By Sandra D’Souza
Kraft Foods has been able to make content marketing work for its business by measuring its Return on Investment (ROI). By studying the response of its audience, the company tailors its marketing for them and achieves higher returns.
Measuring ROI streamlines marketing strategy
When buying a new house, you need to study the property carefully to ensure you make the most out of your investment. Assess the indoors and the outdoors, and every nook and cranny to check for repairs. A fixer upper may be cheap at first, but it may end up being more costly than a house that is already in mint condition.
Similarly, this mindset should be carried out in content marketing. To get the most out of your strategy, you need to study it carefully and its impact. Nowadays, almost every company on the market is creating content. This leads to a saturated pipeline, which can drive out your content from the view of your audience. People only have 24 hours in a day to process information, and they may not get to yours! Therefore, you need to study your audience carefully: find out what they want, and the best way to present it to them. Soon, your content will come out on top of the ladder.
One of the companies making gains from this process is Kraft Foods. The company has already been generating content for quite some time through its Food & Family magazine, but it has recently adopted a mindset that equated its content marketing as similar with paid advertising. The food manufacturer puts investment behind its content, to maintain high quality and reap profits in return. “If you wouldn’t spend money behind it, then why do it? It’s shouting into the wind without making a sound…” said Julie Fleischer, the company’s director of Data, Content and Media.
So how does Kraft ensure that its content marketing makes the most bang for its buck? It studieshow its audiences respond to its content. The company has combined its data and management platforms to study over 22,000 characteristics of people that have interacted with it on the web. And then, it uses this data to generate content that will specifically cater to the preferences of its prospects. Moreover, the company gleans new interests and trends from this information to shape its advertising accordingly. But Kraft does not stop there. It determines whether its strategy leads to an increase in sales, Fleischer said. This approach has supplied an equivalent of 1.1 billion of advertising impressions for Kraft each year. Aside from this, the return of investment (ROI) from Kraft’s content marketing strategy is four times better than its traditional advertising scheme, she said.
Know the Ins and Outs of ROI, and boost your content marketing
Rarely does a one-size-fits-all approach work, but marketers and companies can learn lessons from the example set by Kraft. Measuring the ROI of content marketing has delivered gains for the company, and may serve others well in the future. So how do you get started with the process?
Well, you should recognize the need to measure ROI of your content marketing strategy. This entails gauging the performance of your content on digital and social media. You should measure it in terms of whether it brought in revenue or lessened costs. This will require testing your ideas, to know what works and what does not.
Now, how do you do this? First, you’ll need the numbers behind the content!
When using metrics, strive to understand the story behind them to see how they impact your business. Make use of key performance indicators that measure how your prospects engage with your content and the time it takes for them to make an action. You need to factor in all the costs associated with customer acquisition, which includes the expenses on advertising and sales staff, as well as on outsourced jobs, if there is any. Compute that against the number of people that have engaged on your website, and that’s how much you spend on your content marketing.
But of course, the process does not stop there. You also need to measure the number of the site visitors that become your customers. Otherwise, you won’t know whether your strategy has been effective. From there, you also need to gauge how your strategy provides new business for your company. This entails setting up a closed loop marketing system where the marketing and sales platforms share information about leads in order to turn them into loyal customers. For instance, leads that come through the HubSpot platform are then assigned to salespersons coming from Salesforce. In the end, this can become a win-win for both marketing and sales, as it enhances the efficiency of their respective jobs. If you go back to Kraft’s example, you can see that they have done the same thing.
In the midst of all of these, there is one thing you shouldn’t forget: the people you care about.These individuals do not only buy from you, but they are willing to share your content to others. You should nurture them throughout your strategy to bolster marketing for your business. Better yet, you may use their insights to create appealing content in your website and turn more prospects into customers.
Measuring the return on investment of your content marketing could enhance its potential to gain customers for your company and increase your business as a result. It may be challenging to do at first, but it will help you reap rewards in the long run.
This article originally appeared on http://www.learnmarketing.com.au/content-marketing/measuring-roi-is-kraft-foods-secret-spice-for-effective-content-marketing/