Title: Internet Marketing by the Numbers
Main Point: Marketers must measure their website and online campaigns. When you measure, you are responsible for making things work. All the Internet stuff you know won't do any good if you don't get ROI from your site.
Take-Away Action: Determine what your conversions are and your current conversion rate for those.
Internet Marketing is more about marketing than the Internet.
Numbers have found you. You don't have to calculate the numbers but you have to be the person that makes decisions based on the numbers.
Transactional – If someone buys something, was it profitable to get them to that point
Relational – Each customer acquired is measured individually
Management doesn't care what goes into the execution; They want to know what the results of the execution were.
Know your business to know if you should calculate your conversion rate by dividing by Visitors or Visits.
Conversions are the metrics that you should be tracking. “What do you want people to do?” That's the question that matters most.
In relation to setting up source tracking “Why did we go through that much trouble?” Answer: “Because it's the only way to measure how your marketing programs are working.”
Every sale does not cost the same amount. It costs far less for you to sell more to existing customers. Make sure you understand the lifetime value of your customers.