How analytics can help you find out what is important to your investor marketing strategy.
Did you know that poor data can cost businesses 20%–35% of their operating revenue? Furthermore, bad data or poor data quality costs US businesses $600 billion annually, which is outrageous. Having consistent data analyses is crucial to the success of any business strategy, and that is especially true for your investor marketing strategy.
Investor analytics can mean so many different things. If you’re an Investor Relations Officer, you’re probably digging into metrics like earnings per share and debt to equity ratios. If you’re a Chief Marketing Officer, you’re probably focusing on marketing metrics like lifetime value of customers, conversion rates, overall marketing ROI, etc.
In the world of big data today, it’s projected that by the year 2020, about 1.7 megabytes of new information will be created every second for every human being on the planet. Having some basic knowledge on analytics and putting it at the center of marketing and sales could help increase marketing ROI by 15-20%.
There is so much information out there that it can be overwhelming. What we want to do is provide a really simple break down of what analytics is and how to get started with it to put you on a path of making the most informed decisions about your investor marketing strategy. You don’t have to be a mathematician, a data scientist, or an analyst to get this stuff. However, you do have to have an interest in the sustainability and growth of your company.
What is analytics?
Analytics refers to the ability to collect and use data to generate insights that inform fact-based decision making. For example, tracking where your website visitors are coming from so you can determine which outreach method is drawing the most traffic.
Why is analytics important?
Bottom line, if you can’t measure it, you can’t improve it. In the above example, once you deduce which outreach method is bringing the most traffic, you can then filter more of your effort into that method, allowing you to get better returns on your budget.
What are key performance indicators?
Key performance indicators (or KPIs) are specific, numerical metrics that organizations track in order to measure their progress towards a defined goal. This can be traffic, newsletter signups, or call-to-action clicks.
Prior to starting any investor marketing campaign, goals must be identified. The purpose of identifying goals and then analyzing the data once a strategy is in place is to attain greater investor responsiveness and gain greater investor insights. A Forrester study found that 44% of B2C marketers are using big data and analytics to improve responsiveness to 36% are actively using analytics and data mining to gain greater insights to plan more relationship-driven strategies. Some questions you may want to ask yourself when establishing goals are:
- How do I want potential investors to interact with my company? Is it on their smartphone, tablet, desktop, in person?
- How clearly does our target market understand our company and what is being offered?
- Who are my competitors and what are they saying?
- What is our company mission?
- What are our company revenue targets?
- How do we know what marketing activities work and don’t work?
- What is the profile of the perfect investor for our company?
- If an investor doesn’t know my company exists, what would they search on Google for to find me?
- How many investors do I need to hit my sales goals?
- How will I measure success of my investor marketing campaign?
Prior to starting a new campaign, it is important to know what you’re going to be measuring against. Benchmarking can help you assess the success of your investor marketing campaigns, methods and strategy. Here are some questions you should ask yourself before starting a campaign:
- How much traffic do I have to my website? Total and individual channels.
- What are my current keyword rankings?
- How many high quality backlinks do I have to my site?
- What is my site’s current domain rating?
- How much marketing budget do I have to invest?
- What is my current marketing ROI?
- What is my current stock price?
- How many pages are indexed on my site?
- How much of the traffic to my site am I currently converting on my website?
- What pages have the highest and lowest conversion rates?
- What is my current cost per investor?
- How many investors have converted into stakeholders to date?
The best data-driven companies not only store and analyze data; they also create actionable data through the use of A/B testing. According to Business 2 Community, “A/B split testing is the comparison of two components with a single variation in a digital campaign to improve conversion rates. A portion of your test base will receive one variation, the other portion will receive another. The winning result will then be used for the full campaign base. We A/B split test to improve results for a campaign. It is the only proven way to optimize campaigns.” By A/B testing, you can:
- Increase revenue
- Increase conversion rates
- Increase lead generation
Need Help With Your Analytics?
Our goal at Hilton Advisory is to help make it easier for investors to find your company. We do this through a variety of services, but believe an integrated investor marketing strategy is always best. We take each campaign seriously and like you, want to make sure it is successful, so due diligence with a lot of question asking is an integral part of our process. We understand that creating and implementing an investor marketing strategy can be time consuming and that most business owners want to focus on running their business. We understand they want an investor marketing firm they can trust and help make the best data-driven decisions that will increase liquidity as well as convert investors into stakeholders of the company. We are here to help, just give us a call to get started, 929.445.8667.