Digital start-ups pump millions and billions of dollars into the campaigns to create awareness about the brand, which is a long-term strategy, or to acquire users, which can be a short-term goal. The marketing head of every start-up would like to get the best return from these campaigns. And this is where analytics plays a crucial role.
What is Campaign Analytics?
Campaign analytics affects a marketer’s decision on where to invest marketing funds and what strategy they need to adapt for the future. So, instead of putting all your eggs in the wrong basket, you will know in which basket to put your eggs and why. Campaign analytics not only helps you make an informed decision but also helps you predict the expected returns from your campaign. It is like, you already know how much impact your campaign will have on your business even before you run it.
But you must set the campaigns right to use analytics for your campaigns and run successful campaigns.
Recipe for a successful campaign
A lot goes into creating a campaign, like the purpose of the campaign, goals, target audience, content, channels, etc. Everyone does that. But to make it a successful campaign, we must define what success is. Following are the steps to run a successful campaign.
1. Define your success metric
We need to define the exact business metric that we want to see a shift from this campaign. It can be revenue-impacting metrics like subscriptions to one of your premium packages, funnel metrics like registration or installs, or brand metrics like awareness or sentiment. Just align it to the business KPI for this year, and you are already on the path to success.
2. Campaign Instrumentation
“Without data, you are just blind deaf and in the middle of a freeway.” – Geoffrey Moore
Once you know the metric for the campaign, you should be able to measure the data from the campaign. So, think about your campaign instrumentation before you start.
3. Analytics Involvement
Behind every successful campaign is a thriving team that leverages data and analytics to make informed decisions. So, involve your analysts from the campaign planning stage itself.
The purpose of every campaign is different, and it helps define the metric.
Types of campaigns
Based on the purpose, the three broad categories of the campaign are:
1. Marketing Campaigns
The campaign is synonymous with marketing campaigns, and people use it interchangeably. But its purpose is what sets it apart. The marketing campaigns focus on the consideration section of the marketing funnel.
It uses digital marketing, social media marketing, and relationship marketing to improve the consideration and sentiment of the users towards your product. So, the next time you set up your marketing campaign, remember that the metric you are trying to move is ‘consideration.’ Consideration is the ratio of customers considering purchasing your product to the number of customers aware of your brand
Read more about Marketing campaigns: 5 steps to ensure marketing campaign success
2. Advertising Campaigns
These are further downstream of the marketing campaigns. So, instead of focusing on the entire brand, advertising campaigns focus on converting the users to buy/use one of the products. An example could be promoting the sales of a new product launched by a company.
Advertising campaigns directly affect the company’s revenue, but the informed decision of which product to advertise, upsell and cross-sell strategies all come from the analysis of the marketing campaigns. In addition, the advertising campaigns also improve customer retention through the campaigns focused on engagement, offers, and discounts. So, use your analytics team to understand the impact of your advertising campaigns on the conversion and retention of customers.
3. Brand Campaigns
Unlike advertising campaigns, brand campaigns are upstream of the marketing campaigns. The purpose of the brand campaigns is neither to increase the conversion rate nor to increase sales and revenue. They are explicitly focused on improving the awareness of your brand among your target audience.
Of course, this indirectly affects sales and revenue because the more people are aware of the brand, the more people will consider buying it and more the conversion. But remember to spare your analytics team from trying to estimate the revenue impact of your brand campaigns. Instead, just focus on building your brand and consider brand awareness as the only outcome from the analysis of the brand campaigns.
Often, the marketing team tries to achieve all the marketing goals through one campaign, which mostly leads to disaster. Knowing your company’s KPI for the year and defining the purpose of your campaigns to align with your KPI will help you execute more successful campaigns.
This brings us to an important question, how to measure the performance of your campaigns?
You can run the campaigns on different media and channels like emails, push notifications, social media, paid campaigns, etc. The campaign channels are organic, direct, paid, google, Facebook, etc., but not every media or channel is the same. Some channels may bring you more leads, while others may get more conversion but fewer leads. There may be some channels that bring more valuable customers than other channels. The best channel and source can be determined by first defining your success metric and then analyzing the channel performance in terms of your success metric. Running the campaigns, experimenting, and exploring for the best marketing mix helps define effective marketing and business strategy.
As you can see, experimentation is essential for campaigns, which brings me to the last campaign analytics topic.
A/B testing in campaign analytics
Most of the time, when you want to try out a new marketing strategy, you do not have historical data to prove whether your marketing strategy will work or not.
Say that you want to run a campaign to lure your free customers into trying out a new premium feature as a 7-day trial, but you are afraid that your campaign will increase the trial rate or cause churn. In such cases, it is always a good idea to conduct experiments with a sample of the user population to measure the impact of your campaign before rolling it out to a larger population. Hence, A/B testing allows you to test the effectiveness of your campaigns even before you run them. Fail in your experiments so that you can succeed in your campaigns every time.
Before running campaigns, remember to know the campaign’s purpose, define the success metric, instrument your campaigns and involve your analytics team from the start. After the campaigns are over, analyze for the best combination of the channel and media. Hope your analytics teams can now run more successful campaigns.