How do I define and track ROI in digital marketing?
First things first… What is ROI, really?
ROI stands for Return on Investment and in marketing, it’s a simple way to ask, “Am I actually getting anything back from what I’m spending?”
It’s a fair question, but here’s the tricky part:
Marketing ROI isn’t always as black-and-white as revenue in vs. dollars out.
In our experience with clients, ROI really does look different depending on what industry you’re in, where you’re located, what you do, and what your own priorities are as a business owner or operator.
Some returns show up in sales. Others show up in reach, trust, or momentum that eventually leads to sales. That’s why defining and tracking ROI the right way – for YOUR business – is critical.
Why Tracking ROI Matters
When you know your ROI, you can:
Stop guessing what’s “working”
Double down on what IS working
Make smarter decisions with your budget
Show stakeholders (or yourself!) the real value of your efforts
It’s not just about accountability… it’s about clarity and confidence.
I’ve worked with clients that didn’t really know what their goal ROIs were when they started marketing and just wanted “increase.” But the problem with that is, “increase” is too vague to pursue, so you start pursuing everything, which then leads you down a rabbit hole of no results or results that don’t have value. Once we sat down and really got to the crux of their goals (which every business has, even if you don’t realize it at first), we were able to pinpoint what ROI really mattered to them when it came to marketing. THIS is where momentum starts happening.
What to Track (And How)
Here are a few ways to define and measure ROI depending on your marketing goals that we’ve seen actually make a difference:
If your goal is lead generation:
Track:
Number of form submissions
Discovery call bookings
Cost per lead (if using paid ads)
Example: “We spent $500 on a lead magnet campaign that brought in 30 qualified leads. That’s $16.66 per lead.”
If your goal is brand awareness:
Track:
Website traffic
Social reach & engagement
New followers
Reality Check: You may not see immediate sales if this is your goal, BUT if people start recognizing your brand or mentioning your content in discovery calls, that’s ROI, too! I’d also like to note that if word-of-mouth is one of your top referrers, that means your marketing IS working, and it’s working BEYOND what you can track.
If your goal is sales/conversions:
Track:
Conversion rates on key pages
Revenue from specific campaigns or funnels
Email click-to-purchase rates
Example: “We earned $5,000 in sales from a $1,000 email campaign. That’s a 5x return!”
Common Misconceptions About ROI
“If it didn’t make money instantly, it didn’t work.”
Not true. Some strategies (like SEO, blogging, or organic social) take time BUT they compound in value.
“ROI = revenue only.”
Also not true. Increased efficiency, visibility, trust, or leads can all be part of your ROI… Especially if your sales cycle is strong.
We’ve also seen that ROI can show up in a shorter sales process due to effective marketing that builds trust and equips the customer with the knowledge they need to make a sales decision faster.
“I don’t have the tools to track this.”
You don’t need fancy software to start. A basic spreadsheet and clear goals go a long way. Get a free ROI tracking spreadsheet here.
When ROI Gets Murky
Sometimes, it’s not easy to draw a straight line from marketing to money.
For example:
A blog post may not generate leads today, but it might be the reason someone trusts you six months from now.
A video might not sell a thing, but it could be what gets someone to open your next email that does.
Marketing is a long game.
But when done with intention and clarity, the results are very real.
We like to tell clients that it will likely be 6-12 months before they start to see results. Not because we are bad at our job, but because that’s just the reality of marketing. We have clients that see results faster, but that’s often due to them having already been investing in their marketing before ever bringing us on.
Final Thought: ROI Should Reflect Your Business
Not every business measures ROI the same way, and that’s okay… In fact, that’s the way it should be.
The key is to define what success looks like for you, track toward it consistently, and stay flexible enough to adjust when things shift.
If you’re feeling unsure how to measure your marketing or what kind of return to expect, it might be time to bring in some strategic outside eyes. We’d love to take a look with you.
Book a free discovery call and let’s get clarity on what ROI should look like in your unique business.