ROAS Problem #4: Cannot Use ROAS On Omnichannel Campaigns
All this creates an inability to properly optimize uk phone number database your company's marketing mix.
If you use ROAS as your primary KPI you are forced to view campaigns in siloed channels, segments, and devices.
ROAS doesn’t accurately measure sales lift based on improved personalization, nor your ability to retarget prospects on channels other than social and search (such as email, text, messenger, direct mail, etc).
After exploring the downsides of using other marketing KPIs, the benefits of using Return on Marketing Investment becomes apparent.
Profit Focus Creates Accuracy - ROMI focuses on profits, not revenue. This gives you a clear picture on actual return and cash flow.
Completeness - Second, it incorporates all expenses giving insight on which marketing resources are under-utilized, and which are non-performing.
Omnichannel KPI - Finally, ROMI is capable of comparing marketing objectives across channels and devices.
What is a good ROMI? Return on Marketing Investment Benchmarks
The truth is, there isn’t a true best benchmark to use. Every input, from average order values to profit margins, to cost of ads vary across industries.
That being said, we’ve collected some general ROMI benchmarks to evaluate your performance.
What Marketing Channels Generate the Most Revenue?
I want to quickly thank Wolfgang Digital for publishing their annual report on eCommerce KPIs.
With their data I was able to create a few summary graphs to help establish some ROMI benchmarks. Above we see a breakdown on which channels are generating the most revenue.