How to Measure the Efficiency of an Ad Campaign?

The secret of successful marketing strategies is analyzing campaigns and making each of them more efficient than the previous one. But how to measure results? Which campaign can be considered successful? In this article, we will take a closer look at the essential points an advertiser needs to take into account.

Key metrics

First of all, metrics that help you measure a campaign’s results strongly depend on your campaign’s goal. Basically, ad campaigns can have two different types of goals:
• performance, which targets a specific action;
• image, which should increase brand awareness.

For these types of campaigns, different metrics are used. Let’s dive into the details and look at these metrics separately.

Performance campaigns metrics

Launching a performance campaign, you target specific actions users should do. Thus, it is necessary to take into account metrics that show the cost of these actions.

1. CPM, or cost per mille, is the primary indicator here. The more users see your video or post, the lower the CPM will be, and there is a high chance that you will get more targeted actions.
2. CPC, or cost per click, is the second indicator to consider. In this case, the more people became interested in advertising by clicking on it, the more effective it was.
3. CR, or conversion rate, is the next crucial metric. To measure it, you need to divide the number of clicks by the number of your target actions.
4. The following metrics are CPI, or cost per install, and CPA, or cost per action. Here, you measure the cost of your target actions directly.
5. The final and most important indicator is ROI or return on investment. This indicator should be positive; in this case, you can consider your campaign successful.

Average conversion rate statistics

As CR (conversion rate) is one of the essential indicators for a campaign, it is better to take into account that this parameter depends on the number of a blogger’s subscribers. From the experience of marketing specialists, the correlation is the following.

• Small bloggers (from 1 to 100 thousand subscribers). Conversion is 8 off views %.
• Average bloggers (from 100 to 500 thousand subscribers). Conversion is 6%.
• Large bloggers (from 500 thousand subscribers and more). Conversion is 4%.

If you choose influencers correctly and hit the target audience with the offer they need, the conversion may be higher.

Image campaigns metrics

Brand awareness is crucial since, thanks to it, your audience would feel more comfortable with a product or service. It’s much easier to reach your target audience when people already know your brand. And for sure, the best result in this field would be if the first association with a product or service is your company’s name.

Influencer marketing turns out to be one of the best tools to reach such a goal. But if an influencer cannot connect your target audience with you, all this work may be in vain. Therefore, you need to understand precisely how to measure the efficiency of an influencer campaign. The following metrics will help you determine whether your choice is correct.

1. Reach reflects the number of users who viewed the content. The more people have seen it, the higher the level of brand awareness will be, and accordingly, the more people trust you. You can easily track this parameter at an influencer marketing platform, for example, InstaJet.
2. Engagement shows whether people are responding to the content and the brand. The number of actions in relation to the content reflects how many people are engaged with it.
3. Impressions help you understand how many times your content has been featured in the feed.
4. Mentions are also an important indicator, especially if you are launching a new product or entering a new market. This metric will help you determine how the audience reacts to the brand and what is the tone of these reactions.
5. And, for sure, you need to measure sales, database growth, social media growth, etc., continuously. If you notice a steady increase in these indicators, then the campaign is successful.

Summing up

When analyzing an ad campaign and planning the next one, there are many points to consider. To make this process as efficient as possible, you should take into account various metrics.

However, collecting and analyzing all the numbers might take a lot of time and effort. That is why many marketing specialists and business owners today prefer using influencer marketing platforms instead of doing all this work manually. Such platforms as InstaJet.io collect all the analytics in one place, and managers can help you with the campaign, from launching it to collecting final analytics. Thus, such services can save your time and resources for crucial business processes.