Do you ever wonder how much your content is making you?
If yes, then congratulations you’re among the 10% of content marketers of the world who actually know what their content is getting them.
If you’re unable to answer this question then you’re just writing to keep your website or blog all populated. You must have been monitoring how much traffic you racked up or how much the content helped you in growing your email list, but these factors certainly don’t measure the success of your content marketing campaign.
After interacting with countless content marketers who don’t know the first thing about measuring the revenue generated from their content, we have devised a formula for you. This is no mathematical equation. The following two metrics of the formula is going to help you in measuring your content marketing effectiveness:
- Ask the stakeholders to invest in building a smart content team.
- Shift the focus of your content marketing from long term branding efforts into measurable marketing activity.
How can you measure the growth of your content marketing efforts?
Well, the formula to it is simple:
Content marketing Growth= Number of leads*purchase frequency*average order value
The above three multipliers i.e. a number of leads, purchase frequency, and average order value determines the growth of your content marketing.
The most amazing thing about this formula is that if you increase each factor by 30% you can obtain double revenue by just content marketing.
Assume that these factors right now are:
500 leads*0.5 purchase per lead* $10 value on average = $2500
And if you happen to increase the three factors by 30%, you’ll see a significant increase in the revenue.
600 leads* 0.6 purchase per lead* $13 average order value = $4680
30% is quite doable. Now you must be wondering how you can optimize content to make your reader a customer.
So, capitalizing on opportunities that content marketing provides you with is highly important. SEO people are more focused on quantity, whereas quality should be the higher priority.
If you have this question echoing in minds that how we can increase the above three factors then don’t worry my friends we are here to help you out.
How to increase average order value?
Alright, assume that we have this strong email list and are continuing to grow it with every passing day. Then what? We know that half of them are converting but how can we motivate other people to not bounce away from our platform?
One of the most effective ways to improve average order value is to bundle up the products. Let me support my suggestion with an example.
Nintendo is offering a bundle deal of Nintendo switch and a carrying case. The Nintendo switch can be transformed into the home console and is also a portable system which allows you to play your favorite games on go.
Nintendo bundled ad offer.
Bundle offers are not only to deliver discounts on the products within a package but also help you to improve the average order value. We all go for Amazon deals to find out the best-bundled products for ourselves.
You can also utilize cross-selling to improve AOV. Cross-selling is a simple concept of selling an additional product to an existing customer for some extra bucks. That’s why the strategy of $0.88 chocolates work on the checkout counter or this is why McDonald's ask you if you want to pair your meal up with a shake or some fries. Or a telecom company such as Cox communication bundles Cox cable with internet and phone.
There are two ingredients to cross-selling formula. They are urgency and deep discounts. Cater to the urgencies and offer deep discounts and viola you’ll certainly see an increase in AOV.
Secret to Cross selling= Urgency + Deep discounts
How to increase the number of leads?
Well, this is a frequently asked question and every expert has different suggestion to give. I’d say a very simple yet thinkable thing here. The more you focus on the value you’re providing to leads, the better are the chances to generate leads.
Assume that you’re reading about how to increase customer loyalty and you thought “Oh man I can certainly utilize media marketing tools to get it”? Yeah! Exactly never. So the mention of media marketing tools is never going to get you any lead. The best you can do is offering the reader something that they actually value.
How to increase purchase frequency?
You must have a wide long e-mailing list. But how can you make your existing customers frequent? There are a few things you won’t want to save your money on. Like tattoos. You’d rather spend more to get a tattoo of your choice and satisfaction.
Same is the case with customer acquisition. Getting yourself leads is a costly task, you may be running ads to get qualified traffic on your site. But once you make that lead included in your email list the cost of acquisition goes down instantly. It will help you in maximizing the profit by reducing the cost of acquisition.
The best thing you can do to make your customer a regular one is by using some product like a trip wire. You must have seen many websites promoting their product by just charging a shipping fee. This tactic is very helpful in retaining customers via delivering quality. Once a person will get the product for free and will create a positive word of mouth for your company in the potential audience. This is not just helpful with WOM but also help in increasing purchase frequency.
I hope the article has helped you in understanding the potential of content optimization. How content marketing can be used to increase revenue effectively. Try this formula out to see amazing results. I personally have put it to work and observed significance difference in revenue.