11 studies prove the ROI of digital marketing 0

Posted on September 07, 2014 by Rob Petersen



Show me the ROI

New media channels have more to prove.

Many companies believe there still isn’t enough data to prove return on investment (ROI) in digital marketing.

However, according to Nielsen Ad Dynamics, companies in FMCG (Fast Moving Consumer Goods) allocate 60% of media to television even though only 18% of tradition TV campaigns generate a positive ROI (source: Socialnomics).

What does this tell you about how companies make decisions? By habit? Or by effectiveness?

Here are 11 studies that prove the ROI of digital marketing (with the links, brief summary and key findings of what each study proves).

  1. CADBURY: Cadbury’s “Chocolate Charmer” online advertising campaign provided ROI almost 4X higher than their TV campaign. The chocolate brand ran a cross-media campaign for its Dairy Milk brand, covering TV, online ads and YouTube promoted videos. Despite only investing 7% of its budget in online, the brand saw the sector generate 20% of the sales.
  2. COMSCORE (KELLOGG): Kellogg uses marketing mix models to assess the effectiveness of the various elements of its marketing mix. Results from two Brand Market Mix Models show an increase in ROI of 5x and 6x for digital advertising since Kellogg began using comScore advertising effectiveness services to improve the delivery of its media plans. As Kellogg adds viewability measurement* to its optimization processes, it is expected that these ROI numbers will increase further.
  3. DIGITAL CONSORTIUM STUDY: Consortium members who include Procter & Gamble, Unilever, Nestlé, Kraft Foods, Mondelez, Kimberly-Clark Corp. and Kellogg Co. found marketing-mix models undervalued digital ads, Overall, the best models underestimated the ROI of Facebook and Google ads by only 4% and 11%, respectively. The study found ROI from Facebook ads is underestimated by as much as 48% and from Google search ads by as much as 39%.
  4. DIGITAL DISTRESS (ADOBE): In a survey of 1,000 US marketers, it was found that only 44% of marketing departments say they  have a great deal of influence over their organization’s overall business strategy; 40% think their company’s marketing is ineffective; only 34% feel highly proficient in digital marketing but 83% say it is important for marketing to prove the business impact of ROI and 79% say it will be even more important next year.
  5. ECOMOMETRICS: Microsoft did an Econometrics study of the effectiveness of digital advertising. Econometrics is looking at vast amounts of good quality data, collected over long periods of time to identify and quantify different brand drivers. As for ROI, they found digital outperforms TV, Print, Radio and Outdoor. They also found that, if digital is added to these media channels, it enhances their effectiveness.
  6. ECONSULTANCY: comScore and Econsultancy show that more than half of digital ads (54%) are never seen by consumers. It’s a colossal waste, and demonstrates the need for brands and marketers to make sure for ROI that ads are viewable. They recommend: 1)  Make viewability a top priority, 2) Select ‘on-demand’ ad formats, 3) Native ad formats will be more viewable, 4) Make the creative compelling and 5) Be relevant to the content and the consumer.
  7. FOURNAISE: In interviews with 1,200 CEO’s, management and marketing decision makers, 90% global marketers are not trained to calculate return on investment (ROI), and 80% struggle with being able to properly demonstrate to their management the business effectiveness of their spending, campaigns and activities.
  8. GOOGLE AND DOVEGoogle and Dove worked together to explore the impact of online advertising on in-store sales. The study found that the inclusion of online advertising resulted in a 6% overall sales uplift. Online advertising was most effective when used in synergy with national TV, a combination that led to a 11% sales uplift. Most interestingly, it was found that although the campaign advertised a single product, it was effective in generating sales over the whole range.
  9. KANTAR WORDPANEL: Coke’s return on investment from Facebook advertising in France beat its ROI from TV. Every euro spent on Facebook returned 2.74 euros in additional Coke sales. That was 3.6 times better than the ROI attributed to TV ads. In all, 27% of incremental sales Kantar attributed to the campaign came from Facebook, but only 2% of the cost.
  10. NIELSENConsumer packaged goods (CPG) brands can experience a return of almost three dollars in incremental sales for every dollar spent in online advertising that has been precisely delivered using purchase-based information.  Nielsen completed more than 800 studies over the past seven years, collaborating with more than 300 CPG brands and 80 companies to measure the correlation between online advertising and offline consumer purchases.
  11. 166 CASE STUDIES PROVE SOCIAL MEDIA ROI: BarnRaisers has published case studies that prove the ROI of social meidia for B2C and B2B comapnies (large and small) across a broad range of digital marketing channels – Social Media, Social CRM, SEO, Customer Service and Social Promotion. You can download the eBook for free on the sidebar of this website

Do these studies prove the ROI of digital marketing to you? Do they help your company to make decision based on effectiveness, not by habit?



