Digital Marketing Channels with the Best ROI

Digital marketing channels with the best ROI

 

So, you’re a marketer freshly hired at this relatively new company, trying to figure out the most efficient ways to market this company’s services and products. Billboards, social media, event sponsorship; there are a multitude of channels/mediums at your disposal, and for a new employee, determining which channels are worth your company’s marketing dollars can seem pretty overwhelming.  To make matters easier however, all you have to figure out is which channels guarantee the highest ROI, or return on investment. This is critical for businesses, especially new ones, as you want to invest in channels that will generate revenue consistently. But, what are these channels?

In our modern digital era, digital marketing channels lead the pack. Email, pay-per-click, and search engine optimization are widely regarded as the best marketing channels when considering ROI. Let us further explore.

Pay-per-click: Pay-per-click, commonly known as PPC is an online marketing model that consists of advertisers paying a fee every time a person clicks on one of their ads. In essence, it’s just a method of buying visits to a site. On average, companies that invest in PPC receive a $2 dollar return for every $1 dollar invested. It is possible to experience even higher returns with the use of Google ads. In this case the average ROI is $8 dollars for every $1 dollar spent. What makes PPC especially effective is the fact that locations, interests and devices can be targeted using its advanced targeting options.

SEO:  Search Engine optimization is essentially a method by which you can increase your website’s rank or placement in search results. This optimization can essentially increase traffic on your website thereby potentially increasing sales. SEO is starkly different from paid advertising, in that you can get started with little to no monetary investment; though money and time is required if you wish to scale your strategy. The main advantage of SEO however, is its ability to reach your target audience and potentially increase customers. It is a long term strategy, capable of scaling exponentially. In terms of digital marketing, SEO is one of the most useful, as the traffic generated by SEO can capture more than 40% of your company’s revenue.

Email: Email is easily one of the most lucrative online marketing strategies with a staggering average ROI of $44 dollars for every $1 invested. Around 67% of businesses rank email marketing as their highest earning online strategy.  In the online marketing world email is held in high esteem for producing one of the highest ROI averages. The reason email marketing is so successful in terms of ROI is due to the fact that it can be personalized to the wants and needs of the user. For example, email can be used to suggest similar items the user might be interested in, or remind the user of limited edition holiday items, or sales. It can also be used as a tool to inform the reader about the inner workings of a particular industry, like the processes involved, regulations enforced etc. The only limitation with email is that it is dependent upon building an email list which can be time consuming and expensive. That being said however, email is utilized by companies universally making it one of the best online marketing strategies to employ.