Are you thinking about using text messaging as a part of your digital marketing campaign? If so, you need to understand what strategies are working and which are not. There are plenty of texting campaigns that have been successful, but there are others that have not enjoyed the same level of success. If you do not know what is working, you won’t know what changes you have to make to get the most out of your digital marketing strategy. As a result, you need to know which key performance indicators are the most important. What are a few of the key KPIs you need to track if you want your campaign to be successful?
- Open Rate
One of the most important metrics you need to follow is the open rate. What this means is that you need to track the number of text messages that are opened. When you send text messages to someone, do they actually open them? One of the biggest advantages of using text message marketing is that text messages are opened at a higher rate than emails. At the same time, this doesn’t necessarily mean that all of your messages will be opened. You need to figure out what percentage of your messages are opened and why they are being opened more than others.
- Response Rate
Next, you need to track the response rate. This is the percentage of people who respond to the text messages you send to them. First, you need to take a look at the messages to see if you intend to get a response. Then, you need to calculate the percentage of people who actually respond to your messages. Why do you think people respond to some messages more than others? This can help you improve the quality of your digital marketing campaign.
- Click-Through Rate
In addition, you should explore the click-through rate. If you include links in the text messages, what percentage of the people who receive messages click on the link? The link might direct them to a landing page where they can add their information or purchase a product or service from your company. If the goal of your marketing campaign is to get people to click on the link, you need to figure out how many people are actually doing so.
- Opt-Out Rate
On the other hand, you should track the opt-out rate as well. This refers to the number of people who opt out of your text message marketing campaign after you send them a text message. You need to strike a balance between sending enough messages to inform people of your products and services and sending so many messages that they decide to leave. You need to keep your opt-out rate as low as possible. Otherwise, this is a sign that you are alienating your target market.
- The Average Order Value
You should also calculate the average order value. This refers to the amount of money you generate from each text message marketing campaign. When you send out a bunch of text messages to your target market, how many purchases are you getting? What is the total value of the goods and services that they purchased from your business? If your marketing campaign is going well, you should have a relatively high average order value. You might want to have an automated program that can keep track of this for you.
- The Return on Your Investment
Finally, in addition to tracking the total amount of money you generate from the campaign, you need to figure out what the return on your investment looks like. Even though you might have generated a lot of money, how much money did you have to spend to get there? What do your overhead expenses look like? Even though it is true that a text message marketing campaign is not that expensive, it is not free. You need to be judicious with the marketing dollars that you spend, and that is why you need to keep a close eye on the average return you generate on your text message marketing investment.
Follow the Necessary Metrics
Clearly, there are a lot of metrics you should follow if you want to figure out what is working well for your digital marketing campaign. When you put together your texting campaign, you need to think carefully about what works best for your needs. You should consider your target market, what their problems might be, and how your products and services can help them. You may also want to consider reaching out to an expert who can help you get the most out of your text message marketing campaign. If you follow the right metrics, you can figure out what is working, and you can make adjustments as necessary.