Advertisers: How to Track Offline Leads & Measure ROI
Numerous studies have found that branded print messaging is more likely than digital messaging to engage users and prompt action. That being said, with print marketing campaigns it’s significantly more challenging to attribute qualified leads and calculate ROI…and that’s why a lot of retailers aren’t doing it.
However, despite the analytical challenges that offline marketing poses, there are simple and easy ways to ensure your UnDigital campaigns are helping you meet your business goals.
How to track leads from package insert campaigns
Deciding which metrics are relevant to your bottom line is the first step in understanding your campaign’s performance.
Whether your campaign goals are related to increasing brand awareness, driving revenue, or a combination of the two, your key performance indicators are likely to include metrics such as website traffic, account registrations, content downloads, newsletter signups, or purchases.
Once you’ve determined what to measure and how, there are a few proven ways to infuse measurability into your ad creative:
Include a promo code
Create campaign-specific promo codes that can be redeemed for an exclusive discount on a product or service you offer. Make sure to reduce friction in the checkout process by making your promo code entry method clearly visible and keeping the code itself short and easy to enter.
Include a clearly stated expiration date that will allow recipients to redeem the code within a reasonable time frame, but that will also create a sense of urgency around the offer. Measure how many people redeem the code and how much they spend on each transaction thereafter.
Use a dedicated landing page
Creating a custom landing page is more than just a great way to attribute web traffic to a specific campaign; it also creates a low-friction experience for your customers. Landing pages that relate explicitly to the campaign’s messaging and visuals foster a seamless omnichannel experience for your users, and allow you to easily isolate the campaign’s traffic from site visits that come from other channels.
Create a trackable vanity URL
Conversion rates are best when the transition from an offline information source to an online experience is as quick, simple, and intuitive as possible.
While URLs with UTM parameters (tags added to a URL that attribute channel and campaign information to website traffic from a particular source) are easily trackable in Google Analytics, they’re pretty difficult for a user to enter into an address bar.
A vanity URL is a better option. Vanity URLs are branded specifically for marketing purposes, and are therefore typically much easier for customers to enter on any device.
Custom vanity URLs are fun, but do come with a monthly fee for use of the domain. A great free alternative is to use link shortening services such as bit.ly. Link shorteners still allow you to create a web address that’s easy for customers to enter, and the shortened links are fully trackable with UTMs.
Add a scannable barcode for in-store use
Another way to understand your campaign’s impact on buyer behavior is at the point of sale. If you have brick-and-mortar locations throughout the retailer’s geographic area, consider adding a barcode to your package insert that can be scanned in the store for an exclusive discount or free gift.
Want to drive even more online activity? Create a QR code that the customer can scan to instantly reach a relevant page on your website.
Additional Passive Indicators
While less exact, there are additional, more indirect methods of measuring your campaign’s efficacy, including measuring the change in direct website traffic before, during, and after the campaign, tracking online mentions of your brand (via Google Alerts, services like Mention, or social listening tools such as Hootsuite), and adding a “how did you hear about us” question to your online contact forms and customer service scripts.
Measuring campaign ROI
Say you create a report that details how much traffic your campaign generated, how many accounts were created, and how much revenue you collected from these new account holders.
How can you tell from this information whether your advertising efforts were worth the investment? By calculating your Return on Investment (ROI). If your offer included a promo code with an expiration date, you can calculate ROI after that date passes. If not, wait a few months after the retailer’s packages have been delivered and calculate it then.
You can use the following figures to calculate ROI:
- Number of leads driven (website visitors or registered users)
- Number of ordering customers
- Revenue collected
- Dollar investment in the campaign*
- Average conversion rate
- Average customer lifetime value
*To calculate your true ROI, add the staff time and/or expense attributed to creating the advertisement itself to the cost of the retailer listing. To calculate your Return on Ad Spend (ROAS), simply use the cost of the retailer listing as your investment figure. Your Listing history can be found in your UnDigital account.
The simplest ROI formula is as follows:
(Revenue – Initial Investment)
—————————————- x 100%
Other ROI calculation methods utilize your average conversion rate (the percentage of users who take a desired action, i.e. making a purchase) and your average customer lifetime value (an estimate of how much a customer will spend with your company over the course of their entire relationship with you, the vendor).
To project the revenue your business can expect in the future from the customers your campaign generated, use one or both of the following formulas:
(# Ordering Customers x Average Lifetime Value) = Projected Revenue from Campaign Investment
(# Leads Driven x Average Conversion Rate x Average Lifetime Value) = Projected Revenue from Campaign Investment
To begin the analysis of your campaign activity, you can use the average conversion rate and average customer lifetime value figures that you’ve calculated, but it’s important to recognize that customers from this marketing channel may behave differently than customers acquired through other means.
Therefore, once you’ve completed several campaigns and you have a significant population of customers whose behavior you can analyze, you should recalculate each of these figures using only this population. Comparing average order value and average customer lifetime value for users generated through your campaign vs. users generated via other marketing channels can help you make informed campaign investment decisions in the future.