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Measuring the ROI of your Direct Marketing Program

Marketers like direct marketing programs, because it’s much easier to measure their success … especially when compared to other initiatives like image advertising. Still, many direct marketing campaigns are conceived and carried out without any firm goals in mind.  

Before you plan your next program, establish goals. That way, your program is more likely to be measured objectively … not judged subjectively.  

Consider performance factors like these:

  • Response rate targets
  • Closing rate targets
  • Lead quantity – allowable cost-per-lead
  • Sales volume – allowable cost-per-sale
  • Total revenue and unit sales targets

Of course, in the B2B world, the amount of increased sales is influenced by more than the direct marketing campaign itself.

Factoring in such elements as bids and price quotations may be somewhat subjective, but these still need to be part of your post-campaign analysis to ensure that your conclusions are credible and defensible.

One other thing: Market-test your key messages before rolling out your campaign. Your target audience will tell you how and what they want to buy … all you have to do is ask them!

Seems simple enough, but too many programs that are fielded fail because this fundamental step was overlooked.


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