Marketing has a major impact on revenue. Research has shown that marketers have become obsessed with data and statistics in their efforts to improve their revenue generation. Marketing has become more of a science than an art. This obsession with numbers is also making it harder for marketers to make sales because there is so much information available to them. To make matters worse, there are more marketers trying to find the next big marketing secret that will drive revenue upwards. The result is a lot of conflicting information and much less focus on the actions that marketers can take to increase revenue.
There are some marketers who believe that changing the way they do things to attract more customers or at least create new opportunities for existing customers will improve revenue. However, without data architecture, these changes will be almost useless. As mentioned above, there is a multitude of information available to marketers. Marketers must choose which pieces of information are important to them and how to best present this information to their audience. Without this critical information, there is no way to know if a marketing activity is having an impact on revenue.
If a single marketing activity is having an impact on revenue attributed to it, then it might be time to evaluate the importance of other marketing activities. It may be necessary to reduce costs or change focus in order to continue to improve revenue. The analysis presented in this article will help identify which marketing activities are having the greatest impact on revenue attributed to them. Once this analysis has been conducted, marketers can make changes to their marketing activities or conduct more research to find new ways to attract more customers or generate more revenue.
A good way to quickly evaluate how important a marketing activity is to check out the impact on revenue attributed to changes in one of the metrics most important to marketers such as conversion rate, average order size, or average dollar value. With data architecture, marketers can quickly see what their data architecture currently represents. This allows marketers to quickly measure the impact of changes to their data architecture. For example, if a particular measure in a particular data warehouse represented $500 in sales for a particular month but this particular metric is decreasing, it would be important to make changes to the metric in order to reflect the changing environment.
Another way to quickly evaluate the importance of a particular marketing metric is to check out the impact on revenue of analyzing a new or different metric compared to the previously used metrics. This can also be accomplished by using a data visualization tool such as dashboard tools. With these tools, marketers can quickly compare data from one marketing function or analytic tool to another or a broader set of measurements.
In order for any analytics to be effective, it must provide relevant insights that directly impact business decisions. Marketers need to have confidence in the analysis and projections of their metrics. By evaluating performance against the business’s objectives, metrics can become an important source of insight.
While marketers have a number of choices when it comes to metrics, the process of choosing a new metrics provider can be a challenging task. It should be possible for companies to choose a metrics provider that is compatible with the size and scope of their business. Also, the business and company should have an established rapport with the provider so that there will be a smooth transition into the new metrics. Finally, the metrics chosen should have the potential to meet the future needs of the business. By selecting the right metrics, a company can improve its operations and make significant improvements to its bottom line.
Marketing’s impact on revenue does not have to be a one-sided assessment. The implementation of a balanced approach across all channels can yield greater revenue results and improve overall profitability. The best solution is to have a well-defined and clearly defined marketing data architecture in place from the initial product design through data integration and reporting. This will allow for the measurement of metrics across all channels and have the greatest impact on increasing revenue.