< Determining ROI for Your Online Marketing Campaigns


Online Marketing and ROI

The world is in a tough place financially and marketers want value for money more than ever before. Budgets are being cut and belts are tightening across the marketing world but this is not too worrying for an online marketer because we know that results can be measured and reported on which makes CEO’s and management smile.

How do we determine results for our services?

Firstly we offer Pay Per click marketing services which is probably the easiest to measure in terms of ROI. Let’s take Google for example because they are the most popular search engine in South Africa. All of our campaigns are set up to measure a conversion off your website which can be a lead, like filling in a contact us form or it can be a sale if you have an online store. The best way to determine profitability is to chat to the client regarding what value can be placed on a lead.

Let us look at an example. A Google AdWords advert for your business may cost R10,000 per year and result in 100 leads. Ten of those leads become clients, and each client provides an average revenue of R1,200. The value of each lead is R120 (R12,000 revenue/100 leads), and your ROI for the Google ad is 20% (R12,000 revenue minus R10,000 spent)/R10,000 advertising cost) x 100.

Here’s the formula: (Revenue – Costs)/Costs) x 100 = ROI %

A positive ROI is always one you are striving for but the actual % target should be developed by each business and their marketing agency.

Secondly determining ROI for Search Engine Optimisation can be done the same way as Pay Per click but, because your cost of clicks are free, you could substitute that figure with the amount of money you might be paying an SEO company. Another key factor when determining good SEO is by the number of clicks to your website because if these are increasing month on month then you are receiving brand exposure and people might be phoning, emailing directly or coming in to see you and these equate to sales via the online campaign.

Thirdly and lastly is how to determine profitability on social media websites. There are lots of articles about using engagement or sharing as a means to establish profitability but we all know it is all about the money so how does that help to prove that social media is working? We would make use of an analytics tool like Google Analytics to check which social media sites are presenting conversions or enquiries and invest more time on this one or a few social media sites. Facebook recently launched its own conversion tracking tool and we’re sure the other social media websites will follow soon.

To summarise, determining ROI is not an exact science because you might receive leads through a phone call from someone who saw your advert online. Online Marketing ROI

Giselle Chelin

Giselle Chelin is co-owner of the internet marketing company MJ Media. She is fascinated by the on-going developments and improvements of internet marketing and aims to help businesses utilise this powerful marketing tool to its full potential. Connect with Giselle on Google+


Over the past 5 years, MJ Media have fine-tuned our online marketing platforms, improved our Google presence and increased our website visits and enquiries. The end result, leading to greater brand awareness and a growing business. It’s been an exciting journey!

Dale Horne, Symbiotix Group

Bridgette and Giselle have managed our Adwords account for over 12 months and have always provided excellent and efficient service with a flexible and proactive approach. We are very pleased at the results obtained so far and look forward to continuing our successful relationship with MJ Media. We would recommend MJ Media to any organisation seeking to outsource some or all its internet marketing requirements to a trustworthy and transparent supplier.

Rob Schofield, Director, RJ Retail Ltd, trading as WoodenToyShop.co.uk

MJ Media have been amazing since day one, they listen, they are patient and they give advice which is always the best, they are helping me grow my business. I have seen increased quote requests from our web site. MJ Media’s work on internet marketing has made a significant difference to my business. I appreciate the hard work that they put on our marketing and look forward to continuously working with them.

Gisela Oliveira, Mozambique Tourism

Vet Products Online has been operating effectively for 12 years, but this year I thought it was time to progress to the next step of online marketing and social networking. MJ Media was recommended to me to assist and manage Facebook and Google marketing. Bridgette and Giselle are two stars in their field, both professional and enthusiastic. Their support is reliable and their turn around time to requests, queries or project needs is speedy. We have certainly benefited positively from MJ Media input and I highly recommend them to other companies who have internet marketing requirements.

Anne Mullins, Owner, Vet Products Online, www.vetproductsonline.co.za

Bridgette and Giselle have been our online partners for about 4 years now. Flexible Workspace sells office space and related services in the B2B market and as the founder not only am I convinced that Online is the most effective channel for our offering but that MJ are the right service provider for us. Being a relatively small (but growing) business, we need to be nimble and they in turn need to be ready and geared to move with us – MJ gets this. Having access to the decision maker/driver of the business is also important to me – they have a personal touch that larger agencies are unable to replicate. Finally, and most importantly they produce results – from the time MJ took over our account they have increased our lead flow 5-fold. As a business owner this is all I’m interested in – lead generation and conversion – this is the real measure of Return on Investment and they have delivered in spades.

Brad Porter, Flexible Workspace