Cracking the Code of Content Marketing ROI: A Bold View for Leadersby@poojawritess
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Cracking the Code of Content Marketing ROI: A Bold View for Leaders

by Pooja SharmaAugust 10th, 2023
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Content marketing is a big deal for B2B businesses these days. It helps them connect with people, make their brand known, and close sales. A Statista report predicts this trend to surge, soaring to a whopping 107 billion by 2026.

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In a landscape where decisions fuel growth, content marketing ROI measurement is your compass. It guides you away from guesswork and towards impactful strategies.

Content marketing is a big deal for B2B businesses these days. It helps them connect with people, make their brand known, and close sales. A Statista report predicts this trend to surge, soaring to a whopping 107 billion by 2026.

And apparently, every B2B business is eager to leverage content marketing for its maximum potential. But here’s the concern, figuring out how much businesses getting back from their efforts can be tricky. This brings in picture the hero of today’s blog - Content Marketing ROI.

In fact, it is where almost all the businesses fail to do the mathwork and rely majorly on guesswork.

In this blog, let's cover how to figure out "return on investment" (ROI) for content marketing and talk in detail about the hefty mistakes to avoid. If you're a boss, a founder, or a product manager, you're in for some useful insights on how to make smarter choices.

First let’s discover, what is content marketing ROI.

What is Content Marketing ROI?

Content Marketing ROI is like a scoreboard for how well your content efforts pay off. It tells you if the money and time you put into creating content bring back more money. It's similar to checking if your investment was worth it.

Here's a simple way to figure it out:

ROI = (Revenue - Cost) / Cost x 100

Say you used $1000 for content marketing, and it made you $3000. That way, your profit is $2000. Meaning, your ROI is 200%.

This tells you that for every $1 you spent, you got back $2.

B2B content marketing ROI by industry

So, Content Marketing ROI is a tool to see if your content is working smartly, making you more money than you put in.

Evidently, content marketing, if not whipped with strategic actions, can plummet all your hard work & often weakens the entire content strategy.

To save you from bearing this whopping cost of some most common mistakes, keep reading this blog till the end.

Avoid These Mistakes When Calculating Content Marketing ROI

1. Set Clear Goals

Imagine you're embarking on a road trip. Before you hit the road, you need to decide where you're headed, right? The same principle applies to measuring your content marketing ROI.

Defining clear goals is like setting your destination on a GPS. It gives you direction, and purpose, and helps you stay on track.

When you outline your goals, you're essentially answering the question,

"What are you trying to achieve with your content?"

If you're looking to increase website visits, you'll focus on metrics like page views and unique visitors. If capturing more leads is your aim, then sign-ups and downloads become key. And if boosting sales is the target, tracking conversions and revenue generated takes the lead.

Each goal requires a specific approach. When you know your content goal, you tailor your strategy to align with it. You'll create content that resonates with your intended audience and nudges them in the direction you want.

2. Understanding the Real Costs

Most marketing teams overlook the whole picture. Think about making content like writing articles or making videos. It's not just about the money you spend directly. You've also got to count the extra costs, like the time people spend on it. The cost of content creation and

distribution that tags along both:

Direct costs: The cost of hiring writers, and editors, or outsourcing content through an agency. Indirect costs: The time spent by your in-house team to edit, brainstorm, assign, and publish the content.

According to Semrush,

Content marketing is important for B2B businesses because it can deliver a high return on investment (ROI). This is partly because it’s a relatively low-cost channel.

3. Focus on the Right Metrics

There's a plethora of metrics out there, but not all of them will suit your goals. Pick metrics that directly tie to your objectives.

Content Marketing ROI (image pexels)

For instance, if you're aiming for lead generation, tracking the number of sign-ups or downloads might be more relevant than overall website traffic.

Metrics may trigger a feel-good rush, with website visits in millions, a striking email open rate, and a spike in subscribers. Nevertheless, it rarely speaks about your product/business performance.

The interesting thing here is – if content marketing is not converting to tangible results and not pushing the subscribers to take action, what's the point? Or for that matter, the million monthly visits not piquing your customer's interest in your product/service -- all the endeavours go tanked.

How about focusing on actionable metrics?

  • Website conversions

  • Click-through rates through email campaigns

  • Testimonials, positive feedback on socials and website

These metrics present a vivid scenario of how your marketing efforts are touching the bottom line.

4. Overlooking Small Conversions

The larger picture of content marketing ROI is gauged through website conversion rates, down-the-funnel conversions and finally reaching to the sales team. However, to attain the macro conversion, micro conversion sets a breeding ground.

Micro conversions like

  • Digital product download (whitepaper, ebook, workbooks)
  • Newsletter signups
  • Social media mentions

act as a catalyst in the customer journey depicting the customer behavior and how likely they will interact with your future content.

Note: A well-crafted blog post might boost traffic, but if it doesn't translate to leads or sales, the ROI might not be as favorable. Conversely, a targeted Whitepaper might generate fewer visits but convert higher, leading to a stronger ROI.

5. Deep Analysis of the Customer Journey

A common mistake in content marketing ROI measurement is relying solely on self-attribution, where the last click receives all the credit for a conversion.

In reality, customers often interact with multiple touchpoints and content pieces before converting. Adopting varied attribution models and leveraging advanced analytics tools can help capture the full impact of your content throughout the customer journey. This comprehensive view is essential for understanding how each piece of content contributes to conversions.

B2B customer journey

Google's study highlights a fascinating insight - customers engage with about 2.8 touch points before buying. Therefore, crediting the final touchpoint overlooks the impact of the other 1.8.

For example, imagine a customer discovering your brand via a blog post, engaging on social media, and then buying after a promo email. If they say the email triggered the purchase, it downplays the role of the other content. It's like giving credit to the closing scene while ignoring the plot buildup.

Conclusion: Navigating the Content Marketing ROI Terrain

Measuring content marketing ROI isn't a crystal ball, but it's as close as you'll get to predicting success. As leaders and product marketers, you have the power to make data-backed choices. Define goals, pick the right metrics, calculate your ROI, and sidestep common traps.

Remember, ROI isn't just about numbers—it's about the direction you take next. Your content's success story unfolds through these figures, guiding you toward smarter, more effective strategies.

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