10 case studies prove the ROI of brand advocates 16

Posted on December 07, 2013 by Rob Petersen




Brand Advocates

brand advocate is a person, or customer who talks favorably about a brand or product, and then passes on positive word-of-mouth (WOM) messages to other people.

According to Forrester, Zuberance and an infographic from Jay Baer (below), the influence of brand advocates accounts for billions of dollars in purchases for everything from cars to computers, hotel rooms, movies, enterprise software, and more. Brand advocates are:

  • 5X more valuable than average customers
  • Spend at least 2X as much as average customers
  • Spend 3X as much as average customers over their lifetime of their relationship with a company or brand
  • Reach 150 people in social media every time they advocate for a product or service
  • 92% of consumers trust brand advocates

Do brand advocates generate return on investment for brands? Here are 10 case studies that prove the ROI of brand advocates.

  • AMERICAN EXPRESS: To promote small business credit cards, American Express created a social media community for small business owners to share, learn and grow. They also created a holiday, Small Business Saturday. The community has 2,700,000+ Likes, 195,000 Tweets and American Express saw a +23% increase in transactions to small business merchants.
  • CARS.COM: encouraged rating, reviews and sharing (versus no ratings, reviews and sharing) and it showed that pages that had ratings and reviews had a 16% higher rate of conversion and a 100% higher rate of traffic through to dealer’s sites.
  • DUANE READE: A drugstore chain with 250 location in New York and New Jersey, used a VIP Blogger Team generating content via their own social platforms, DR-QR code landing page, blogs, and Google+, in addition to traditional PR tactics. The utilization of celebrity bloggers from daytime shows and one-hour Twitter parties created over 20 million impressions. From over 2000 pieces of original content, there was a 28% lift in year-over-year sales and a 5x ROI.
  • FOLICA: A well-known retailer of health and beauty products, noticed they had many referrals to their website, but had no way of tracking and identifying these referrals. By engaging their customers and encouraging them to share the secrets of great hair, customers were able to share via Facebook, Twitter, email and personalized urls. After 30 days of running the new Social Referral Program, 6,000 brand advocates were identified. The average number of shares per advocate was four. 21,000 shares had been generated via Facebook, Twitter and email and a 16% conversion rate was driven by the program.
  • J. HILBURN: A retail brand which was receiving many referrals from existing satisfied customers. By offering customers $50 for each friend referred and encouraging the advocates to share the offer using social media, brand advocates were identified and rewarded. Any referred customer who spent over $100 received a $50 discount on their purchase. After 45 days of running the new program, 1,000 customers had made referrals. Averaging 12 shares per advocate, the referral program produced 10,000 social shares via Facebook, Twitter and email. The bottom line result was 600 transactions which created over $250,000 in sales.
  • ROKU: specializes in streaming entertainment devices for television. With 1,000,000+ units already sold, they tapped their existing and large user database into a source of acquisition. Sales increased 30% and the number of monthly referrals is now around 10,000 per month.
  • SENDGRID, a cloud-based e-mail provider, contained a simple offer for existing customers which could be shared socially. The offer was made to existing customers to share referral links. This meant that when any of their referred friends became new paying customers of SendGrid, they would receive $20 cash and the referred customer would also receive a 25% discount on their first three months. SendGrid achieved a 111% ROI after six months of running thel program and a 353% ROI projected for the first year of the program.
  • STARBUCKS: Since 2008, has been advocate-driven idea tank where Starbucks drinkers submit ideas for new products and coffee concoctions. It has worked as a hub for all Starbucks customers to share all their ideas, suggestion and even their frustration.  “We used to launch a new product and it cost millions of dollars. Now, when we launch a new product, we already have millions of fans,” say Chris Bruzzo, Vice President Brand, Content and Online at Starbucks.
  • SUBWAY: Sponsored the “Slim Down Challenge,”  a live speaking event consisting of some of America’s hottest speakers and celebrities. Its mission was to travel from city to city across America delivering powerhouse information that challenged your mind, heart, and waistline. They used social technologies and promotion apps to raise awareness of the Slim Down Challenge and recruit speakers. The strategy included a social competition. This was part of a full marketing strategy for the campaign. They found that 71% of site traffic that went to the registration page, came directly from Facebook.
  • WALMART: Has 34,000.000+ fans, more than any other brand on any social platform. They also have more than 385,000 followers. They post 6 to 7 times per day. They engage with fans, regularly. Last year, on Black Friday, Walmart received 62,000 posts from consumers, a rate of 42 per minute. The engagement with consumers who spread the work is getting a “marketing equivalent” of 10X return-on-investment (ROI) compared to other advertising spends according to CMO, Stephen Quinn.

