A new year is getting closer, and I bet you are working on some annual marketing goals already :)
But, how do you translate your company's business goals into actionable marketing goals and metrics that you can act on next year?
Let us explore it in this video!
Hey, Emilio Garcia from Boundify here. This is the time of the year that a lot of marketing managers and CMOs ask themselves, "What are my goals or marketing goals for the next year?" In this case for 2020. And this is an awesome question. Something that is on the mind of everyone around this time, because obviously we have new objectives for the new year, want to do something great.
So the conversation today is going to be how I do define those business goals, those marketing's goals? And I wanted to start first with what you shouldn't do, which is having bad marketing goals. Here are some examples of that.
Like I, one more website visitors, leads, and sales. I want more social media followers. I want to rank number one on Google, and you will ask, "What is wrong with those goals? Those are things that I want to improve. How should decide this?
Well, the answer is that first, even when they are in the right direction, they are vague. You don't have a timeframe. You don't have a goal or a number they want to strive to, but most important of all is that they are probably not necessarily tied to a business outcome and this is probably the biggest challenge that most marketers have when they are finding these goals.
They are thinking of these numbers in terms of their own department or their own ideas, right? I want to have more social media presence. I want to have more website traffic, but the question at the end of the day is, is this aligned with the goals of the business? And this is something that probably business owners think more about when they are defining their own marketing goals, that in bigger companies where the marketing department is thinking on obviously their own ideas and maybe ignoring or not considering that much, what are the goals for the sales team and for the company as an overall.
So don't try or don't do this. Don't do the, "Let me have some vague numbers and try to come up with some ideas without aligning with the business." And in that scenario, this is my suggestion. How do you come up with good marketing goals? And this is just an example.
You can see here, we want 10,000 visitors that will come up, or that would eventually become 200 leads and we will get out of them, five new clients during the next year that will help us to reach our sales goals. Right? So that is a big difference. Or another one, we need 20 new MQLs out of the leads that we are sending through our email list.
Again, this is not following that big funnel, but at least allow me to have numbers and defining what the source is going to be, what is the type of effort that I'm going to do, so that will be good examples.
At the end of the day. However, you might be wondering, well, "How I come up with these good marketing goals for next year, for 2020?" Here's an example or an idea of how you might follow that path coming up from the highest point. And this will be probably, these are the questions that you need to ask yourself, or that you need to ask the management, or they need to ask or get along with the sales team to come up with something that is aligned with their goals and align with the goals of the business.
And the questions you might ask first is, how much new revenue I need? One good example is you already have a performance for this year. You want to take that and if you want to grow, that is the first question, do you want to grow? Then you take the part of want you to grow and you ask, "What percentage of that total contribution will come from marketing?"
Because some efforts will come from sales, some efforts will come from other departments, not necessarily for marketing, so from the overall growth objective, you will have a percentage. And from that percentage, maybe you are responsible for just the fraction because you are responsible for just digital marketing, for example and so digital marketing is going to be another part.
So you get a real good understanding of what percentage of that revenue growth is yours. After you come up with that, you have to transform that revenue, that money into actual sales. It may be the number of new clients that you need to close, or the amount of revenue needed to close to from additional clients or existing clients, whatever it is the reason you have to transform that money into a quantity that then you can translate into opportunities, right?
So if you need three or four opportunities to close a deal, or to get one of those sales, then it will multiply that number by that ratio, imagining that you need 10 sales per year, then you will need 30 opportunities. You come up again higher on the funnel and to have those opportunities, you need sales qualified prospects, and those sales qualified prospects are the prospects or leads that sales will take. And will say, "Yes, I have talked to the client or a potential client, and they have the need, they have the timing, they have the budget, we can solve their problem and I will follow this contact to try to get an opportunity. I will need to present a proposal."
So those are the SQLs. Again, imagine in that example, you have 30 opportunities and maybe you need 60 SQLs to get those 30 opportunities. Going again, up again on the funnel. If sales need 60 SQLs, 60 good sales prospect, maybe you need to come up with double that amount of marketing qualified leads. Leads that marketing, not sales consider qualified or with potential that probably are needed to send to sales. Not all of them are going to be qualified because sales has to do some that are a part of that job.
So maybe again, 50% you need 120 MQLs through the year. And as you go low, imagine you say, well, those MQLs are going to come from the forms with commercial intent that I have on the website, or they will come from the lead scoring criteria that I have for people that have downloaded content, that have the right type of emails that have this is the website or a specific or key pages on the website. Whatever it is the criteria, you will need a bigger amount of leads. Again, supposing a double number, maybe to get those 120 MQLs, you need 240 leads to get them. So you need that amount.
And finally is, how much traffic do you need to score those leads? Again, you need the information from your current to understand how much traffic are you getting right now? How many leads are you getting right now, depending on the channel, what are the conversion rates that you're getting out of them? So if most of the bulk of your traffic is from organic, you're going to go out and look at the organic conversion rate, usually ranges between 1%, 2%, or 3% for most companies. You might have better numbers, and that's great.
For example, in this example that we're following through, if you need 240 leads, then you might need then, roughly at one point 100%, that will be 24,000 visits per year, right? So it's roughly 2,000 visits per month. And if you're coming from organic, or if you're coming from paid media, they do we'll have to adjust how much content you have to create, how many social media posts, if most of your traffic comes from social media or how many email marketing campaigns that you have to make.
Whatever is the channel or group of channels that you intend to draw upon to hit that traffic, then you will need to calculate the effort actually on deliverables, right? But then you will be able to have the numbers they will follow up through the year, right? What is the traffic that I need to get, to get those leads, to qualify or get some commercial intent out of some of them has MQLs and sending those MQLs to sales as SQLs, and they will qualify them and some of them will become SQLs, eventually opportunities. Some of them, you will close.
Those deals will bring money and you will help to come up with the goals for the year for the business, help them achieve them. So that is the way that you come up with this idea of a marketing goals using the business goals. I hope you find this useful. And as always, I would love to talk if you have any comments on this presentation, so great to see you and until the next time, bye-bye.