Every entrepreneur or marketer eventually faces the exact same dilemma: the paradox of choice in digital marketing. Each day, you’re inundated with information about all the places where your business needs to be. One person will say TikTok Reels are your only hope, another will say local SEO, and yet another will assure you that your best bet is paid ads on Facebook or an elaborate email sequence.
If you try to be everywhere at once with a limited budget, you will find yourself spreading yourself and your budget very thin indeed. You lose focus, quality control becomes a challenge, and what do you have to show for your efforts?
Five wasted marketing channels!
When you find yourself uncertain of where the action is really taking place and what is driving your business, you may as well gamble with your entire marketing budget. However, a solution is not to make any assumptions or rush into whatever trend happens to come by; rather, what needs to be done in this case is a classic data-driven approach to your marketing strategy.
To compare channels accurately, you will have to shift your focus from viewing individual platform dashboards to building your data system. Social media applications are designed to display their metrics in a favorable light. To get factual information, you need an independent system of tracking tools.
Three components form the basis of cross-channel attribution tracking:
The UTM parameter is a small code string that you append to the end of your URL. This is like giving a passport to your links. By assigning unique UTMs to your Instagram profile link, email marketing subscription button, and paid ad landing page, you can inform your analytics tools which channel, campaign, and particular piece brought visitors to your website.
Consumers seldom purchase something at first glance. An example of the multi-touch process would be a consumer who finds your brand by reading an informative blog article (SEO), sees your brand advertised in a retargeting ad a week later, and finally makes a purchase after opening your promotional newsletter. Attribution modeling within your analytics tools gives you insight into this process via:
Once your tracking setup has been completed, the next step is performing true **digital strategy optimization based on these findings. No longer able to simply rely on the cost per click, you now have no choice but to assess channel performance with a more detailed set of financially-focused metrics:
If you analyze your marketing efforts using data analytics, then you will see a clear picture. And once you have solid numbers to rely on, everything falls into place. Should Channel A have a higher cost-per-click rate compared to Channel B but an incredible three times higher Customer Lifetime Value, you can confidently invest in Channel A without any doubts.
Data analytics does not necessarily mean amassing large amounts of data for its own sake. The point of data analytics is to take decisive action. Check your channel performance indicators once a month. Pinpoint your weakest 20% of the channels and discontinue them, or find better ways of dealing with those underperformers.
In summary, take that freedom and apply it straight back into your best channels to propel your growth. Don’t make your growth dependent on educated guesses anymore. Letting data drive your marketing campaigns allows you to turn marketing into an efficient process and not a stressing expense.
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