These case studies cover brands big and small, B2C and B2B and show brand advocates can be found for any business if you look for them. Do they convince you of the ROI of brand advocates?

To learn more about the ROI of social media marketing, download the ebook, 166 Case Studies Prove ROI of Social Media Marketing  (80,000+ people have). It’s free on the sidebar or join our email list and have case studies like these delivered to you.

Did these case studies on the ROI of brand advocates teach something new.

Brand Influencers vs. Brand Advocates


11 convincing case studies prove the ROI of CRM 0

Posted on November 03, 2013 by Rob Petersen




Customer Relationship Management (CRM) is a model for managing a company’s interactions with current and future customers. It involves technology and software to organize, automate and synchronize sales, marketing, customer service and technical support.

CRM has been with us since 1986 when ACT!, the #1 best-selling contact and customer manager, introduced the business world to contact management software, essentially a digital rolodex. Today, CRM involves the use cloud-based and SaaS CRM solutions to lower costs; the integration of marketing channels like digital social media and mobile devices to increase leads and conversion; and “Big Data” to make smarter business decision from analytics.

How is it working? Here are 11 convincing case studies to prove the ROI of CRM.

  • ALLINA HEALTH: Used CRM to manage its data warehouse. It’s identified benefits that include reduced patient length of stay, reduced admissions, and improved health outcomes in stroke, depression, and angioplasty treatments. Within 2 years, the CRM initiative had an ROI of +152% and generated $1,052,828 each year.
  • BEST BUY: Proactively monitored the social channels for customers in need of either customer service support or technical assistance. They created a CRM community to offer a place where  Best Buy’s advocates including Blueshirts, Geek Squad Agents, and the community teams used lTwitter as their customer service channel. There are now roughly 600,000 customers visiting the community and posting 20,000 messages (over 77,000 messages and counting). The community has published over 22 million pages of content. Best Buy estimates that online community engagements provide a benefit of over $5,000,000 to the organization.
  • BUSTED TEES: Sought to bring back recent customers and convert casual browsers, but they also wanted to re-engage with customers who hadn’t made a purchase, been to the website, or opened an email in a significant period of time. They use CRM Retargeting to serve display ads to people with nothing but an email or mailing address. It increased average order value to $40 and generated an ROI of +390%.
  • CANADA POST: One of the world’s largest and most technologically advanced postal companies, has $5.9 billion) in annual revenue. It uses CRM as a cornerstone of its business transformation, particularly with regards to electronic shipping tools for commercial customers; internet sales and service tools for customer self-service and easier access to services; and contact centers to give customer service agents integrated information for customer transactions. CRM saved $16.25 million in revenue leakage.
  • CISCO: Established a social media listening center. It listens to more than 5000 social mentions a day on Facebook, Twitter, and other social channels. Cisco has been able to control outside agency fees, avoid other customer and partner interaction costs, increase team productivity, and identify new sales opportunities. The social media listening center has had an ROI of +281% in 5 months to generates an annual benefits of $1,596,292.
  • GET SATISFACTION: A leading online customer community platform that companies use or customer support, idea submission, marketing and sales questions, and capturing positive feedback, focused traffic driving strategies on search, social media, blogging, and buildling a content community. The CRM strategy achieved an ROI of +104% in month one, +168% in month two and +248% in month three.
  • KIXEYE: An online gaming portal, used CRM to increase customer acquisition through its growing volume of Facebook ads. It’s enabled Kixeye to decrease annual advertising costs by 15%, extent the acquisition life cycle of games by 6 months and increased user productivity by 7.5 percent.
  • MAGOOSH GRE: offers online courses for GMAT, GRE and SAT courses including video explanations, subject lessons, and practice tests. Magoosh ran a test and found that people who had been retargeted converted at a significantly higher rate than the control group. A CRM retargeting campaign generating 1,123 conversions for an ROI of +486.
  • QOSINA: A medical and cosmetic components distributor, sells products to medical, pharmaceutical, cosmetic, skincare and spa companies. It used Microsoft CRM to effectively track its customer and prospect interaction, and to provide management oversight for accountability of sales opportunities and salon industries. It generated ROI of +172% within 2 years.
  • TYROIT: is Europe’s largest manufacturer of bonded grinding, cutting-off, sawing, and drilling tools, generating $416 million in annual revenue from more than 70,000 unique products produced in 19 plants for 60 countries. Tyroit used CRM  integrate products and solutions to reduce the number of contact points and transaction costs. It increased bottom line costs by +25% and produced an ROI of +183% within 2 years.
  • ZENDESK: is a web-based customer support software company with a robust ticket management system and a strong customer community. They offer products from starting from a free trial to three paid tiers. They used retargeting to improve lead generation and saw conversion increase by +1317%.

