If you want to market your bank to potential clients as successfully as possible, there are a few things that you need to do. Proving marketing ROI is one of them, and it is extremely important. You should use all of the necessary and available tools in order to determine and analyze ROI, so that you can continually optimize your marketing campaigns for success. Additionally, proving marketing ROI to C-suite and board members will help justify and even expand your bank’s marketing budget, ultimately leading to more new customer acquisition. The following are strategies and equations you can use to prove your bank’s marketing ROI.
The new customer acquisition metric can be very helpful and determines the cost of customer acquisition by dividing the marketing budget by the number of new customers acquired during the life of the campaign. The customer lifetime value ratio can also be very helpful in proving ROI; this is the ratio of the customer's profits to the bank to the cost of obtaining that particular customer. The higher the ratio, the higher the ROI.
In order to actually prove the ROI to the relevant parties or use the results to optimize future campaigns, you need to define what you are trying to accomplish. This is important so that as you are doing the appropriate tracking throughout the campaign, you know what it is that you should be looking for. If you’re looking to execute a fully trackable campaign that will produce analytics to prove ROI and other important measurement metrics, it is best to run digital campaigns. Digital marketing campaigns such as Google AdWords, IP Marketing, Social Media Ads, Inbound Marketing and more are fully trackable and the analytics can be broken down to prove campaign objectives, prove ROI, and identify areas of improvement for future campaigns.
Additionally, you will need to use the appropriate analytics to track the progress of the campaign. Some of the aforementioned platforms have built-in analytics, and in some other cases, you need to set them up yourself. In addition, you will need to measure the ROI of the marketing campaign itself by applying the analytics to the equations mentioned in the second paragraph.
Essentially, the ROI is a good measure of how well a marketing campaign is performing and providing value to the bank. Being able to prove your marketing campaigns are successful and positively affect the bottom line for the bank will allow you to improve future campaigns and prove to bank executives that the marketing budget is providing positive results.
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