Modern-day marketing asks for a more refined and
strategic approach to campaign performance measurement
Key points:
- CER and IPV provide marketers with a more refined
approach to truly understand the impact of their campaigns and how they
position their brands in the marketplace.
- Campaign Effectiveness Ratio (CER) focuses on
the overall return on investment (ROI) across multiple metrics, offering a full
understanding of how well a campaign resonates with its target audience.
- Impact on Market Position Value (IPV) goes
beyond individual campaign performance and evaluates how your marketing efforts
have shifted your brand’s standing within the broader market landscape.
Marketing is evolving at breakneck speed, and with it, the
metrics we use to evaluate success. Gone are the days when clicks and
impressions were the ultimate benchmarks.
Now, we need a more refined, strategic approach to truly
understand the impact of our campaigns and how they position our brands in the
marketplace. That’s where CER and IPV come in.
If you're unfamiliar with these terms, let’s break them
down.
What is CER?
CER stands for Campaign Effectiveness Ratio. This
metric digs deeper than surface-level engagement to provide a clearer view of a
campaign’s true performance. Unlike traditional metrics like click-through rate
(CTR) or cost-per-click (CPC), CER focuses on the overall return on investment
(ROI) across multiple metrics, offering a full understanding of how well a
campaign resonates with its target audience.
Why CER matters
- Holistic Performance View: Rather than
isolating one or two metrics, CER aggregates different types of data—such as
engagement, conversions, and retention—to give a snapshot of a campaign's
performance.
- Efficiency in Spend: By factoring in
costs and returns across multiple touchpoints, CER helps marketers understand
whether they’re getting value for their budget, or if adjustments need to be
made.
- Long-Term Impact: CER doesn’t just focus
on short-term wins but evaluates the sustained impact of a campaign, giving
insight into customer loyalty and long-term engagement.
What is IPV?
Next, we have IPV, which stands for Impact on Market
Position Value. This metric goes beyond individual campaign performance and
evaluates how your marketing efforts have shifted your brand’s standing within
the broader market landscape. IPV is particularly useful for understanding
brand growth, competitor positioning, and long-term market relevance.
Why IPV matters
- Competitive Benchmarking: IPV helps you
understand how your brand fares against competitors. It answers questions like,
"Has our market share increased?" or "Are we seen as a leader or
challenger within our industry?"
- Brand Health: This metric assesses not
just awareness, but sentiment and loyalty towards your brand. Are you gaining
trust and recognition, or losing ground to competitors?
- Strategic Positioning: IPV evaluates
whether your marketing efforts are aligning with your business goals—are you
building a stronger foothold in the market or simply maintaining the status
quo?
How can CER and IPV offer marketers a strategic advantage?
Both CER and IPV bring essential insights to the table for
marketers who are looking for more than surface-level engagement. In a world of
fast-paced digital marketing, these metrics offer a strategic edge, revealing
not just the immediate effects of your campaigns, but their long-term impact on
your brand’s market position.
CER: Maximising Campaign Success
By using CER, marketers can ensure that they’re not just
burning through budgets with flashy but hollow campaigns. CER encourages a
focus on genuine ROI, looking at everything from customer acquisition costs to
long-term retention rates. It tells you whether your campaigns are just
expensive noise or actual drivers of value.
IPV: Owning Your Market Space
IPV gives marketers an invaluable compass to navigate
competitive markets. It’s not enough to run a campaign that performs well in
isolation; you need to know whether it’s pushing your brand up the competitive
ladder. Is your market share increasing? Are customers associating your brand
with quality, trust, and leadership? IPV answers those critical questions,
helping you stay ahead of the curve.
How to Improve CER and IPV: Practical Tips
- Optimise
for Full-Funnel Impact: Don’t just focus on acquisition. Think about
how your campaigns influence customer retention, lifetime value, and
loyalty. By delivering relevant content at every stage of the customer
journey, you’ll boost your CER.
- Competitor
Analysis and Market Research: Regularly track how your competitors are
positioning themselves and how the market is shifting specifically for the
topics that matter most for your business. Understanding the broader
landscape will help you align your campaigns to improve IPV.
- Leverage
First-Party Data: The more you understand your audience, the better
your campaigns will perform. Collect and analyse first-party data to
create personalised, high-impact campaigns that resonate with your target
audience.
- Measure
Sentiment, Not Just Engagement: High engagement is great, but it’s not
the full picture. Pay attention to brand sentiment and customer feedback
to ensure your campaigns are not just being seen but are creating positive
associations that will enhance your IPV.
Want to learn more about metrics that matter? Download our whitepaper on
Advertising Metrics vs Campaign Metrics and discover how Alphix Solutions can help you
navigate the evolving privacy landscape in digital marketing.