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Where to use Your Digital Marketing Budget?

by on January 4, 2022 in Business, Digital Marketing

Where to use Your Digital Marketing Budget
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Sadly, budgets are not something that can be stretched. Therefore, you need to use the money wisely, in order to maximize your return, regarding online marketing. But how can you know that you are doing so? The first thing, before starting to plan, is finding out about the ROI (return on investment). Let’s take a look at the digital marketing tools that can bring you back the most revenue.

Digital Marketing has become More Important than Traditional One

Although we won’t go through the reasons why digital marketing has taken over traditional one, we should at least point out one fact: thanks to the last two COVID-19 years, more commercial activities are taking place online than inside physical stores. Statistics show that by the end of 2023, the money spent online, on digital marketing, should represent more than 65 % of all adds, on any platform. We also need to point out that most of that money still goes to pay for search and display advertising, on engines such as Google. For more on the subject of advertising online, visit 12handz.com/blog.

Looking for the best cost-per-acquisition on online advertising

It is difficult to define which tool represents the best cost-per-acquisition online. In a way, it will depend highly on what you sell. That is because fresh products will need a different kind of online publicity than travelling packages (as an example). There are so many tools available today on the internet, that the choice is only getting harder, as they accumulate. Click ads, content marketing, social media are but a few of the options companies have, in order to be seen by the public that they want. It is therefore important to know the audience, in order to identify the way they are easier to approach.

What are the Conversion Rates of the Most Important Tools Available?

This is the subject that should interest every marketing director the most. That is simply because the goal, for any of them, is always the same: Generate as many sales as possible. If the conversion rate is higher, that means, in theory, that the tool has a stronger value. However, you also need to consider the cost of its use versus the revenues it will bring in. If you don’t reach the levels that we will mention below, it may be in part due to the fact that your audience is not easily reachable through that specific tool. It may also be due to the fact that your message is not coming through because of the way you built your marketing campaign. Therefore, you should first test the same message on another channel, and if it still doesn’t get the result it should, then change the way the message is formulated.

NOTE: The numbers that you find here, are the conversion rates for B2C marketing campaigns.

  • Email marketing campaign: 2.8%
  • Organic social media: 2.4%
  • SEO: 2.1%
  • Paid social media: 2.1%
  • Affiliate marketing: 2.0%

Please note that there is no point in creating a marketing campaign based on e-mails if you don’t already have a strong database. In this case, invest more on search engine paid ads.

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