As a Marketing Director, you understand the importance of video marketing. It’s the best way to drive traffic, leads, and sales for your product or service.

 

However, measuring the true ROI of your video marketing can be as elusive as the holy grail. Many marketers struggle to prove the success of their video content and track the results effectively.

 

At AJI Media, we specialize in helping marketers track and report the true ROI of their video content. With our proven 8-step process, you’ll have a clear understanding of the impact your videos are making and the value they’re generating.

 

So in this video, I’m going to break down eight actionable steps we take to help you measure the true ROI of your video marketing efforts.

 

Let’s dive right in.

 

We start by gaining a solid understanding of what you’re hoping to achieve, whether it’s raising awareness, generating leads, making sales, or building your following. We must be crystal clear from the outset.

 

At this stage, we also identify your target audience, pinpoint the specific action we need them to take, and strategize ways to create cut-through content that will be sure to resonate with them.

 

 

With so much data available, it’s easy to get caught up in tracking irrelevant metrics that don’t impact ROI, which is a mistake we’ve seen so many marketers make.

 

We only focus on the metrics that matter:

 

For awareness videos, it’s video views, average view duration, and engagement metrics such as likes, comments, and shares.

 

For lead gen or action-based goals, we track click-through and conversion rates.

 

And for driving conversions or sales, conversion rate is our go-to metric.

 

Next, we set our KPIs. These are measurable targets that allow us to continually monitor and improve your video’s performance. They act as guideposts, enabling us to identify and resolve issues or build upon success.

 

For example, if we’ve created a video aimed at raising awareness, we might track Video Views and set our KPI at 15%. This means we’re looking to get at least 15% of the people we’re targeting to watch the video.

 

We might also track Engagement Rate and set our KPI at 25%, meaning of the 15% of people who watched the video, we want at least 25% of them to engage with it, by liking, commenting, sharing, or watching more than 50% of the video.

 

It’s important that we use safe, achievable numbers here, to provide a more realistic view of what you can expect. In most cases, we will outperform our KPIs due to our data-driven content strategies.

 

Understanding the value of your goal is essential for calculating ROI.

 

So we need to determine what your goal is worth, whether it’s the price of a product, the value of a lead, or the potential long-term value of a customer.

 

This gives us a tangible metric for ROI calculations.

 

Now that we have associated a value with your ultimate Goal, we configure Google Analytics to track conversion goals that take place on your website.

 

First, we determine the desired action or outcome we want visitors to take, such as completing a purchase or filling out a form.

 

Then, we set up a dedicated Thank You page that visitors land on after completing the desired goal. This page serves as a clear indicator that a conversion has occurred.

 

Finally, we set up an Event Tag in Google Tag Manager, enter your conversion value, and then link that to a Conversion Event in Google Analytics.

 

The next thing we need to do is set up your website to track when someone engages with your video content.

 

This allows us to determine the value and influence your videos had on your ultimate goal.

 

For instance, if a viewer watches a product video on your website and subsequently makes a purchase, we can confidently attribute that sale to the video.

 

To achieve this, we configure Event Tracking in Google Tag Manager to trigger whenever someone has watched over 50% of a video on your website. We then send that info back to Google Analytics for our reports.

 

To fully understand the impact of your video content, it’s important to track engagement across all channels, not just your website.

 

That’s why we build UTM links to track video engagement across your social media, email, and messaging platforms.

 

The goal here is to identify people who have engaged with a video outside of your website and then went on to visit your website to make a purchase or fill out a form.

 

To do this, we place a UTM code into the Call To Action for each video, which tells Google Analytics where the traffic is coming from.

 

With strategic UTM links in place, we gain invaluable insights into your audience‘s behavior and preferences.

 

With all of our juicy data in hand, it’s time to calculate the true ROI of your video marketing.

 

First, we find the total value of conversions coming from all your video marketing across all of your channels.

 

Next, we tally up all the costs associated with the creation and promotion of your video content.

 

And finally, we calculate your ROI with this simple formula:

Total value of conversions, minus total investment, divided by total investment, times 100 = ROI.

 

And there you have it! A definitive way to track and report the true ROI of your video marketing.

 

At AJI Media, we recognize the challenge of justifying investment into video content. Our proven track record of creating cut-through video content, combined with our ability to precisely measure and present ROI, makes us an ideal partner to enhance your brand’s digital presence.

 

Contact us today to learn how we can help you maximize the impact of your video marketing efforts.