HubSpot is a customer relationship management (CRM) that hosts a powerful marketing CRM, HubSpot Marketing Hub, and an intuitive sales system, HubSpot Sales Hub. The combined abilities of this software can transform the way your business handles its daily operations, including HubSpot lead generation, marketing strategies, and the format of your sales pipeline. These improvements ultimately boil down to the same thing: your sales and marketing ROI. Where does your ROI currently stand, and how do you help it grow? It’s easy to find out with HubSpot’s help.
A Quick Review of ROI & How HubSpot Sales Hub/Marketing CRM Helps
ROI, or return on investing, is a measurement of your company’s sales and marketing efforts and efficiency toward building revenue. You can calculate your business’ ROI by dividing your overall revenue generated from sales and marketing by the costs to generate the revenue. As an example, let’s say your company spends $10,000 on its marketing and sales strategies. At the end of the quarter, your company totals $50,000 in revenue. You would figure your ROI by dividing $50,000 by $10,000. Your ROI comes out to $5 per $1. With HubSpot Sales Hub, you can simply rely on the CRM to make these calculations for you!
The Sales Hub helps you estimate revenue of paid ad campaigns based on the average sales prices and average contact-to-customer rates. You can manually enter the numerical value of your average sales price in the “Average Sale Price” section, then enter your average contact to customer rate as a percentage. You even have access to adjust currencies as necessary.
Marketing Hub also boasts an intuitive, all-encompassing ROI calculator that is driven by personal and usage data. Its interface is similar to Sales Hub, and features a download option for your results.
Why Does ROI Matter?
ROI is a metric that determines the usefulness of your sales and marketing expenditures. If you’ve invested in systems that aren’t useful for your business, it will reflect in your ROI. Software such as HubSpot Marketing Hub and HubSpot Sales Hub are designed to help you improve your marketing and sales success, revenue, and ROI. For example, if you dedicate team efforts into improving your HubSpot lead generation strategies and see a positive reflection in your ROI, your team may be onto something!
Essentially, ROI helps you make data-driven, informed decisions about your resource allocation. It lets you know what works and what doesn’t, making it simple to determine which models of sales and marketing are truly beneficial for your business.
Using HubSpot Sales Hub & Marketing CRM for a Better ROI
Your sales and marketing efforts directly impact your ROI. That’s why it’s so useful to have effective, intuitive tools at your disposal. A proper sales and marketing CRM makes for more efficient sales processes and strategic marketing campaigns.
When using HubSpot to your advantage, there are several steps you can take to determine your ROI. Ideally, you should:
- Set up tracking. This means defining your goals, customizing your properties for key metrics, and integrating HubSpot across all of your platforms for accurate data collection. Common tracking metrics include website traffic, paid ad campaigns, HubSpot lead generation, and conversions.
- Establish a baseline. After you’re finished setting up your tracking, you need to set a baseline for your established key metrics. Doing this will help you review your progress as time goes on and pinpoint successful and unsuccessful efforts towards a better ROI. You can opt to use historical or current data when setting a baseline. Your current goals and access to data will help you determine which to use.
- Implement your strategies. Now that you’ve laid the groundwork, you can actually put your strategies to the test. This is where you leverage the HubSpot CRM and its tools to dish out engaging sales and marketing campaigns. This includes developing content, sending out automated email marketing campaigns, implementing paid ads, blogging, and staying on top of your social media engagement.
- Analyze your results. This is where you track your results in real time and determine what’s working well (and not so well). The data you collect during this part of your ROI journey is high value. You can update your buyer persona as you discover information about your target audience. Maybe ad campaigns don’t work so well, but posting on social media does. This knowledge helps you push towards more informed marketing and sales decisions, which ultimately affect ROI.
- Calculate an ROI. Based on your new data, you should calculate a new ROI to determine success of your current marketing and sales efforts. This isn’t a one-off process; you should regularly calculate ROI to help determine which way to steer your teams and their efforts.
- Make improvements. Based on your newfound insight, push yourself to do better! Come up with new ideas that might make for a better ROI. As always, HubSpot is your friend. Leverage its reporting tools and intuitive features to craft data-driven strategies that will increase your ROI. You can even set up A/B testing through HubSpot to run concurrent campaigns and analyze which works best!
HubSpot Makes It Easy to Improve Your ROI
HubSpot’s ROI calculator makes it easy to project your ROI for both sales and marketing. It calculates your annual return on investment, so you can easily set goals for the whole year.
There’s so much that HubSpot is capable of, and it’s all designed to promote growth for your company. HubSpot Sales Hub and its marketing CRM are constantly developing new features, so use them for your company’s advantage! Still confused about how HubSpot can help your business grow? As HubSpot certified experts, we would love to talk. Give us a call at (865) 465-4040 today.