What is the most effective way of measuring marketing efforts to small local 'brick and mortar' establishments?
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I am currently a student set to graduate this summer. There are a few local establishments that I believe have great potential but are unable to effectively attract consumers (barbershops, restaurants, retail outlets). I am confident that i can bring these businesses additional revenues, but am unaware of how to be appropriately compensated for my efforts. Any insight into measuring marketing effectiveness would be greatly appreciated. How could you prove marketing success?
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Answer:
Small brick and mortar's often run as non-profits. They make just enough to cover all of their operating costs, pay the payments on their loans, pay all of their payroll, and pay themselves. Retaining very little, if any. Each $ is very important to them and must be spent wisely, so you're spot on -- measuring is crucial. But not just measuring data, they want to measure results. Basically money in the bank. Here's some things they will be less likely to care about: Impressions Clicks # of flyers handed out # of coupons printed # of homes mailed to reach / frequency of a Radio campaign While important, they are 3 steps ahead. They want to know: How many calls did they get from the impressions, clicks, flyers, coupons, homes, and radio ads. How many visits did they get from the impressions, clicks, flyers, coupons, homes, and radio ads. How many sales did they get from the impressions, clicks, flyers, coupons, homes, and radio ads. So here's how I would approach it: Define the goals; you can't do everything. Do they want calls? Do they want "triers"? Do they want sales? Do they want repeat sales? Do they want larger ticket or bundle sales? This will allow you to stay focused. Define the target; who is their client? Where are they? This will dictate you media channels. Create good copy and creative; "good" meaning it is designed to get the consumer to take the action that you define as success. "Call this number for x". "Visit today for y". Make a compelling offer. If it's a trial business, give them a free go at it. Track the success, through the lens of the goal. There are many ways to measure various strategies: (1) use custom call numbers for a "call-me" call to action [companies like valpak offer this for ~$30.00 a month -- use multiple numbers for multiple channels to differentiate; (2) pre/post foot traffic measurement -- measure current in-store activity for 30 days before the campaign, then 30 days after. (3) Coupon redemptions -- like Groupon; gives you a read on # "triers". (4) How did you hear about us surveys -- old school, but still works; (5) track all triers to buyers -- if you give out tries, via any channel, track them through the cycle. Lastly, I somewhat intentionally avoided digital, but it definitely has value. For may small businesses, you'll want to add digital to the pot vs. going hard on digital and forgetting about offline. That's just my opinion. That said, you can read my answer to another quora question about using the web for small business, it's #2 right here: Good luck!
Gary Peeples at Quora Visit the source
Other answers
If you are performing traditional marketing efforts (ie, flyers, radio, signage, local partnerships with other businesses, etc), you will need to measure your marketing success by actual number of additional added customers for the business, and the additional revenue generated. Measured per week or per month would be the easiest, and of course will require some cooperation from the business owner themself for that data. You would then compare that data to the amount of funds you spent on marketing as well as time. Then you can see and present to the business exactly what each hour of your time spent is producing in actual dollars generated. This is what the business owner will be most interested in. His or her bottom line. If you are performing digital and social media marketing, you can measure your online marketing efforts by tracking posting times, frequency, days, number as well as feedback comments and "Like" via Excel, which is less expensive. Or you can use software such as Facebook Insights which is built into Facebook pages and is free. Other software such as Radian6, WebTrends, Raventools, SocialBakers and others cost but are also very effective. You can then take this data to your business owner and essentially present the same type of data. Show them what are the best times of the day, days of the week and how many times to post that are most effective for their company, whether it be on social media pages or blogs.Show them their comments from customers on what they like and don't like about the company, etc. Then compare this data and your time spent with the number of additional customers and revenue generated, or additional purchases and/or buying trends for that week or month.
Lorenzo Dickerson
As much as couponing and flyers get bad raps, sometimes the old school can work effectively in these scenarios. Check out something like http://pinpointsocial.com/ for something neat in that respect. Otherwise I agree with the first answer. Establish a baseline for sales, walk-ins etc. to the store(s) pre-marketing efforts and then collect as much data as you can on what promotions did to effect those numbers.
Kerry Morrison
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