Finding the Sweet Spot for Success

Finding the Sweet Spot for Success

The Gist

  • Multichannel struggles. Marketing leaders face difficulties identifying common metrics and methods for measuring multichannel marketing effectiveness.
  • Sweet spot discovered. Using three-to-four metric types helps marketing organizations exceed performance objectives and outperform competitors.
  • Simplified approach. To reframe multichannel marketing performance measurement, marketers must simplify their approach, limit metric types, and build consensus gradually.

Multichannel marketing’s rapid evolution has proved to be both a source of excitement and headache for marketing leaders.

Excitement because it has provided new opportunities to reach and engage customers, through a greater number of channels and newer content formats. Headache because measuring the impact of these — whether in terms of the user experience and the commercial returns or ROI — is tough and getting tougher.

Related Article: 4 Ways Brands Go Wrong With Digital Marketing Metrics

Identifying the Sweet Spot for Multichannel Marketing Success

Marketing leaders responsible for tracking emerging channels and evolving customer behaviors must also sort out what the most relevant metric types are, how many metrics should be used and how to illustrate the thread between all multichannel marketing activities and business performance.

My colleague Alex de Fursac Gash and I learned through Gartner’s 2023 Multichannel Marketing survey that 80% of all marketing leaders say they struggle to identify a common set of metrics and methods to measure and attribute multichannel marketing’s effectiveness. Difficulty managing internal consensus and aligning key performance indicators (KPIs) with business outcomes were two reasons cited for this struggle.

The same survey data also found that less is more when it comes to metric types that measure multichannel marketing impact; there is a “sweet spot” to the number of metric types used to measure and understand multichannel marketing’s impact.

The question then becomes, “How do digital marketers find that sweet spot?”

Related Article: The State of Digital Customer Experience: Where We’re Headed

The Goldilocks Approach — the ‘Just Right’ Amount of Marketing Metrics?

The marketing organizations that use three-to-four metric types are able to exceed their marketing performance objectives. In fact, companies that use three-to four-metric types are 49% more likely to exceed their marketing performance targets than those using one-to-two types, and 24% more likely than those using more than five.

Compare this with their peers who use too many metrics — they are unable to optimize their multichannel marketing programs and are left spread thin. Same goes for brands using too few metrics because they are not able to provide the full value to customers and can miss key opportunities.

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