How Can You Measure the Success of Your Demand Generation Campaigns?
Gaining attention from the crowded market takes a lot of efforts. How have you been doing your demand generation campaigns? Why is it difficult to stand from among the crowd? Considering the dozens of competitors in the market, what could you do to continuously generate demand? How can you be among one of the options that your leads would consider before making the final decision? It takes time and efforts to reach to that level but you can keep on doing campaigns to capture the attention of your target audience. It is also equally essential that you measure the success of your demand generation campaigns.
The question is – How successful have been your Demand generations campaigns? To answer that, let’s see a few metrics and you can decide your performance based on that.
Generating demand should begin with identifying the audience that will be more receptive to your campaigns. Demand generation identifies future prospects based on their actions.
There is a variety of ways in which we can measure your demand generation campaigns success. For example, raw leads, funnel transitions, sales cycle, number of meetings, etc. We don’t want you to be too bothered about too much information from the metrics. Hence, in our idea understanding following things would help you better analyze.
When you have a look at the conversion metric, see how lead source affects the percentage of conversion. By that, you will understand which of the demand generation methods works best for you. This way you will come to know if your social media channels bring better results or trade shows. You also should take this into account that if PPC leads are costing you more but are performing better and faster they are actually cheaper than it appears to be.
This shows how people are responding to your content and campaigns. Your website traffic, click-through rates, unsubscribe rate, open rates, etc can indicate how powerful have been your demand generation campaigns.
This indicates the effectiveness of your funnel activities. The metric can involve the number of marketing qualified leads, sales qualified leads, the length of your sales cycle.
This metric can include the total revenue generated, conversion rate, lifetime value of the customer, customer acquisition rate, etc.
Cost per acquisition (CPA)
This is the metric which will help you decide your ROI. You might be getting clicks and views but if you are not able to generate revenue out of that, you will be in trouble for wasting a lot of your money in vain.
CPA is calculated as below –
You can also calculate the cost per sale or even cost per lead and this can help you greatly to understand how well your demand generation campaigns are performing.
Close rate per channel –
If you are using a variety of demand generation channels, then it is essential to also do the analysis of which channel is giving you the desired output. The different channels you use could be,
- Social media
Conversion rate –
The demand generation operates in 4 stages namely, Awareness, Interest, Decision, and Action. As the leads move through the funnel a decent number of leads are disqualified as they move down the funnel.
Perhaps, there could be different reasons such as –
- That wasn’t the right time for them to buy
- Or they were out of the budget
- Or they were not looking for the solutions with much of intent to buy
There is no proper benchmark set for your leads as they move through different stages of the funnel but you should keep on improving your conversion rates. The conversion rate highly depends on the quality of your leads. If you improve the quality of the marketing resources you provide your leads throughout the funnel, you will see your conversion rate improving.
Sales cycle –
How long does it take for your leads to become prospects and your prospects the sales opportunity, and for the sales opportunity to become a customer? Your goal should be to keep this metric as minimum as possible.
So far we saw a few key metrics but, you won’t see the success overnight, but you check important metrics to determine how good you have been so far. For your demand generation programs to be successful, it takes more than the latest marketing technology or trend. Rather than just relying on any one of the trends, you can choose certain go-to activities as the base which you know will work definitely, along with the new trends that you want to go for. How can you be successful in driving cost-effective demand generation campaign? If you want to know more about Demand generation tactics, please contact through email or you can also comment below.