Small businesses are faced with a difficult challenge of deciding how to allocate their marketing budgets across so many online and offline media choices. You might assume that most of those budgets would be put toward efficient online advertising, yet the Boston Consulting Group recently reported that online media accounts for a mere 3% of small business advertising budgets.
How can companies decide where to put their precious dollars to get the greatest return on investment? Simple tests can help businesses easily decide with data. Vistaprint offers an excellent example of tracking its advertising efforts. For instance, its television ads feature a promotional code that is only offered in Vistaprint’s TV ads. Vistaprint’s mailer coupons feature a different discount code that is only available in the mailer coupons. Its online promotional code is different than the TV or mailer codes. This enables Vistaprint to understand which of its advertising efforts are actually driving sales, and then the company can decide where to invest more of its advertising budget.
Measuring the results of your advertising efforts can help you increase profitability even when you are unable to increase your marketing budget. Track your results to see what is working best for your business, and then adjust your investment accordingly.