As with any marketing campaign, understanding and being able to measure the ROI from your influencer marketing campaign can be difficult.
It’s not as simple as recording how many extra sales you’ve generated if the aim of your campaign is brand awareness, for example. And, even if you aim to generate sales, it can be challenging to know which sales came from your influencer campaign and which sales came in through other methods.
However, you can take some simple measures to help you understand your ROI and how successful your influencer campaign is.
Set your goal
Most businesses want to increase brand awareness, the size of their audience and sales, of course.
An influencer campaign will likely help you to improve all three of these things, and more besides, however, to measure and understand your ROI, it’s essential just to choose one key area of focus.
Decide what is the most important outcome for your influencer campaign, and build your strategy on that one area alone. Focusing on one key indicator makes it easier to measure success.
Set KPI’s that are relevant to your goal
Next, set a KPI relevant to your goal and understand the earning potential (or ‘R’ in ROI) that your KPI affords you.
For example, if you want to increase your brand awareness, then an excellent way to do that would be to track the number of visitors to your page or the number of impressions for a particular piece of content. You could then extrapolate what the increase in revenue is likely to be due to this, based on your current income and audience size.
Similarly, if you were more concerned with sales, you could track the number of sales of a particular product and, therefore, the increase in profit.
When setting your KPI, it’s crucial to ensure that it’s realistic.
The most reliable way to calculate a KPI goal is to base your expectations on the results of previous campaigns. However, if you’ve never run an influencer campaign before, this can be tricky!
If you would like help calculating realistic KPI’s for your influencer campaign, then EAEO can help you. We’ve run influencer campaigns for companies of all sizes, and in various industries, so we can help you to understand what’s realistic for you.
Don’t forget to calculate the ‘I’
Before you run off and start scoping out influencers, make sure that you understand the total cost of your influencer campaign.
Be sure to account for things like the cost of the influencer, the production costs of any content, time costs for research and development and the price of analytics software subscriptions.
So how do you measure the ROI From your Influencer marketing campaign?
The best method will vary depending on what kind of campaign you’re running, but here are some ideas to get you started:
- Promo codes – everyone loves a discount, and using promo codes will help you see which orders came from your campaign.
- Read the comments – people are generally quite vocal online! So be sure to take the time to read the comments to gauge how effective your campaign is.
- Affiliate links – You can trace orders placed using an affiliate link back to the post (and therefore the campaign) that generated them.
- Brand lift – if you’re running a video campaign, you can use brand lift reporting from Google, which allows you to monitor things like ad recall and brand awareness.
EAEO can provide you with comprehensive reports that allow you to measure the success of your influencer campaign effectively. If you’d like to learn more, please get in touch.