How do you calculate ROI based on true lead value or quality?
I guess this question is mainly aimed towards people active in lead generation for their own business or who do this for clients and who are spending on advertising.
Generally, if you run advertising campaigns you know our average lead value and quality and optimize our campaigns based on that. Then after each week or month you calculate our exact ROI based on our ad spend, real customer value and lead quality which we can get from a crm and use this info to optimize even more.
For my clients I mostly use excel for this, which is a pretty slow process.
Also this process is not very accurate. Of course you always know which marketing sources and campaigns brought the most leads and has the best conversion rate etc. But to figure out which campaigns bring in the highest real revenue and lead quality is something more difficult. Not to mention doing this regularly enough to optimize your campaigns based on this.
What's your opinion on this, do you calculate this and if so how?
Generally, if you run advertising campaigns you know our average lead value and quality and optimize our campaigns based on that. Then after each week or month you calculate our exact ROI based on our ad spend, real customer value and lead quality which we can get from a crm and use this info to optimize even more.
For my clients I mostly use excel for this, which is a pretty slow process.
Also this process is not very accurate. Of course you always know which marketing sources and campaigns brought the most leads and has the best conversion rate etc. But to figure out which campaigns bring in the highest real revenue and lead quality is something more difficult. Not to mention doing this regularly enough to optimize your campaigns based on this.
What's your opinion on this, do you calculate this and if so how?