The best way to improve your return on investment is to start with closed loop marketing.
By this I mean that you want to tie your advertising source and campaign to the specific lead or sale generated.
This is done with tracking phone numbers, good web analytics, and a good crm system that will assign the leads or sales to a specific advertising campaign.
But, you want to do even better than that. Some salespeople get multiple leads yet fail to close them. Some salespeople create maximum efficiency for each lead. So before you decide that advertising is wasted from some quarter, look at what happens when several different salespeople get leads from the same lead source or advertising campaign.
What you want to do is to really connect each data point together, and only after you are sure, then eliminate waste.
Here are some data points to consider:
- source of web traffic or advertising
- specific ads or campaigns. For search campaigns logging the keywords that were searched is important
- geographic locations of the leads coming in and whether they eventually close
- salespeople assigned to the leads and whether they delivered a good presentation (use your call tracking to listen to the presentation)
- Salespeople assigned to the leads and whether they actually closed the sale. (Some salespeople do great on the actual presentation but just fail to get the close. You can also use the call tracking system to listen to the sales cycle and correct the salesperson)
You can further data mine other things based on the customers that actually bought something and look for similarities which will lead you to more forms of new advertising and the cycle starts over again.
The important point in all this is that after you are sure of your metrics, you can then with confidence, know whether your problem or source of inefficiency is actually with the salesperson, the advertising source, the conversion rate, or the specific offer and act accordingly.