How do I measure Return on Investment on my website?
Here are 5 ways to measure the ROI of your website:
1. Promotion –
There are different ways a website can add value. But the question of how you measure the ROI of your website remains. Your website is a marketing tool for you to publish articles to explain what you do, how you can be of service, and how people can contact you. All this has a value. However, many people underestimate the value of their website or how a better managed website would make such a big difference to their business. Ask customers if they ever use the site and why. To measure this, check Google Analytics and see how many visitors you get and which pages they look at, before they leave.
2. Save Time –
It could simply save you or your team some valuable time by answering questions online 24/7/365 or doing online demos, offering video guides, manuals or doing quotations. If you are doing it well, then visitors or callers just want to place an order for your products or services. Essentially, the website should work like a silent salesman, saying exactly what you want him to say.
3. Location –
Ensure that people can find you online and from there they can find you offline. Show exact location and available car parking or public transport details. It will allow people get to you on time for appointments, which will save you both some time and stress. Make sure that your GoogleMyBusiness entry has the correct details, opening hours, etc.
4. Contact –
Ask all your contacts who call by phone and email where did they get your number or email address. It is an obvious way of finding out which marketing is working for you. You may think it is radio or newspaper or local sponsorship, but ask your customers rather than just guess. Check your enquiry forms on the website, test them regularly. Can you offer a Newsletter subscription? Or a special offers club to get people to sign up to your list?
Obviously, you can see online sales for eCommerce sites, which is a pretty good way of measuring success. Again, just as with a bricks and mortar store you may have to move the furnishings around or change the display of the products, to get a reaction, an enquiry, sale or order. Maybe you have to do some special offers or lost leaders. Perhaps offer a bonus or a ‘members only’ perk.
Evidently, eCommerce is a whole science unto itself and any sizeable eCommerce venture needs a dedicated webmaster or team to manage its marketing and optimisation responsibilities. As a result, a serious online shop needs to be treated just like a high street shop. Many websites, especially eCommerce sites, need plugins to help add to the performance of your website. These plugins need plenty of care and attention to keep them all up to date and working smoothly with each other. This is all cost that needs to come off the gross profit on any sales.
Tip: Make sure you have signed up to Google Analytics, ensure you have the code added to your website and that it is working correctly. Then you can look at Google analytics to see how much traffic you are getting. If you do not already do this, please set it up now. Please take a look at our blog item on Website Design, to learn how to create this value.
History – the good news you may not have considered when valuing your website
Every day online for your website is building up a history and credibility with Google. This ‘history’ is adding value to it, just like goodwill for bricks and mortar stores. Fortunately, you can bring this history with you if you create a new website – and you should do so. Talk to a competent web design agency about redirects and 301s to bring your history to your new website with care.
Bottom line – When you build a website, it should not be seen as a sunk cost for that month, but rather an investment, much like a capital investment. If you invest in a printer, it is depreciated over say three years at 33% a year. With your website, you can appreciate and add value to it as an asset on your balance sheet, much like a physical property or premises that appreciates, even though it does have ongoing maintenance costs. Hopefully, with this guide, you now know how to effectively measure the ROI of your website.