Marketing Basics
Key question
How do we know if the measures are working?
Without an objective, success cannot be measured. A good marketing objective combines an intention with a metric and a deadline. Only then is it possible to determine whether a campaign worked, and what to do differently next time.
Learning objective: You will be able to formulate SMART goals, select appropriate key metrics, carry out simple conversion calculations, and purposefully test variants.
What you don't measure, you can't improve.
6.1 / From business objective to metric
Three levels that are connected.
Marketing objectives do not exist in isolation. They are derived from a business objective and are made measurable through key performance indicators. If a level is missing, you end up measuring the wrong things or achieving goals that benefit no one.
01
Business goal
What the company aims to achieve, usually in terms of turnover, profit or growth.
02
Marketing objective
What marketing contributes to this, e.g. brand awareness, enquiries or sales.
03
Key figure
The figure that shows progress. In English, KPI: Key Performance Indicator.
A proven framework is SMART: specific, measurable, achievable, relevant, and time-bound. It compels you to turn a wish into a verifiable goal.
A goal without a date is just a wish.
6.2 / Key Metrics and Conversion
From visits to conversions.
The conversion rate indicates how many people move from one stage to the next, for example from visit to booking. With 2,000 visits and a 1.5% conversion rate, this results in 30 completed transactions. If you know your target, you can work backwards to calculate how many visits are needed.
It is often cheaper to improve conversions than to buy more visits. A clearer headline, straightforward pricing, or a shorter form directly impact this figure. This is where the true value of design is measured.
Better conversion beats greater reach.
6.3 / Testing and Budget
Start small, measure, then scale.
In an A/B test, two groups are shown two different variants, such as two different headlines. The variant with the better metric wins. It is important to only change one thing at a time and to collect enough data before making a decision.
When it comes to the budget: it's best to test small first and then invest in what works. A portion of the budget is deliberately kept aside for experiments. That way, you learn more with every campaign.
Test one thing at a time.
Exercise
Making a campaign measurable
Task: Make a planned or fictional campaign measurable.
STEP 1
Derives a marketing objective from a business objective.
STEP 2
Checks the target with the tool according to SMART.
STEP 3
Calculates how many visits or contacts are needed.
STEP 4
Plan an A/B test for the most important design element.
Evaluation: Which metric is the most meaningful, and which one is the easiest to manipulate?