Analyzing year over year PPC data is not as straightforward as many marketing managers think. You have to connect trends in sales and trends in PPC campaigns beyond the number of dollars spent on PPC campaigns and revenue for a comprehensive PPC ROI report.
Step #1: Work Backward and Identify ROI From PPC Campaigns Based on Lead Scoring
You need to acquire meaningful data initially with keyword technology that tracks every conversion. A CRM system with an integrated lead scoring system can identify money keywords and give you a solid idea of what you can expect when highly qualified leads click on PPC ads. Other effective tools in initial and ongoing data acquisition and analysis include value track parameters, keyword conversion scripts, landing page conversion tracking, and a comprehensive CRM.
Step #2: Calculate Revenue From Each Lead
Determine the cost per lead and total revenue generated per lead. The formula is relatively simple: divide the total revenue acquired by the total number of leads in any given timeframe. Lead revenue can be calculated monthly, quarterly, biannually, and annually.
Step #3: Use Technology to Triangulate Data Between PPC Traffic and CRM Sales
Leverage the value of big data with the value of personal experiences from top customers and clients. Instead of only looking at the general connection between PPC traffic and sales, connect specific clients with specific PPC ads. It is important to separate the amount of ROI PPC campaigns are actually accountable for. PPC campaigns that generate highly qualified leads are more valuable than PPC campaigns that generate generic site traffic.
Step #4: Track Year-Over-Year Results From PPC Campaigns
Develop a number of metrics to look at in the long-term. See what returns from PPC campaigns look like over time, and develop a number of meaningful data points that represent ROI, not site traffic. YOY returns give necessary insight to the overall efficacy of different parts of PPC strategy, not just general conversion rates. Track efficacy and improvement in order to change money keywords, lead scoring, and CRM systems to drive ROI.
Step #5: Continue to Track Meaningful Metrics and Analyze PPC ROI Data
Naturally, the last step is to rinse and repeat. After all components are in place, get the most out of the data that provides answers instead of interesting statistics. Continue to drive ROI with PPC campaigns, not generic site traffic.
Contact HawkSEM to Learn More Now
At HawkSEM, we specialize in ROI. Request a consultation or call us at 800-316-2220 today for more information about how you can maximize returns with PPC.