Are You Measuring the Right Thing?

measuring the right thingWould you consider a marketing tactic a success if it didn’t ultimately put money in your bank account?

Consider this. You place an ad in the newspaper. One thousand people read the ad. And you consider it a success even though no one bought your product or service. Sounds silly, doesn’t it?

Well that’s exactly what many companies — who measure search marketing with number of clicks or top search engine ranking — are doing. And it’s a good way to dump a lot of money with little return quickly.

We get what we measure.

Measuring click volume or positioning doesn’t tie into business goals. Sure they may ultimately create a sale to impact the bottom line, but how often does it happen and what is the percent of the conversion. It’s the return on investment that’s important. Not just the activity taking place.

Now if you were to measure the number of people who took an action like signing up for your email list or making a purchase, that would make sense. Take a look at what you are measuring and make sure it’s the right thing.

About Denise O'Berry

A Message From Small Business Expert Denise O'Berry -- It's no coincidence that my initials are DO. I've been helping small business owners DO things to be successful since 1996. You can be successful too. The best way to have a sustainable business is to take action. Start now by implementing this small business tip in your business. Connect with me on Google+, Twitter, Facebook and YouTube

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  1. BizSugar.com says:

    Are You Measuring the Right Thing? – Small Business Expert Denise O’Berry…

    Consider this. You place an ad in the newspaper. One thousand people read the ad. And you consider it a success even though no one bought your product or service. Sounds silly, doesn’t it?…

  2. [...] That’s the point I take from Denise O’Berry, a long time small business writer, in her post Are You Measuring the Right Thing?  We should measure so we can make decisions; we make decisions so we can improve;  Denise boils [...]