As a full service digital marketing agency focused on proven relationship marketing principles and ROI,  we want to make sure there’s a case study that relevant to your biggest business challenge.

We pride ourselves on being, perhaps, the most robust resource for digital marketing case studies on the internet. Visit our Category Page on Case Studies; download our complementary eBook, 166 Case Studies Prove Social Media Marketing ROI; or sign up for our Newsletter to get the most current case studies, as soon as they are available.

Are case studies important to your business? Do these 11 case studies prove the ROI of CRM to you?


10 more company case studies prove ROI of LinkedIn 1

Posted on September 15, 2013 by Rob Petersen



social media acquisition stats

If you’re a B2B business, and lead acquisition matters, the numbers show so does making the most of LinkedIn.

Last week, we published 11 company case studies prove ROI of LinkedIn. This week, we’re publishing 10 more.

21 case studies is hopefully enough to find one that’s similar to your business. Overall, they all prove ROI is much, more likely to happen to those who have a plan, post regularly and persevere.

Does it make a difference? See for yourself. Here are 10 more company case studies that prove the ROI of LinkedIn.

  • ATHENA HEALTH: To highlight its position as a leading provider of cloud-based services for medical groups, Athena Health produced thought leadership materials, such as white papers, blog posts and videos that advise executives on best practices. LinkedIn’s custom content ad unit allowed them to deliver multiple streams of content in a single ad. Athena Health saw a 61% rise in click-to-conversions.
  • AXWAY: Is a software service that manages, runs, secures, and monitors all your business interactions – emails, files, messages, services, events, and processes. Although Google Adwords was successful at generating leads for Axway, competition for top keywords was fierce and drove up conversion costs. Axway used LinkedIn Ads specifically targeting the job titles, industries and job functions. They tested over 30 ads with custom landing pages. The LinkedIn campaigns generated +25% conversion rate with the lowest cost per conversion ever achieved.
  • BRITANNIA PHARMACEUTICALS: Is a developer and marketer of products in the area of Parkinson’s disease. They focused on using Search Engine Optimization (SEO), Google Adwords and, because of its vast international reach and keyword targeting, they also used LinkedIn Ads Displays to precisely target HCP’s. 55% of the corporate website’s traffic now comes from LinkedIn. It achieves an average conversion rate of 21%.
  • EKA: is a global agriculture company. They relocated a sales director to their Australia office with no knowledge of the country. He used LinkedIn to build relationship with 150 “C” level executives in Australia. This built a sales pipeline that generated revenues of $2,000,000 in 3 weeks. Here’s the story.

