Measuring effectiveness is crucial in promotions! An explanation of 7 indicators and points to consider for effective utilization.
Measuring the effectiveness of promotional activities is essential for gaining insights for the next initiatives!
Why is measuring the effectiveness of promotional activities necessary? By conducting effectiveness measurements, we can verify whether promotional activities were carried out effectively, which provides hints for the next initiatives. To conduct promotions effectively, we should measure effectiveness from all angles and identify areas for improvement that can be utilized in future strategies. Two effects to analyze in promotional effectiveness measurement: 1. Communication Effect Examples: Clicks to the company website, number of inquiries, number of member registrations, brand favorability and awareness. 2. Sales Effect Examples: Sales and profits, ROI (Return On Investment), ROAS (Return On Advertising Spend). Seven metrics to utilize in measuring promotional effectiveness: - Number of responses - Response rate - Number of conversions - CPR (Cost Per Response) - CPO (Cost Per Order) - ROAS (Return On Advertising Spend) - ROI (Return On Investment)
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