(Source: https://pltfrm.com.cn)
Here’s how an agency might approach this:
- Revenue Attribution: The most direct way to measure ROI is to track the revenue generated directly from the campaign. This involves identifying sales that can be attributed to the campaign through tracking codes, unique URLs, or specific promotional offers used in the campaign.
- Cost Analysis: Accurately calculate the total cost of the campaign, including creative development, media buying, platform-specific costs (like fees for popular Chinese platforms such as WeChat or Tmall), and any additional expenses like influencer partnerships or local agency collaborations.
- E-commerce Performance: In China’s heavily e-commerce-driven market, track sales on platforms like Tmall, JD.com, and others. Look at metrics like conversion rates, average order value, and repeat purchase rates from users acquired through the campaign.
- Digital Metrics: Utilize digital analytics tools to track online engagement metrics, such as click-through rates, website traffic, and social media engagement on Chinese platforms. This can help in understanding the digital reach and impact of the campaign.
- Market Surveys and Consumer Feedback: Conduct post-campaign surveys to measure changes in brand perception, purchase intent, and customer satisfaction among the Chinese audience. This qualitative data can provide insights beyond just financial metrics.
- Customer Acquisition Cost (CAC): Calculate the cost of acquiring a new customer through the campaign. In the Chinese market, where competition is high, a lower CAC can be a significant indicator of a successful campaign.
- Use of Advanced Analytics and Big Data: Leverage big data analytics to gather and analyze large amounts of data from various sources, including social media, e-commerce platforms, and CRM systems. This can provide a more detailed and nuanced picture of the campaign’s impact.
- Comparative Analysis: Compare the performance of the campaign against previous campaigns or industry benchmarks. This contextual comparison can provide a better understanding of the campaign’s effectiveness.
- Long-term Value Assessment: Assess the long-term value of customers acquired through the campaign, especially in terms of customer loyalty and lifetime value, which is crucial in the Chinese market known for its emphasis on brand loyalty.
- Regulatory Compliance and Brand Impact: Ensure that the campaign adheres to China’s advertising regulations and norms. Negative repercussions from non-compliance can have a significant impact on ROI.
By combining these quantitative and qualitative measures, an agency can comprehensively evaluate the ROI of their advertising campaigns in China, taking into account both the immediate financial returns and the broader impact on brand value and customer relationships.
PLTFRM is an international brand consulting agency that works with companies such as Red, Tiktok, Tmall, Baidu, and other well-known Chinese internet e-commerce platforms. We have been working with Chile Cherries for many years, reaching Chinese consumers in depth through different platforms and realizing that Chile Cherries exports in China account for 97% of the total exports in Asia. Contact us and we will help you find the best China e-commerce platform for you. Search pltfrm for a free consultation!