  • FOILED CUPCAKES: Owner Mari Luangrath built her cupcake business, based in Chicago, to +600% above forecast by building relationships on Facebook and Twitter. As her audience evolved to corporate accounts, her attention went more to LinkedIn. The Foiled Cupcakes team used the Search Function on LinkedIn to target companies in Chicago within the geography of her delivery service. Foiled Cupcakes continues to outperform forecast and corporate account are accounting for a greater percentage of sales.
  • HSBC GLOBAL CONNECTIONS: Created a community in partnership with LinkedIn called Business Without Borders. The goal was to encourage participation among members about doing business in different country. It was also to raise targeted awareness for working with HSBC when doing business globally. Although HSBC would not release specific results, it is widely acknowledged as a content marketing success story. Here’s what HSBC did.

  • JMF INTERNATIONAL TRADE GROUP: Is a business consultancy and contract manufacturer run by James Filbird. What Jim did is something any of us could do to grow a business but most of us don’t. He: 1) kept his profile up-to-date, 2) joined 50 LinkedIn Groups, 3) scoured Group Digests, 4) engaged in discussions, 5) connected, 6) moved the conversation offline, mostly through Skype and 7) re-evaluated his groups and contacts, regularly. He attributes the company he built to $5,000,000 in revenue largely to LinkedIn.
  • ONLYMARKETINGJOBS.COM: Is a UK recruiting firm. They created a private group, UK Marketing Lounge, where they post jobs. The group was founded on the principles of: 1) Exclusivity – only certain types of LinkedIn members could join, 2) Content – the recruitment firm regularly adds content, 3) Moderation – absolutely no spam is allowed, 4) Weekly email – added by the firm and 4) Tenacity – the first 10,000 members occurred much more slowly than what followed. Now, there are almost 50,000 members. Revenues through job posting in the group have increased the company’s revenues, significantly.
  • SUSAN BORST: Is an accomplished ad exec. Her background was working with major ad agency, on major brand in traditional media channels (e.g. TV and Print). During a period of transition, she worked in new media channel (e.g. digital, social media). She kept her LinkedIn profile up-to-date. The keywords caught the attention of a recruiter. Today, Susan is Director of Industry Initiatives, Interactive Advertising Bureau (IAB). With the help of LinkedIn, Susan successfully reinvented herself which is very hard to do.
  • VOLKSWAGEN (INDIA): Launched a Company Page on LinkedIn and opened it up to the public to begin posting reviews and comments. As engagement increased, they created a series of Recommendation Ads, which showcased some of the brand’s recommendations from their page to other LinkedIn users that fit their targeted demographic. The goal was to receive 500 recommendations from current and prospective buyers. In less than a month, they received 2,700 recommendations, over 2,300 new fans asking for more information about the models available and nearly 1,000,000 viral updates about Volkswagen models.

If these case studies taught you something new and  you’d like to receive other updates, follow BarnRaisers on LinkedIn or subscribe to our newsletter in the upper right.

If you’d like to know more about the ROI of social media, you can download our Complementary eBook, 166 Case Studies Prove Social Media Marketing ROI at our website. It’s been downloaded 70,000+ times. Or, you can always just get in touch.

Do these 10 case studies prove the ROI of LinkedIn to you? Did the previous 11? Do you need help with a plan, publishing schedule and perseverance to making the most out of LinkedIn?

11 company case studies prove ROI of LinkedIn 0

Posted on August 31, 2013 by Rob Petersen



Social network's lead acquisition rates

If lead generation and conversion are important to your business, you should know LinkedIn has the highest rate of any social network – 3X higher than Facebook and Twitter.

Did you also know?

Does this create a marketplace for doing business that generates revenue with measurable results? See for yourself. Here are 11 company case studies that prove the ROI of LinkedIn.

