Voucher codes were a great way to track marketing channels until individuals were given a scaleable way to tell their friends about them. You could call it “viral marketing” but it is being measured as channel marketing. Now promotional vouchers are starting to eat away at the brand’s margins. Here’s why.
There is a significant difference between advertising online and marketing online. Ads are a very narrow (and often expensive) form of traffic and lead generation. Remember the following:
- Ad platforms (like Google, Twitter and Facebook) create great tools to manage your adverts, but these tools do not talk to each other.
- Third-party tools attempt to blend cross-platform advertising, but generally, cost a percentage of spend
- BOTH are built with their objective being to maximize the amount of money you spend over time.
This presents a paradox in optimisation. Unless you are able to accurately measure your margins on every sale (which is harder than you think) then you need a formula that defines your ad-marketing spend which will work for you, not the platforms on which you advertise.