Manage ROI with a marketing scorecard

Measuring return on investment from an internet marketing campaign is an essential way to determine which methods are succeeding and which tactics you may be wasting your time with.

However, according to a recent IBM study of more than1,700 chief management operators, 56 percent stated that they "aren't ready to be held accountable for marketing ROI."

Creating a marketing scorecard can accomplish this task, as well as provide rough estimates about whether a campaign will be profitable and track a company's goals versus its actual performance to tweak approaches that aren't working midway through, Search Engine Watch reports.

The news source reports that a marketing scorecard is a "single spreadsheet that compares the potential or actual return on investment from all channels." Simple enough. It should contain eight separate components, including channel, spend, visits, cost per click, conversions, cost per sale and any additional costs or conversion metrics.

By distributing one of these scorecards throughout a company, business owners can help their staff members understand what's working, or if money may be better off being spent elsewhere. Weaknesses can also be identified and tactical needs can be prioritized.