16
Jan
2008
Posted by Ben Cook as My Mistakes
Wow… just typing out that headline made me feel dumb. Anyway let me give you a little bit of the background info before telling you exactly how I was an idiot. After the good income from theme sales last month, I decided to advertise it a bit. I purchased one of the stripe ad spots on JohnChow.com and linked it over to the theme sales page/blog. A couple of days later, I was the subject of ProBlogger’s Community Consulting project and asked among other things for input on how to increase sales.
The result was that both popular blogs were now linking to the theme sales page and orders began to pick up. That’s a good thing right? Well, yes and no. Obviously I’m glad to have sold more themes, but the problem was, I hadn’t given myself any way to track which sales were the result of which advertisement. The ProBlogger feature wasn’t exactly an ad but I did have to pay $250 for it so for the purpose of this post, I’m calling it an ad. Now, I’ve made enough in sales to pay for both of the ads, but it’s possible that one source generated all of the sales while the other was a waste of money. I can take a guess at it from the timing of the orders but I certainly wouldn’t rely to heavily on that data.
Had I taken a few minutes to think about it, I could have easily set up a redirect in the order process and created a goal in Google Analytics. Then I’d know exactly what the return on investment was for each ad source and be able to make sound decisions based on that data. As it is, I’m stuck guessing and possibly wasting another $250 when it comes time to renew the JohnChow.com ad.
The lesson here is a fairly obvious one that many of you may be saying “Duh!” to. I know I’m certainly kicking myself for skipping such a critical step. In any case, no matter what type of site or monetization method you use, always, always, ALWAYS make sure you can track the return on any investment you make.
15 Responses
Catherine Lawson
January 17th, 2008 at 3:01 am
1Hi Ben - tracking what marketing works and what doesn’t is really important, but I bet we’ve all made similar mistakes before.
I’m thinking - there’s another problem too - and this is a common one. You ran both ads at the same time. And John Chow and Problogger both share some of the same readers.
So, did reading about you from two reliable and trustworthy sources encourage more people to buy from you? After all, the more someone sees your ads, the more likely they are to buy from you.
Would running one ad on it’s own next time result in fewer sales? I guess you won’t know until you try it.
And the fact that you’re getting your name in front of the same customers again may even increase sales.
I think what I would do in your situation Ben, is work out whether you actually made a profit after all your costs. And if you did, I would run the ad with John Chow again.
Also, why not ask the readers who actually visit your blog now how they found you (if they remember). You have their email addresses and most people won’t mind answering a simple question.
I visit Problogger more than John Chow. I don’t recall noticing your ad on John Chow, it was the Problogger interview that brought me here, if that helps to start it off.
Maher saleh
January 17th, 2008 at 3:11 am
2Dont worry everybody makes mistakes always take your time when doing something risky think before you do it think twice prepare for everything before advertising your advice is greate catherine!
Tay - Super Blogging
January 17th, 2008 at 3:49 am
3Don’t feel bad, mistakes happen!
I think Catherine makes a good point - JC and PB share some of the same readers and if one person reads about you on both sites, it can increase their trust in you and finally make up their mind to seal the deal.
I think the post on ProBlogger would have been much more valuable, but if you’re planning to run the John Chow ad again I’d be interested in seeing how it works out this time around.
Ron@TheWisdomJournal
January 17th, 2008 at 7:00 am
4I’d chalk it up to learning a lesson. If your income spikes, try one or the other at a later point as another “blogging experiment.”
Ben Cook
January 17th, 2008 at 9:00 am
5@ Catherine, I definitely made a profit after the costs were counted and I gained quite a few subscribers (such as yourself) so I’d say the to ad buys were successful.
@ Tay, I’m planning on continuing the ad and this time I’ll be sure to track it better.
@ Ron, definitely a lesson (or at the very least a reminder of a good lesson) and since my costs were covered an inexpensive one at that. Hopefully this post will help others avoid paying to learn the same thing
Ron@TheWisdomJournal
January 17th, 2008 at 9:40 am
6Here’s a lesson I just learned: Verify that you typed your website URL correctly when commenting!
Love your site, Ben. I found it a few days ago and read it every day!
How To Rule The World
January 17th, 2008 at 12:12 pm
7ROI rule #1…. Track everything… including your tracking
Cindy S
January 17th, 2008 at 7:43 pm
8You can always send a follow up email to the people who bought your theme. Ask them if they are satisfied with it and oh, by the way, where did you see it advertised and what prompted you to buy it.
It’s good customer service to follow up. People love it and I always learn a little from it. At the Fortune 500 company I used to work for we asked them one question, Would you recommend it to a friend? Word of mouth is usually your best advertising in the long run.
Emma
January 18th, 2008 at 1:39 am
9Ben thank-you, that’s great advice. I wouldn’t of thought to do that either. Emma
SEO Blog
January 18th, 2008 at 7:34 am
10At least now you know what you have to do ;). Tho tracking ROI since the very beginning could of save you some $ in the feature. But after all, everything is just great since you in any case gained subscriptions and you also covered the investment with the sales.
Eric
January 18th, 2008 at 9:22 am
11If the ads are linking to your site in some way, you don’t need a redirect.
Just have one ad go to one URL while the other goes to another, and don’t link to those URLs on your site. Have those be mirror pages and then see which is getting the hits.
Ben Cook
January 18th, 2008 at 9:42 am
12@ Eric, I know which ads sent what traffic, however, the order process goes through PayPal. Obviously I don’t have the ability to put Google Analytics or other tracking code on those pages so I can’t tell which traffic source converted to sales. Know what I mean?
Eric Vernon
January 18th, 2008 at 2:48 pm
13Ah yes sorry. I’m relatively new to the world of web design, and I haven’t even thought about selling things via Internet, since for almost everything you have to be 18 for - and I don’t have the desire to screw with my parents’ taxes. But still, it might be a decent indicator of how many clicks each ad was getting, and that might clue you in on how much each ad is generation - e.g., if Ad 1 has 200 hits while Ad 2 has 100, it might be safe to assume that Ad 1 is also resulting in twice as many sales.
Just my opinion, again I’m no e-commerce guru.
Rebecca Laffar-Smith
January 28th, 2008 at 6:02 am
14While hit to sale ratio might seem to make sense from a logical perspective it often doesn’t work out that way. The ROI from different ad streams can vary greatly. For example, say your post hits a home run on digg.com the hits you get will be huge but the bounce rate will be shockingly high. You don’t get a lot of repeat visitors from that spike. If the same thing happened on StumbleUpon you’d have a higher rate of return visitors. The difference is visitor quality.
In this case, the quality of the traffic matters. I would think ProBloggers review would have created more sales. The success of an advertising slot verses a review would be significantly different. In the review, a known expert and his regular readers are given a chance to dig deep into the content, check it out, and give readers their honest opinion. That is a verified endorsement from a big name.
The purchase of advertising space however is nothing alike. John Chow hasn’t given any recommendation for those ads. They flicker across the blog but there is no claim of affiliation or preference. It’s a paid picture. Yes, it would get hits, it might even have had more hits then Darren’s review but turning those hits into sales is a very different thing and becomes entirely dependant on the advertising lead in of the ad and the pages that follow pre-sale.
A review pre-sells an ad slot gets them looking.
Best of the ‘Sphere 21/1/08 | TechnoMoney | Smashing Blogging Tips
February 3rd, 2008 at 2:15 am
15[…] Learn From My Mistakes: Track Your ROI from BloggingExperiment […]
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