Digital marketing studies
Digital marketing studies that “show me the money” are frequently requested by businesses. It seems newer communication channels always have the most to prove.
But the proof points are definitely there. Are they there for the marketing strategy your business is using?
Here are 7 digital marketing studies that show the ROI.
Digital marketing studies on ROAS
A common Return on Ad Spend (ROAS) benchmark for digital marketing is a 4:1 ratio — $4 revenue to $1 in ad spend according to Big Commerce. An acceptable ROAS is influenced by profit margins, operating expenses, and the overall health of the business. Some businesses require a ROAS of 10:1 in order to stay profitable, and others can grow substantially at just 3:1. A business can only gauge its ROAS goal when it has a defined budget and firm handle on its profit margins.
For every $1 you spend on email marketing, you can expect an average return of $32. That’s according to the Direct Marketing Association (DMA) in the most recent study. Another study, from Campaign Monitor, states email marketing returns $44 dollars for every S1 spent. Either way, email marketing ROI is one of the most significant numbers in email metrics and it is crucial to the positive revenue of your company.
Digital marketing studies on online review services
The average advertiser on Yelp sees a 168% monthly lift in customer leads after advertising with Yelp for 12 months. That’s because of the advertisers on Yelp see a +113% increase in website clicks and a +152% increase in mobile calls. And half start with fewer than 5 reviews when they sign up.
A study on influencer marketing showed that it can give 11x more ROI than banner ads. That’s according to a study by Nielsen Catalina Solutions and the results of an influencer marketing program conducted for White Wave Foods, the parent company of Silk Almond Milk and other products.
Digital marketing studies on Google Ads
Businesses make an average of $2 in revenue for every $1 they spend on Google ads. That’s according to Wordstream and Google. And it must work because Google makes 97% of revenue from ads.
Social media advertising
Google and Facebook are the ad platforms that offer the highest ROI and Twitter is the lowest according to these findings and chart below from eMarketer.
Most effective digital marketing channels
SEO, content marketing and email marketing together with automation command the largest share of marketers claiming that they generate the highest return on investment. Roughly a third of surveyed industry professionals believe these three tactics are highly beneficial. That’s according to Statista and the summary below.
Do these studies show you the ROI of digital marketing? Are you ready to apply them to your business?