word of mouth (offline).
A different type of metric that is discussed within the new type of ROI is Return on Engagement (ROE) that uses the social web which measures your performance and shows how you are doing in building relationships, let it be sustaining them or creating them, with consumers. ROE can either make or break a brand with all the social engagements that are going on. A brand can be powerful by really sustaining and creating relationships with consumers. The soft metrics of ROE can be show why and how people are engaged with your brand.
Return on Objectives makes you accept that not all goals are calculated by data. For example some marketing efforts sometimes are just a way for a business to move in that right direction. When a business develops a plan for social media outlets let it be content over some time it should be moving closer to its goals. Remember return of objective and return of opportunity work well together.
Together all these metrics give you a better understanding on how marketing performance drive are carrying out rather than just investment offers alone.