  • DOCUSIGN: the global standard for eSignitures, bought LinkedIn’s little-known sponsored InMail in bulk to target by geographic area, company size and job title for a 6-month lead-generation campaign. Sales rose +45% from 550 participants before the LinkedIn effort  to more than 800 after.
  • EUREX: One of the leading derivative exchanges, wanted to drive broader connections, build relationship and create engagement. They updated their LinkedIn company page, posted relevant updates and use targeted LinkedIn display ads. Company page Followers grew from 500 to 13,000+ in 3 months; 81% of Followers engage exclusively on LinkedIn; LinkedIn Followers are 42% more likely to engage with EUREX and 43% more likely to recommend to a friend.
  • GOSHIDO: a software solution that makes is easier for people around the world to work together and collaborated, used LinkedIn to find seed capital for its own creation.  This was done by identifying and leveraging connections who could be potential investors. Approximately $150,000 was raised.
  • HEWLETT PACKARD: is the first company to hit 1,000,000 Followers for a Company Page. They also set up a specific Discussion Group to attract small businesses that has 5,500+ members; 75% who actively engage in discussions and who are 2X more likely to recommend HP. Since a video tell more than 1,000 words, here’s the story.

  • NEAL SCHAFFER: a leader in helping businesses and professional strategically (and fellow MBA Faculty Member at Rutgers CMD), used Success Stories from LinkedIn. One day Neal saw a comment of one of his LinkedIn Groups, “Prove to me the ROI of social media.” He saw the person lived in the same county and he was connected to his brother on LinkedIn. He offered to meet the person for coffee. The connection led to two referrals that turned into clients within weeks.
  • POSTCARD MANIA: Joined LinkedIn groups for the various types of small businesses the company targets, and judiciously contributed to discussions and questions about marketing. The company uses relevant content like “8 Ways to Grow Your Local Business for FREE!” Each of the eight ways was a “snippet” with links to get more information, each of which collected the person’s contact information. Postcard Mania has generated 600 leads and $72,000, just from LinkedIn.
  • PENMAN PUBLIC RELATIONS: used LinkedIn to research a client’s planned launch of a high-end gaming system from their client, Hardcore Computer .Penman found that connecting with potential product users individually through LinkedIn offered more straightforward feedback and less “groupthink” than focus groups often deliver. They got more traffic to their website and more research responses (100’s more) at a fraction of the cost of focus group research.
  • PJA: An advertising and marketing agency in Boston, invested an hour a day targeting searches for such keywords as “VP of marketing,” specific ZIP codes and company names, to identify key contacts to call, InMail, email, or forward the agency’s portfolio. They tracked who looked at the company’s LinkedIn profile. They participated in discussions catering to CMO’s. It led to inquiries, agency pitches, and new accounts, including Guidewire and Chase.
  • SAMSUNG MOBILE: tries to attract upscale influencers who seek out the latest, leading-edge technologies in mobile devices. They post status updates on their LinkedIn Company Page and launch previews that leads to and API powered microsite with news about one of their latest mobile devices. They are able to target 20,000,000 LinkedIn members across 7 countries through their page, updates and mircosite; 33% says they are more likely to purchase from Samsung Mobile after following them on LinkedIn.
  • VIRAL SOLUTIONS: An automated relationship marketing company, has company partners actively participating in relevant LinkedIn Groups. They discovered that 50.7% of top sellers belonged to 30+ groups compared to only 11.5% of their counterparts. As a result, 58% of the company revenue now comes from LinkedIn Groups with an average deal size of $7500.
  • WILD APRICOT: Offers membership management and website development software for non-profits and associations. In 2010, Wild Apricot created a LinkedIn Company Page in mid-2010, They took advantage of the Company Pages recommendation feature, which allows  members to post product and service reviews. They tested the recommendations on their website. They tested: 1) a recent user survey, 2) a link to an online software directory and 3) a link to the LinkedIn product reviews, along with LinkedIn’s logo. Showcasing LinkedIn recommendations on our home page raised conversions by 15%.

If this was of value to you and you’d like to receive other updates, follow BarnRaisers on LinkedIn. If you’d like to know more about the ROI of social media, you can download our Complementary eBook, 166 Case Studies Prove Social Media Marketing ROI at our website. It’s been downloaded 65,000+ times. Or, you can always just get in touch.

Did these case studies prove the ROI of LinkedIn to you? Did they also tell you how and why it could work for you? Did it give you ideas for your business?

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