Your Marketing Needs To Be Measurable

In the world of advertising and marketing, one principle stands out as timeless and indispensable: the need for measurable results. Over a century ago, a prominent marketing book highlighted the importance of knowing what returns are generated by advertising efforts. The book’s author lamented that most advertising was done without justification, relying on hope rather than evidence. Even today, this lesson remains crucial, yet surprisingly overlooked in many marketing strategies.

The Importance of Measurable Advertising

The idea is simple: every dollar spent on advertising should bring back measurable returns. In today’s competitive business environment, it’s not enough to run ads and hope for the best. Advertisements must be accountable. This means that businesses should be able to track exactly how much revenue their ads generate.

Unfortunately, many business owners still struggle with this concept. They invest in marketing campaigns without knowing how much they are getting in return. This leads to a common coping mechanism: brand building as a justification for the lack of tangible results. While brand building has its place, it should not be an excuse for advertising that fails to produce measurable outcomes.

Accountability in Advertising

The core of effective marketing lies in accountability. Every ad, regardless of the medium, should be designed to achieve specific, measurable results. This approach contrasts sharply with the traditional mindset that often accepts vague or unquantifiable outcomes. Instead, businesses should aim to measure the impact of their ads in concrete terms, such as the number of sales generated or the revenue produced.

One practical way to achieve this is by incorporating mechanisms that track how customers discover your business. For instance, if a customer makes a purchase over the phone, it’s more than reasonable to ask, “How did you find us?” Similarly, online forms can include a field for customers to indicate how they heard about the business. These small steps help ensure that every advertising effort is linked to measurable results.

Building Effective Systems

While it’s true that no measuring system is perfect, having one in place is far better than relying on guesswork. Imperfections in measurement are acceptable as long as there is a system that provides insight into the effectiveness of advertising campaigns. The goal is to build systems that make every ad accountable.

Consider the contrast between typical television commercials and a hypothetical, more targeted approach. Many commercials today are filled with entertaining but ultimately irrelevant content, such as humorous skits or celebrity endorsements. These ads often lack a measurable component, making it difficult to gauge their effectiveness. In contrast, imagine a commercial that directs viewers to a specific website where they can receive a discount on a product or service. By tracking visits to the website and conversions, the effectiveness of the ad becomes clear.

The Bottom Line

In a world where marketing budgets are often stretched thin, it’s essential to ensure that every advertising dollar is spent wisely. Measurable advertising is not just a strategy; it’s a necessity. Businesses that prioritize accountability in their marketing efforts will not only stand out from the competition but will also see better returns on their investment. The lesson is clear: if an ad isn’t measurable, it isn’t truly effective.